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Inside Kroger’s New Business Strategy: From Digital Coupons to Loyalty Programs

The American grocery market has become fiercely competitive in recent times, and this has pushed more retailers to embrace new client appreciation strategies rather than just price tags. Kroger being the second-largest seller in the US understands this better than most companies. The company has now launched their Customer Appreciation Week in style to highlight a strategic change in operations that goes way beyond normal promotion initiatives, one that uses technology and innovation to nurture customer loyalty. This week-long event will feature exclusive deals and digital discounts to demonstrate how Kroger is integrating customer appreciation into their new business model.

Kroger’s ‘Boost’ program

The Boost program by Kroger Plus is one of the latest initiatives introduced by the grocery firm to give back and improve customer loyalty. It’s a program filled with numerous benefits which include free deliveries, fuel savings, and exclusive digital coupons. Boost members can redeem special offers multiple times throughout the Customer Appreciation Week, where they’ll have the potential to save up $1000 in just  a year. Kroger as a customer favorite company is trying to create long term engagement rather than just promoting one off purchases through this value-saving program. The company is counting on customers to keep coming back after they realize how these savings pile up and the value this initiative will provide. This actually highlights that customer loyalty means everything in business, and that’s exactly what Kruger is trying to achieve.

Digital coupons

Kroger’s new business strategy is designed to make the most out of online shopping. And for this reason, the company introduced digital coupons during the Customer Appreciation Week, which are aimed to elevate Kroger’s shopping experience and attract more clients as well. Kroger is currently giving out the best offers in the market through their online shopping app, some of the incredible deals offered include ‘buy one get one free Starbucks coffee’ and ‘99-cent bread and pastas’. But what sets the retail company apart is the ease of access in their products which are available through in-store shops, pickup, and home deliveries. The same low prices and digital savings still apply to Kroger’s clients regardless of where they decide to buy their produce.

‘Meeting customers anywhere’

Kroger has adopted an omnichannel approach in how they do business to ensure that customers can shop whenever and however they want. The retail company has done a great job in blurring the lines between physical and digital retail through curbside pickups and home deliveries. This strategy is clearly appealing because it allows customers to enjoy flexibility without compromising on their savings or product  selection. Through this kind of accessibility, Kroger further demonstrates the company’s ability to adapt to changing consumer preferences while maintaining their core strengths in the grocery market; competitive pricing and wide product selection.

Elevating the Kroger’s shopping experience

Promotions like Customer Appreciation Week are exclusive events and part of Kroger’s larger plan to improve shopping experience in their stores. Deals like ‘two for five orange juice’ and ‘mix & match offers on soda’ are intended to drive immediate sales while also building goodwill. Kroger’s Chief Merchant and senior Vice President, Stuart Aitken, stressed on the importance of the customer week in showing appreciation to customers for their trust in the company, “during this special event we are celebrating customers with our hottest deals… to show our sincere appreciation and thank you.” These promotions only reflect the deep emotional connection that Kroger’s maintains with their clients through local grocery stores and the online shopping app. 

Kroger’s new business strategy is a long term plan to increase sales within the US grocery market while at the same time giving back to the loyal clients. Through this latest initiative, the retail company positions itself as a trusted partner in its customers’ lives.

Image source: pexels.com

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