Kroger announced earlier this month that it has scrapped the long-term earnings-per-share growth targets that it established in 2012. Rather, the company plans to invest in pricing and technology amid increased competition from Walmart and Amazon, as well as Aldi and Lidl.
“We are re-prioritizing and accelerating investments in our ‘Customer 1st Strategy’ in order to anticipate and meet rapidly evolving consumer demands to shop with us for anything, anytime, anywhere,” said Kroger CEO Rodney McMullen. “Our transformation is all about redefining the customer experience.”
Although the company will release more details at its next investor conference, McMullen revealed that Kroger plans to invest in a store-wide space optimization initiative to spur sales and growth, and would continue to make investments in price.