Kroger is transforming the grocery industry with Logicbroker.
Kroger’s fully-automated drop ship solution powered by Logicbroker opened up not only an endless aisle of inventory but also grew its eCommerce revenue and supplier base without additional fees.
Grew eCommerce Revenue
Fast Automated Supplier Onboarding
Endless Aisle of Inventory
Kroger, America’s largest grocery retailer and among the top 10 US eCommerce companies, focuses on delivering a first-class shopping experience while working to end hunger and eliminate food waste across the globe. To ensure success in the ultra-competitive grocery segment, Kroger realized they needed to create a seamless shopping experience through expanded supplier and brand partnerships.
While fulfillment and physical storefront improvements were, and still are, a major focus, Kroger wanted to complement their grocery offering with new products to compete with the growing marketplace ecosystem. Rising to meet their eCommerce goals, Kroger partnered with Logicbroker to create a fully-automated drop ship program and relies on third-party suppliers to fulfill the orders while maintaining Kroger’s high brand standards.
The Right Solution
Kroger selected Logicbroker as its partner to launch their drop ship program due to Logicbroker’s advanced cloud-based API and ability to scale. Logicbroker’s unparalleled support, operations and onboarding teams, and ability to apply learnings from other integrations, provided Kroger with recommendations based on changes in industry technology. Kroger’s industry-leading insight, coupled with Logicbroker’s extensive eCommerce experience, was vital in launching Kroger’s new drop ship program.
Logicbroker helped us overcome our internal IT barriers and illuminated a path to accelerate our vendor onboarding.
Digital Marketplace Planning & Strategy, Kroger
After internal testing, Kroger launched all of their vendors in just a few weeks. Their vendors benefit from Logicbroker’s no-cost model. Vendors do not need to have a separate contract or pay fees directly to Logicbroker, as all transactions are done through Kroger. This model allows Kroger to expand at will, rather than wait for vendors to feel comfortable paying exorbitant fees other eCommerce connection brokers charge.
Kroger also benefits from superior support, including a branded knowledgebase, for their employees and drop ship vendors. Logicbroker acts as an extension of the Kroger team, and a dedicated technical resource to help with any issues that may arise during automated vendor onboarding and throughout our partnership.
The Kroger team now enjoys the benefits of vendor performance scorecards and ensuring service level agreements (SLAs) are met via the Logicbroker portal. In working together, Logicbroker, Kroger, and their vendors were able to launch a successful, automated drop ship program and continue to expand Kroger’s eCommerce offerings at a moment’s notice.
Vendors enjoy the no-cost model Logicbroker offers them as well as the flexible communication options they can choose to integrate with. Sales have grown year over year, and new vendors are being added weekly.