Kroger’s 1st-ever ‘customer appreciation’ sale kicks off as merger cases enter fifth week
The grocery chain launches charm offensive, following attorney accusations of gouging
Kroger has a big week ahead starting Monday when it enters the first day of its third antitrust case challenging its proposed merger with Albertsons — this time in Colorado.
Beginning on Sept. 30, the grocery giant will once again appear before a judge to argue that the $24.6 billion acquisition deal is necessary to compete against Walmart, Amazon, Costco, and other retailers the company says are rapidly gaining market share over pure-play grocers.
Once that case begins, Kroger will be running defense in three different legal challenges to the deal — one brought by the Federal Trade Commission and backed by nine attorneys general that began in late August and is being litigated in a U.S. district court in Portland, Ore.; a second that kicked off in mid-September in Washington brought by state Attorney General Bob Ferguson; and the third in Colorado brought by state AG Phil Weiser.
In the midst of heavy scrutiny accusing Kroger of price gouging customers on staples like eggs and milk, which the company has adamantly denied, the grocery giant appears to be waging a charm offensive with its shoppers with a sale.
Kroger’s first-ever Customer Appreciation Week, which began on Sept. 25 and runs through Oct. 1, is a “mega-sales event honoring customers with the retailer’s hottest deals,” according to a press release from the grocery chain.
“During this special event we are celebrating customers with our hottest deals and digital coupons to show our sincere appreciation and say thank you for choosing Kroger,” Stuart Aitken, senior vice president and chief merchant and marketing officer, said in a press release.
The sale focuses on Kroger’s Our Brands private-label products such as Kroger Brand orange juice, pasta, and pasta sauce, but the deals also include name brand products from Coca-Cola, Pepsi, Starbucks, and more.
The discounts are even greater for members of the grocer’s loyalty program, Boost by Kroger Plus. The retailer is offering a variety of products for under a dollar, such as Kroger Brand Flour, Smart Way Sugar, and Kroger Brand Chips all for 99 cents.
The sale also could serve the purpose of capturing grocery customer dollars prior to Amazon’s Prime Big Deal Days sale, which runs Oct. 8-9.
The Big Deals sale is exclusively for members of Amazon’s own loyalty program, Amazon Prime. While the Amazon sale includes products across the retail spectrum, the online retail giant is highlighting a wide selection of grocery items.
Amazon is certain to use the event to promote products from its new private-label brand, Amazon Saver, which launched on Sept. 10. The majority of items in the new line of more than 100 products are under $5.
Amazon also aims to further grow its Prime membership program with the launch of a new weekly rotating selection of eight to 15 grocery products for up to half off and more than 1,200 products for 25% off.
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