Catman Project Business 446

Goals for Deli Category at Kroger

  • Increase customer satisfaction of Kroger's deli shoppers by 20% in first year, evaluated by cashiers handing out satisfaction surveys to customers with deli purchases
  • Add value to internal and external stakeholders by offering customers fresher products with Just-In-Time Inventory Management
  • Increase top line in Deli category by 11% in first year

Achieve by

  • Offering local products
  • Creating more experiential shopping for customers
  • Just-In-Time Inventory Management

Farm-to-Table Restaurants

  1. Consumer demand for locally sourced products
  2. Congress defines "locally grown food product" as product sold within 400 miles of its origin
  3. Restaurants use regional distribution center

Farm-to-Table Restaurants

  1. Consumers are willing to pay 12% more for local options (Willis, Carpio, Boys, & Young, 2013)
  2. 60% of American believe that chain stores do not have enough local items ((“Survey: Chain Retailers,” 2015)

Farm-to-Table Restaurants

How to make it happen:

  1. Food hubs could be solution in supply chain of using local products - they manage the formation, the distribution, and marketing of food products from origin-identified local and regional producers (Woods, et al., 2013).
  2. Adapting information systems for small-scale marketing efforts

Selling Experiences in Luxury Urban Speciality Retailing

  1. Transform stores into destinations
  2. Visiting vs. shopping
  3. Fashion and coffee shops, restaurants, community centers
  4. Pop-up shop style

Selling Experiences in Luxury Urban Speciality Retailing

  1. Gen Z is driving trend
  2. They have never had to shop without the option of shopping online
  3. Many in urban areas can use 2 hour shipping

Selling Experiences in Luxury Urban Speciality Retailing

  1. Big Retailers:
  2. apply concept by creating smaller stores in urban areas
  3. let management have more control over products offered at each individual store
  4. tailored to demands and preferences of each particular community
  5. Target is starting to apply this concept...calling it "agility"

Lean Management

  1. Just-in-time inventory management
  2. Efficient and precise

Supply Chain Management

  1. Suppliers, Farms, and Delivery
  2. Company Wide Improvement

Inventory management is the key success factor for retailing

  1. Measure performance of a retail store

What is Inventory Management?

  1. High Inventory turnover to sell fresh products
  2. Material Requirement Planning (MRP)

Visual Display

  1. Presentation is key
  2. Aesthetically pleasing to detailed positioning
  3. Displaying final product for meals/dishes
  4. Sample displays for browsing customers

Customer Personalization & Relationships

  1. Key factor in retail industry
  2. Increases revenue and customer loyalty
  3. Recommendations
  4. Knowledgeability in food pairings

Important for Kroger

  1. Keeping the meat and dairy product fresh
  2. Material requirement planning (MRP)


  1. Business model- Treasure hut
  2. Free samples

Inventory Turnover

  1. Understanding what the Customer wants
  2. Santa Clause
  3. Kroger's Deli Section


Farm to table

Inventory turnover

Experiential Shopping


Created with images by byzantiumbooks - "From our family" • stevepb - "cheese slicer crackers appetizers" • robertprax - "cooking eat cut" • Tim Green aka atoach - "Butcher" • Swiss James - "butcher c" • Lauren_vdM - "grocery store cheese market" • NatalieMaynor - "The Singing Butcher" • ElasticComputeFarm - "frozen food supermarket frozen" • ArtsyBee - "factory worker vintage" • jarmoluk - "electrician electric electricity" • Keith Williamson - "Mercado Medieval" • NatalieMaynor - "Cheese" • JeepersMedia - "Costco" • PinkMoose - "Costco Noel" • socialwoodlands - "Kroger"

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