Kroger to Accept Visa at All Stores

The grocery chain also plans to add package delivery services to its stores.

November 01, 2019

CINCINNATI, Ohio—In a reversal, Kroger is now accepting Visa credit cards at all of its stores, according to Business Insider, halting a brief ban on the cards at its Foods Co. and Smith's Food & Drug chains. Kroger enacted the ban in March, alleging that Visa’s “excessive” transaction fees drove up food prices for all customers.

"Visa has been misusing its position and charging retailers excessive fees for a long time," Mike Schlotman, Kroger CFO, said at the time. "They conceal from customers what Visa and its banks charge retailers to accept Visa credit cards.”

Kroger didn’t provide more details to explain its reversal, Business Insider reported.

Meanwhile, Kroger is working with UPSUSPS and FedEx to bring package delivery services to its stores in order to drive traffic and make shopping there more convenient, Business Insider reports. The program will be called Kroger Package Services (KPS), and the company plans to test it in about 220 stores this year.

"Kroger Package Services is one of several ongoing tests we have in market to further develop our portfolio of seamless customer experiences," a Kroger spokesperson said. "The pilot allows us to test and learn in a retail setting, gaining useful insights from both customers and associates."

Under KPS, select Kroger stores will accept packages, including those that require signatures, from major carriers and store them in a secure area until customers come and pick them up. Shoppers also will be able to drop off pre-labeled packages or bring in unboxed items for shipping anywhere in the U.S. Additionally, automated kiosks will let shoppers print or purchase shipping labels.