Kroger Joins Alibaba to Sell Groceries Online in China

The move marks Kroger’s first foray into international markets as it aims to boost its online business.

August 16, 2018

CINNCINNATI – Kroger has teamed up with Alibaba to sell its Simple Truth-brand products on the Chinese retailer’s Tmall Global platform, China’s largest business-to-consumer marketplace, according to Foodbev.com.

Simple Truth is Kroger’s proprietary line of natural and organic goods, including milk, seafood, meat and baked goods. It was launched five years ago and has since become the second-largest brand sold in Kroger stores, with $2 billion in annual sales.

The deal means Kroger is gearing up to compete with Amazon and Walmart in the online shopping sector. Earlier this month, it launched grocery delivery service Kroger Ship in four U.S. cities, and in May, the company signed an agreement with U.K. retailer Ocado to use its technology in the United States.         

According to Yael Cosset, Kroger chief digital officer, “E-commerce enables Kroger to quickly scale to reach new customers and markets where we don’t operate physical stores.”

As reported in NACS Daily earlier this month, Alibaba and Starbucks have joined forces to expand the coffee company’s delivery and digital presence in China.

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