{"id":8178,"date":"2026-06-19T23:13:06","date_gmt":"2026-06-19T23:13:06","guid":{"rendered":"https:\/\/www.fintechpulse8.com\/?p=8178"},"modified":"2026-06-19T23:13:06","modified_gmt":"2026-06-19T23:13:06","slug":"kroger-ceo-spots-troubling-new-grocery-trend","status":"publish","type":"post","link":"https:\/\/www.fintechpulse8.com\/?p=8178","title":{"rendered":"Kroger CEO spots troubling new grocery trend"},"content":{"rendered":"

<\/p>\n

If it feels like things get more expensive every time you set foot in a grocery store, you aren\u2019t alone.<\/p>\n

In May 2026, grocery prices were up 2.7% year over year, according to the latest data from the U.S. Bureau of Labor Statistics.<\/p>\n

While that percentage may seem modest on paper, it continues to put significant pressure on household budgets across the country.<\/p>\n

\u201cHigher and higher gas and food prices impact households in a dramatic way \u2014 these are things we can\u2019t easily cut out of our budgets, or even reduce,” NerdWallet Senior Economist Elizabeth Renter said in a statement.\u00a0<\/p>\n

According to Kroger CEO Greg Foran, that financial strain is driving a noticeable shift in the way many Americans buy groceries.<\/p>\n

Kroger is seeing the weekly grocery trip disappear\u00a0<\/h2>\n

During Kroger\u2019s first-quarter fiscal year 2026 earnings call, Foran called out a major shift in the way consumers are handling their grocery shopping.<\/p>\n

While shoppers aren\u2019t buying less overall, the CEO says they are being more selective in the way they\u2019re getting that shopping done.<\/p>\n

\u201cThe customer is under pressure,\u201d Foran told investors. \u201cHigh gas prices and reduced SNAP benefits are squeezing budgets. Customers are managing spend carefully and shopping with real intent.\u201d<\/p>\n

Instead of loading up on a full week’s worth of groceries at a time, Foran says Kroger is seeing a growing number of customers make targeted visits focused on promotions, discounts, and specific items they need immediately.<\/p>\n

\u201cCustomers are being more deliberate with their spending and, at times, shopping us selectively,\u201d Foran told investors. \u201cWe’re getting too many promotional trips and not enough of the full basket.\u201d<\/p>\n

\n

Kroger CEO Greg Foran says the chain is seeing weekly grocery stock-ups disappear in favor of smaller, promotion-driven trips as household budgets grow increasingly strained.<\/p>\n

Getty Images<\/p>\n<\/figcaption><\/figure>\n

Deal-seeking is becoming a popular grocery shopping strategy<\/h2>\n

Foran\u2019s observation aligns with broader industry research.<\/p>\n

A recent report from the consulting firm Alvarez & Marsal found that \u201cconsumers aren\u2019t just spending less \u2014 they\u2019re spending more deliberately.\u201d<\/p>\n

Some 13% of grocery shoppers reported making more grocery trips each week to take advantage of sales and lower average prices on different product categories.\u00a0<\/p>\n

\u201cThese behaviors signal a meaningful shift in how consumers approach grocery shopping,\u201d the report said. \u201cWhether consolidating trips toward lower-priced retailers or adding them into routines, consumers are actively seeking value.\u201d<\/p>\n

Ibotta\u2019s 2026 State of the Spend report found a similar trend.<\/p>\n

\u201cConsumers are beating inflation through strategic flexibility in order to capitalize on in-store sales \u2014 the saving tactic with the highest year-over-year increase in use,\u201d the report said.<\/p>\n

It also noted that 62% of grocery shoppers had adopted \u201cdefensive\u201d shopping behaviors, like hunting for deals or switching retailers altogether in search of the best price.<\/p>\n

Grocers are fighting a battle over value<\/h2>\n

For grocery chains, the trend presents a growing challenge.<\/p>\n

As consumers become more willing to chase deals, compare prices, and split purchases across multiple retailers, grocers are facing increased pressure to prove they’re delivering value.<\/p>\n

\u201cWhile grocery remains resilient, resilience is not being rewarded equally,\u201d a recent report from McKinsey & Company said. \u201cIt seems clear the market is not rewarding grocery as a category but models with sharper positioning, stronger economics, and more-credible paths to growth.\u201d<\/p>\n

Consumers are \u201cmoving away from complexity and variability toward simpler, more transparent pricing anchored in consistent pricing and clearer value communication,\u201d McKinsey says.<\/p>\n

More grocery news:<\/strong><\/p>\n

    \n
  • Aldi follows Sam’s Club lead to win over shoppers<\/strong><\/li>\n
  • Grocery chain pays $40 million fine in pricing scandal deal<\/strong><\/li>\n
  • Aldi borrows viral ‘blind box’ trend to win over shoppers<\/strong><\/li>\n<\/ul>\n

    Kroger has struggled to develop a model that appeals to today\u2019s more price-conscious shopper.<\/p>\n

    \u201cKroger has enormous reach and powerful economies of scale. The problem is that, for many years, it has failed to capitalize on these things. The company hasn’t been aggressive enough, nor has it been sufficiently progressive,\u201d GlobalData Managing Director Neil Saunders said in a post on LinkedIn.<\/p>\n

    \u201cThe result is that it’s become a bland, middle-market grocer that isn’t sufficiently differentiated. It doesn’t win on price. It doesn’t win on experience. It doesn’t win on private label. It doesn’t win on ecommerce in the way Walmart does. And that means it struggles to hold on to sales as customers increasingly shop around for alternatives.\u201d<\/p>\n

    Foran has a plan to change Kroger\u2019s perception with shoppers, however.<\/p>\n

    “We have opportunities to strengthen our price position and make it simpler,\u201d he told analysts on June\u2019s investor call. <\/p>\n

    “Beating other grocers isn’t the same as leading the industry.”<\/p>\n

    Related: Bed Bath & Beyond bets $53 million on beating Zillow, Redfin<\/strong><\/p>\n

    #Kroger #CEO #spots #troubling #grocery #trend<\/p>\n","protected":false},"excerpt":{"rendered":"

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