Kroger, one of the largest supermarket chains in the United States, is undergoing a major transformation. The company announced that it will close 60 underperforming stores over the next 18 months. However, far from being just a cutback, these closures are part of a plan to reinvest in new openings and improve the customer experience.
The reason behind the closures
The sudden change is explained by a pause in Kroger's internal evaluations during the failed merger with Albertsons. With the deal canceled, the company resumed its store-by-store performance review. The result: some branches aren't meeting the desired standards and the decision was made to close them.
Although the closures involve an accounting charge, Kroger anticipates that the freed-up resources will generate a "modest financial benefit." This money will go directly toward improving the customer experience: more competitive prices, remodels, and new store openings.
Where and when stores will close
Kroger hasn't published a complete list of closures, but several have already been confirmed through local news and the UFCW union:
- Georgia: Atlanta, Alpharetta, Decatur, and Brookhaven.
- Virginia, Tennessee, and West Virginia: Charlottesville, Abingdon, Kingsport, and Gassaway.
- Maryland and North Carolina: North Bethesda, Arlington, Tysons/McLean, and Raleigh.
- Texas: Houston, The Woodlands, Dickinson, and McKinney.
- Washington: Seattle, Redmond, Kent, Everett, and Mill Creek.
- Indiana, Wisconsin, and Illinois: South Bend, Elkhart, Milwaukee, and Chicago.
For customers, Kroger assures that prescriptions will be transferred to other nearby branches and that employees will receive opportunities to transfer to other stores.
The new Kroger stores
The closures pave the way for a new store model: Marketplace locations. Larger and more modern than a traditional supermarket, they include clothing departments, home goods, toys, coffee kiosks, cheese counters, sushi, and drive-thru pharmacies. They also strengthen online order pickup.
A recent example is the Marketplace in Lexington, Kentucky, with 123,000 sq. ft. (11,427 m²), wider aisles, and a greater variety of products. Kroger is adapting some stores to local tastes. In Houston, it expanded its selection of Hispanic products, while in North Texas it launched the "Asian Experience" with special fruits, vegetables, meats, and seafood.
What it means for customers and the future
Kroger continues to focus on expansion in areas with population growth. In 2025, it has at least 30 major new store projects planned, in addition to remodels. The strategy aims to increase market share and offer a more attractive and personalized shopping experience.
For customers, this means that although some stores will close, the network will remain present and improve in variety, services, and prices. Kroger wants to become a more modern supermarket that's closer to each community. Its goal is to replace outdated branches with more competitive, customer-focused stores.