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Kroger announced on Friday that it is expanding its partnership with Ocado, saying that they have finalized plans " to construct three new Customer Fulfillment Centers (CFC) in the Great Lakes, Pacific Northwest and West regions," which will "accelerate its ability to provide customers with anything, anytime, anywhere."

The Ocado model incorporates "state-of-the-art automation and AI," and also is part of previously announced Customer Fulfillment Center (CFC) locations in Monroe, OH; Groveland, FL; Fredericksburg, MD; Atlanta, GA; Dallas, TX; and Pleasant Prairie, WI.

Kroger said that "the new facility in the West will measure 300,000 square feet, the new facility in the Pacific Northwest will measure 200,000 square feet, and the facility in the Great Lakes region will measure 150,000 square feet. The varying sizes demonstrate the flexibility of the Ocado fulfillment ecosystem to best serve the respective markets. When operational, the facilities will collectively create more than 1,000 new jobs, with the potential for hundreds of additional career opportunities."

The exact locations are expected to be disclosed "soon."

KC's View:

Interesting that these warehouses are getting smaller … the trend seems to be moving in directions that brings all the links of the supply chain closer to the shopper.  Which strikes me as a good thing.