business news in context, analysis with attitude

The Jacksonville Daily Record has a story about how "Kroger is building-out a logistics operation in North Jacksonville to deliver fresh groceries," opening a 62,000 square foot  facility that will be used as "a cross-dock for mercantile goods."

The opening seems to be part of Kroger's broader strategy in Florida, where it operates just one store - a Harris Teeter in Fernandina Beach, just south of Amelia Island.

Kroger is reported to be opening a small Tampa warehouse on the other side of the state;  these two facilities will be "spokes" that will serve the Groveland customer fulfillment center (CFC), a robotic operation powered by Ocado technology.

The Groveland operation has been described as positioned to serve south Georgia and south Alabama customers, as well as Florida shoppers.

Groveland is about 170 miles south of Jacksonville, and about 75 miles northeast of Tampa.

KC's View:

Kroger has been a little cagey about its Florida strategy, but it seems clear that at least to some degree, it is planning for some sort of pure-play e-grocery offering there, serving customers without actually having stores - a very 21st century approach to doing business.

Unless, of course, it is in negotiations to buy Winn-Dixie.