Kroger is shuttering three spoke facilities in its Texas and Florida e-commerce operations. The cross-docking facilities — located in Austin, San Antonio and…
Kroger is shuttering three of its spoke facilities in its Texas and Florida e-commerce operations, the grocery chain confirmed this week.
“Despite our best efforts, including the support from new customers, learnings from other locations and the incredible work of our associates, these facilities did not meet the benchmarks we set for success," Kroger's spokesperson said. These kinds of spoke facilities extend the reach of Kroger’s network with British online retailer Ocado. Ocado's larger automated facilities assemble orders, which are then shipped to the cross-docking spokes and placed into smaller delivery trucks.
The cross-docking spokes set to close in Austin and Miami were opened in March and February of last year, according to Kroger's spokesperson, while the one in San Antonio was opened in August 2022.The Austin and San Antonio facilities have been receiving orders from a larger automated shed in Dallas, which was opened in 2022. Another regional shed in Groveland, Florida opened in June 2021 and has been serving the Miami spoke.
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