Overview
- Kroger’s new chief executive, Greg Foran, disclosed on Thursday that the company will cut prices on thousands of items to try to win back value-focused shoppers.
- Foran said the retailer will fund the cuts by importing merchandise directly, simplifying store operations and using technology to lower costs before passing savings to customers.
- Price changes will start with tests in select stores and be rolled out in phases, a strategy that leaves timing, scale and the net impact on margins uncertain.
- Investors reacted negatively, with Kroger shares falling about 2% in morning trading as analysts flagged that lower prices could reduce revenue and profit if volume gains do not offset the cuts.
- The move comes as U.S. grocery competition is intense from low-price chains and online sellers, and Bloomberg reported Foran also plans to speed store openings to about 70–80 new stores in 2027 to support growth.