DISCUSSION

Should More Grocers Follow Kroger's Lead?

Written by Nicholas Morine

Image Courtesy of Kroger

On Dec. 29, Kroger announced that it was launching what it termed a Verified Savings Program, one which allowed those enrolled to claim a 20% discount on fresh produce -- as well as a 50% discount on a Boost by Kroger Plus membership. Eligibility for this program is dependent on interested parties being recipients of various government assistance programs, including SNAP, WIC, Medicaid, and others.

Shoppers looking to avail of this program are able to sign up online via the usage of the SheerID verification service.

"Making fresh food more affordable and equipping more customers with free grocery delivery is an incredible step in expanding food access," said Carlo Baldan, Kroger group VP of Fresh Merchandising, in a press release.

"With the launch of the Verified Savings program, we are thrilled to make fruits and vegetables more affordable and eliminate one more barrier to food security in our mission to end hunger," he added.

The news comes as Americans in five states -- Indiana, Iowa, Nebraska, Utah, and West Virginia -- become subject to new restrictions on what SNAP funds can be used to buy at the grocery store, as of Jan. 1. These five states are the first of at least 18 jurisdictions to see a similar clamping down, with products such as soda, candy, and other so-called "junk foods" being the primary target of the new restrictions.

There are a few other caveat's to Kroger's program as well. Customers must have a Kroger digital account and enroll in Verified Savings. Further, verification is only good for five months, with shoppers facing a requirement to re-up their verification after that time frame to remain enrolled.

Heavily Discounted Boost by Kroger Plus Plans May Mitigate Cost of Grocery Delivery for Those Eligible

The heavily discounted Boost by Kroger Plus plans -- a 50% discount meaning that Boost Essential comes in at $34.50 per year (or $4.50 per month), and the Boost at $49.50 annually (or $6.50 monthly) -- could enhance grocery accessibility for eligible parties via free (in some cases) grocery delivery options.

The Boost program includes the following benefits:

  • Unlimited free delivery on orders valued at $35 or more: This delivery could be fulfilled in as little as two hours, although Boost Essential members see this time frame pushed back to next-day delivery.
  • Twice the Fuel Points: Each dollar spent on both groceries and general goods -- whether purchased in-store or online for pickup or delivery -- sees a doubling of value towards Kroger's Fuel Points program.

There's also the benefit of free streaming options attached to the Boost program, meaning that eligible customers could also see a reduction in their entertainment expense line. Boost members gain access to either Disney+, Hulu, or ESPN+ as long as they retain membership (and the offer remains on the table), while Essential members get a one-time six-month promo code to one of the aforementioned services.

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