Kroger has already proven itself to be a force in the organic and natural foods market. That presence is only likely to grow now that the company has made a strategic investment in Lucky's Market, a 17-store specialty grocery chain with locations in 13 states.
Lucky's store layouts are intended to resemble a farmers' market and feature a wide selection of fresh organic and conventional produce, along with meat and seafood, baked goods, and prepared meals. The chain's "L" private label promises to be free of artificial colors, flavors or preservatives. Ten percent of profits from L sales are reinvested in local communities.
In recent years, Kroger has made a concerted effort to grab greater market share in the organic foods category. Today, the company maintains it is the largest seller of organics in the U.S. in large part because of its own private labels such as the "Simple Truth."
Kroger was attracted to Lucky's for a number of reasons, including the chain's emphasis on being "the natural and organic food grocer for the 99 percent," Kroger's group vice president for corporate affairs, Jessica Adelman, told the (Boulder) Daily Camera.
While specific financial details were not made public, Kroger described its investment in Lucky's as "meaningful" with a goal of helping accelerate the chain's growth in new and existing markets.