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Kroger acknowledges that its bet on robotics went too far

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Re: Kroger acknowledges that its bet on robotics went too far

#141

Post by londons_explore »

dottjt wrote: post #137
simgt wrote: post #136

Earlier quoted context omitted.

Where are you operating? I live in a dense European city and I don't know a single person who orders groceries online. Smallish shops with bike racks in front of the door are simply too convenient, seems hard to beat. Next few days shopping can easily be done in 15mn on the way back home.

Maybe it's different in Europe, but at least in Australia you end up paying more at smaller shops, so I tend to avoid them. Is this the case in Europe as well?

Yes - groceries in a small shop are easily 2x the £/calorie in the UK compared to a big superstore.

Re: Kroger acknowledges that its bet on robotics went too far

#142

Post by bloak »

NegativeLatency wrote: post #114
gambiting wrote: post #109

Earlier quoted context omitted.

Here in the UK it's common for online grocery sites to say "fresh for at least X days" on every item, so bread will usually say 5 days, eggs 7 days etc etc. Doesn't matter if I select collection(so someone is picking those items for me at the store) or delivery(so they come from a larger warehouse). They stick to that promise.

An example of my experiences: you’ll get the apple with the bruise and maybe some damage instead of the nice one you’d pick out if you’re shopping for yourself.

That's my experience, too. Also the dented tin and the miniature mango. And, if the order is arriving at 10pm, the salad best before midnight.

Re: Kroger acknowledges that its bet on robotics went too far

#143

Post by slashyellow »

petesergeant wrote: post #111
bombcar wrote: post #6

I remember a glowing video about this thing (by Tom Scott maybe?) and being confused how it could ever compete with humans being paid slave wages. Guess I was right.

You were not, this works just fine in the UK

I mean, it's a fiercely competitive market and they've managed to stake out a position, which is great and all, but to be blunt they have a market share of ~2.1%, and they've consistently unprofitable. And they've been at this for like 20 years.

Honestly the main problem seems to be most people just don't like buying certain items online, and that doesn't seem to be changing quickly. If Covid didn't break people out of that, I can't think of anything that will.

And FWIW, I think for an online only supermarket you'd expect their website to be pretty amazing, but their competitors are just as good.

Re: Kroger acknowledges that its bet on robotics went too far

#144

Post by ant6n »

dottjt wrote: post #137
simgt wrote: post #136

Earlier quoted context omitted.

Where are you operating? I live in a dense European city and I don't know a single person who orders groceries online. Smallish shops with bike racks in front of the door are simply too convenient, seems hard to beat. Next few days shopping can easily be done in 15mn on the way back home.

Maybe it's different in Europe, but at least in Australia you end up paying more at smaller shops, so I tend to avoid them. Is this the case in Europe as well?

For a first world country, Germany has ridiculously low food prices. These are found at the chain supermarkets (Aldi, Lidl, etc.). They tend to be small by American big box standards (perhaps 1000sqm, so maybe 3x the size of a bodega). There's a lot of these supermarkets everywhere in the country, most people can easily come across them during usual daily trips.

Re: Kroger acknowledges that its bet on robotics went too far

#145

Post by ekianjo »

simgt wrote: post #136
karamanolev wrote: post #123

I work in this exact space (online grocery retailer in Europe). We're profitable and one of the few companies to be so in the sector - many online divisions are losing money and being bankrolled by the parent company with physical stores. Alternatively, burning VC money. The thing that's wrong with Ocado's technology is that it's ridiculously expensive and tailored for huge FC's (fulfillment centers). The problem wit…

Where are you operating? I live in a dense European city and I don't know a single person who orders groceries online. Smallish shops with bike racks in front of the door are simply too convenient, seems hard to beat. Next few days shopping can easily be done in 15mn on the way back home.

> Smallish shops with bike racks in front of the door are simply too convenient

Most people don't live in city centers. Because they are the most expensive places to live in.

Re: Kroger acknowledges that its bet on robotics went too far

#146

Post by TechnicalVault »

simgt wrote: post #136
karamanolev wrote: post #123

I work in this exact space (online grocery retailer in Europe). We're profitable and one of the few companies to be so in the sector - many online divisions are losing money and being bankrolled by the parent company with physical stores. Alternatively, burning VC money. The thing that's wrong with Ocado's technology is that it's ridiculously expensive and tailored for huge FC's (fulfillment centers). The problem wit…

Where are you operating? I live in a dense European city and I don't know a single person who orders groceries online. Smallish shops with bike racks in front of the door are simply too convenient, seems hard to beat. Next few days shopping can easily be done in 15mn on the way back home.

In the London suburbs you see the grocery delivery vans out and about all day every day. It very much depends on the neighbourhood though, mostly the slightly posh mums or elderly ones ordering.

Re: Kroger acknowledges that its bet on robotics went too far

#147

Post by simgt »

dottjt wrote: post #137
simgt wrote: post #136

Earlier quoted context omitted.

Where are you operating? I live in a dense European city and I don't know a single person who orders groceries online. Smallish shops with bike racks in front of the door are simply too convenient, seems hard to beat. Next few days shopping can easily be done in 15mn on the way back home.

Maybe it's different in Europe, but at least in Australia you end up paying more at smaller shops, so I tend to avoid them. Is this the case in Europe as well?

Yes shops in dense urban areas are overall more expensive but there are discount stores like Lidl too. For higher quality products the difference is marginal (if you can even find an equivalent in a big suburban store). Having experienced both, my feeling is that it evens out if you account for the running cost of a car used often or delivery.

Re: Kroger acknowledges that its bet on robotics went too far

#148

Post by roryirvine »

simgt wrote: post #136
karamanolev wrote: post #123

I work in this exact space (online grocery retailer in Europe). We're profitable and one of the few companies to be so in the sector - many online divisions are losing money and being bankrolled by the parent company with physical stores. Alternatively, burning VC money. The thing that's wrong with Ocado's technology is that it's ridiculously expensive and tailored for huge FC's (fulfillment centers). The problem wit…

Where are you operating? I live in a dense European city and I don't know a single person who orders groceries online. Smallish shops with bike racks in front of the door are simply too convenient, seems hard to beat. Next few days shopping can easily be done in 15mn on the way back home.

I live in inner London. I have multiple grocery shops around me - within 10 minutes' walk I have a fishmonger, two butchers, two delicatessens, three bakeries, three greengrocers, four mid-sized organic/international grocers, six patisseries, a large Lidl, and a very large Sainsbury's supermarket.

I visit those local shops once or twice almost every day to pick up fresh bits and pieces - but I still get bulky or heavy stuff delivered by Ocado (toilet roll, washing powder, everyday wine, that sort of thing).

Re: Kroger acknowledges that its bet on robotics went too far

#149

Post by itopaloglu83 »

fma wrote: post #97

Or their online groceries didnt succeed because people can p4ice shop. I am of the belief Kroger does well because they obfuscate their prices and their tags which make it seems like they are sales truely are not. Unlike Publix if I see a discount I know it is a discount. Every other item in Kroger has a yellow tag and a red price to make you think you are getting a deal when in fact the red number is higher than reg…

It’s a great convenience though, we’ve been using it over a year now and it solved most of the bulk purchases, we then visit the store for other detailed items and get done quickly.

Re: Kroger acknowledges that its bet on robotics went too far

#150

Post by simgt »

londons_explore wrote: post #141
dottjt wrote: post #137

Earlier quoted context omitted.

Maybe it's different in Europe, but at least in Australia you end up paying more at smaller shops, so I tend to avoid them. Is this the case in Europe as well?

Yes - groceries in a small shop are easily 2x the £/calorie in the UK compared to a big superstore.

Are you comparing the cost of strictly identical products or something else? I'd be very curious to have some sources if you have any
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