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Kroger Pay Begins Gradual Rollout Across Brands

By Raymond Pucci
February 13, 2019
in Analysts Coverage, Credit, Debit, Merchant, Mobile Payments
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Mobile payment concept, Blur supermarket background, business and financial, technology.

Mobile payment concept, Blur supermarket background, business and financial, technology.

Add Kroger Pay to the mobile payment options available to in-store grocery store shoppers. As the following Grocery Dive article reports, Kroger expects the new service to be available in all its store brands by the end of this year.

  • Kroger launched Kroger Pay, a mobile payment program that combines shoppers’ payment information with loyalty cards and promotions, including digital coupons and personalized offers. Available in the grocer’s app, the program generates a QR code that shoppers scan at traditional checkouts as well as self-checkout stations.
  • Kroger has also introduced a new debit card under its Rewards card program that offers discounts on private label products, bonus fuel points and more. The card, along with the Kroger Rewards credit and prepaid debit cards, offers additional rewards when used through Kroger Pay.
  • Kroger Pay and the new Kroger Rewards debit card are currently available to shoppers in the grocer’s Columbus, Ohio division. The Rewards debit card is also available at King Soopers and City Market stores in Colorado and will expand nationwide this spring. Kroger Pay will move into 10 additional markets this spring and go nationwide later this year.

Grocers have been somewhat late to the mobile pay app action, compared with other verticals such as QSRs and mainline retailers. Kroger has taken a page from features of the more successful mobile pay apps. Combining loyalty and targeted marketing offers give customers more reasons to use the app other than for just a payment. If mobile trends hold true, shoppers will also be spending more per order as well.

Overview by Raymond Pucci, Director, Merchant Service at Mercator Advisory Group

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