THE FRIDAY 5: C-Suite Shakeups at Kroger; Product Innovation at Target Stores
Welcome to The Friday 5, Progressive Grocer’s weekly roundup of the top news and trends in the food retail industry. Each Friday, we’ll take a look at the stories that are most important to our readers and also keep tabs on the trends that are poised to impact grocers.
1. Leadership Changes at Kroger, Ahold Delhaize USA
PG readers this week were most interested in news of C-suite shakeups at both Kroger and Ahold Delhaize USA. Kroger’s round of leadership promotions includes Joe Kelley, president of Colorado-based King Soopers & City Markets division, now serving as SVP of retail divisions, while Kenny Kimball is returning to the Utah-based Smith's division as its president.
Chris Albi, group VP of operations at King Soopers & City Markets, will step into Kelley’s now-former role as president of that division. Kendra Doyel has been elevated to president at the California- and Illinois-based Food 4 Less, taking over from the retiring Bryan Kaltenbach.
At Ahold Delhaize USA, Sanja Krajnovic, whose previous role was EVP, ADUSA Distribution and ADUSA Transportation, has been named chief supply chain officer. Keith Nicks, whose prior position was chief digital officer, is now the company’s chief commercial and digital officer.
2. Ahold Delhaize Reeling From Cybersecurity Attack
Ahold Delhaize was also in the news this week as it came to light that data was stolen from its U.S. network during a November 2024 cybersecurity attack. The retail conglomerate’s security teams has been investigating the issue with the assistance of external cybersecurity experts.
On the morning of April 17, Ahold Delhaize issued an updated statement on the issue: “Based on our investigation to date, we believe certain files were taken from some of our internal U.S. business systems in connection with the prior cybersecurity issue. Our teams have been working diligently to determine what information may have been affected and we will notify affected individuals in accordance with our legal obligations. In addition, we have notified and updated law enforcement. The security of our customers, associates and vendor partners is a top priority.”
Another update was issued on April 22, with the company stating that “certain Dutch employment data may have been contained in the affected files. We have notified the Dutch Data Protection Authority.”
Impacted associates are likely those who were working for Ahold Delhaize Group, Ahold Delhaize Europe & Indonesia, Albert Heijn, Etos, Gall & Gall, and the Ahold Delhaize Coffee Co. in the Netherlands and who were on the payroll in April 2021.
3. Kroger, Wegmans Tinker With Restaurant Businesses
Restaurant news made waves this week, with Kroger closing two of its three Kitchen 1883 restaurant concepts as of April 24. The sit-down restaurant debuted in 2017 adjacent to a Kroger Marketplace in Union, Ky. That location, as well as one in Anderson, Ohio, have closed. A third outpost at Kroger’s On the Rhine location will remain operational.
Meanwhile, Wegmans Food Markets is on the opposite side of restaurant news. Close to two years after opening its Astor Place store in Manhattan, the location’s promised Next Door restaurant is slated to open on Wednesday, April 30.
The Art Deco-inspired restaurant will feature “contemporary Japanese cuisine,” Grub Street reported, including a sushi bar and a robata grill, as well as cocktails and a global wine list. This will be the second Next Door restaurant to open, following the one that opened in Wegmans’ hometown of Rochester, N.Y., back in 2002.
4. Grocery Shoppers Calling the Shots
Carly Fink, president and founder of market research firm Provoke Insights, shared her insight with PG readers this week regarding consumer trends study findings that provide important guidance for food retailers. According to the company’s report, 79% of Americans have noticed grocery prices going up, with grocery inflation being felt more strongly than in any other retail category.
“Consumers aren’t just reacting, they’re also rewriting the rules, creating a new grocery reality that demands a smarter, faster and more flexible approach,” Fink wrote. Read on for more about the four forces driving this transformation.
5. Target Innovates Wine, Floral Departments
Target was in the news multiple times this week for new product initiatives within its stores. To start, it has become the first major U.S. food retailer to commission a range of sustainable wines in low-carbon paper bottles that will save the equivalent of nearly 100 tons of carbon dioxide, according to U.K. packaging provider Frugalpac.
The Collective Good wine range, which is bottled exclusively in Frugalpac’s paper Frugal Bottle, features a Red Blend from Spain, a Sauvignon Blanc from Chile, a Cabernet Sauvignon from California and a Pinot Grigio from Italy. They have gone on sale in nearly 1,200 Target stores across the United States.
Additionally, Target officially launched a new fresh floral brand dubbed Good Little Garden. While the retailer has previously stocked seasonal florals as part of its owned brand Spritz, this is the retailer’s first standalone floral owned brand.
Good Little Garden, which is now available in Target stores and online, offers more than 60 seasonal and everyday options, including potted plants, fresh-cut bouquets and more.
