CUSTOMER 1ST STRATEGY

CUSTOMER 1ST STRATEGY
Our relentless focus on our Customer is what
makes Kroger® stand apart from others in
our industry. Our Customer 1st Strategy has
been the center of most of what we do for
over a decade, and we attribute a large part
of our success to growing the connection
with the Customer and remaining relevant to
them.
Listening to what our Customers tell us is so
important. We invest in four key areas of
our business, so that our
Customers say:
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Our people are great!
I get the products I want, plus a little.
The shopping experience makes me want to return.
Our prices are good.
These investments can take several forms – including improved Customer service,
expanded product offerings with superior quality, friendly and helpful associates, and
lower prices. We fund these investments through operating cost reductions and
productivity improvements across all areas of our business.
The Customer 1st Strategy is reflected in our
long-term business model. It affects every
decision we make and it has enabled us to create
sustainable shareholder value in a highly
competitive industry. Our objective is to
increase annual earnings per share through the
combination of strong, sustainable identical sales
growth and slightly improved operating margins,
both excluding our retail fuel operations.
Investments in the 4 keys of our Customer 1st
Strategy help us drive strong and sustainable
identical sales and market share growth.
A cornerstone of our business strategy is balance. We seek to consistently deliver
solid financial results in the near-term while making meaningful investments for our
future. Our Customer 1st Strategy has proven that it can benefit Customers,
associates, and investors in a variety of economic and competitive conditions.
The Kroger Co.
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