Kroger Launching Private Brands in China

Today Cincinnati based grocer Kroger announced a pilot with Alibaba Group’s Tmall Global platform.

Kroger’s new online store introduces Kroger private brands to international customers for the first time. Kroger’s online store test will start with select Simple Truth items, providing Alibaba’s more than half a billion Chinese consumers with easy access to America’s largest natural and organic brand.

“E-commerce enables Kroger to quickly scale to reach new customers and markets where we don’t operate physical stores, starting with China,” said Yael Cosset, Kroger’s chief digital officer. “We anticipate Chinese consumers will love Our Brands – starting with Simple Truth products – just like our American customers do. Kroger is proud to continue to lead the way in making natural, organic and free-from products more mainstream and accessible. Sharing Kroger’s exclusive brands and status as a food authority the world over is exciting.”

Launched in 2014, Alibaba’s Tmall Global platform is China’s largest business-to-consumer marketplace, providing a premium shopping experience for China’s consumers. The platform provides brands and retailers without operations in China to build virtual storefronts and ship products into China.

Simple Truth has quickly become the second-largest brand sold in Kroger stores since launching five years ago. In 2018, Simple Truth reached more than $2 billion in annual sales, making it the largest natural and organic brand in America.

“Kroger is the world’s third largest retailer by revenue—$122.7 billion in sales in 2017. We are creating the grocery retail model of the future by focusing on digital and technology,” added Cosset.

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Christopher Durham
Christopher Durham is the president of My Private Brand and the co-founder of The Vertex Awards. He is a strategist, author, consultant and retailer who built brands at Delhaize-owned Food Lion, and lead strategy and brand development for Lowe’s Home Improvement. He has consulted with retailers around the world on their private brand portfolios including: Family Dollar, Petco, Staples, Office Depot, Best Buy, Metro (Canada), TLW (Taiwan) and Hola (Taiwan). Durham has published five definitive books on private brands, including his first book, Fifty2: The My Private Brand Project. In 2017, he will debut his newest book, Vanguard: Vintage Originals, a visual tour of innovation and disruption in private brand going back to the mid-1800’s. Dynamic in his presentation while down to earth and frank in his opinions, he has presented at numerous conferences, including FUSE, The Dieline Conference, Packaging that Sells, Omnishopper and PLMA’a annual trade show in Chicago. Durham lives in Charlotte, NC with his wife, Laraine, and two daughters, Olivia and Sarah.