Kroger tops grocer list in Metro Detroit
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A Kroger store in Birmingham. Photo: Sean Proctor/Bloomberg via Getty Images
Kroger continues to dominate over Meijer in the Metro Detroit grocery store war.
Why it matters: Despite fierce competition and fluctuating prices, the same names continue to dominate the grocery market.
State of play: Though inflation has lessened since its 2021 peak, shoppers are still overwhelmed and trying to stretch their cash further, according to market research firm NIQ.
- This year, consumers are expected to shift to value retailers, buying private label goods (like Walmart brand instead of Tylenol, for example) and buying in bulk, per NIQ.
- But shoppers still value sustainability and want to see products free from allergens, pesticides and additives.
The intrigue: Despite headlines about local Amazon Fresh stores, you won't see them crack our market share list.
- The grocery brand began building at least 10 locations in our region early in the pandemic, as Crain's reported, but hasn't opened any. As of this winter, two were expected to open this coming October.
- Don't even get us started on the Midtown Target plans falling through.
Yes, but: Independently owned stores help fill gaps in grocery offerings from many big-box chains avoiding the city of Detroit, which has no Kroger and lacks enough options for cheap, easily accessible fresh produce.
- The city does have two full-service Meijers and one small-format one, as well as an abundance of farmers markets.
The latest: New U of M research sees grocery delivery services as a potential path to help Detroiters better access these bigger full-service grocers. The report encourages policymakers and businesses to ensure online redemption for food stamps and make delivery apps more user-friendly.
- Nearly 40% of more than 2,000 Detroit households surveyed in 2023 said they use online grocery delivery — and that's higher for Detroiters with transportation or health challenges, or those in food assistance programs.
- But across all those surveyed, the cost is the top strike against delivery.