Both Kroger and Walgreens have been aggressive in their efforts to find new ways to remain competitive. In their latest move, the two national chains have joined forces, hoping to establish a new kind of retail space that appeals widely and effectively to picky shoppers. With this collaboration, Kroger Express sections in select Walgreens stores will feature produce, Kroger’s Home Chef premade meals, and other grocery items. In addition, shoppers who place online orders through Kroger’s website will be able to pick up their purchases at Walgreens stores. This cooperative agreement follows various other moves by the two companies. For example, Kroger purchased the home meal delivery service Home Chef and started putting the dinners on its shelves; Walgreens has added FedEx counters to many of its stores. Other pharmacy and grocery chains are experimenting with other options, such as the merger between CVS and the Aetna health insurance company. But this partnership is unique thus far, reflecting both companies’ desires to set themselves apart from the pack of competitors in these crowded sectors.

Source: Heather Haddon, The Wall Street Journal, December 4, 2018