The Kroger Co. (KR - Free Report) has been intensely working toward enriching customers’ shopping experience via innovations and enhancement of the e-commerce capabilities. To this end, the company has launched Kroger Pay, a mobile payment app. Also, it has rolled out the Kroger REWARDS debit card — a rewarding payment service.
Notably, Kroger Pay is available on iOS and Android devices, and can be utilized at traditional checkout lanes as well as self-checkout stations. It is a faster and secure payment solution that generates a single-use QR code following the shopper’s custom PIN or biometrics to scan at the payment terminal pairing loyalty and payment information. This new single-step option is expected to reduce checkout time, thus minimizing hassles for store representatives and customers. Kroger Pay can be connected to any debit, credit or prepaid card.
Kroger Pay facility is presently available at the company’s Columbus, OH division. It will be launched into 10 more markets this spring, with the intention to roll out nationwide later in the year.
Meanwhile, the REWARDS debit card, which automatically connects to the shopper’s checking account, is available in Columbus as well as Colorado’s King Soopers and City Market stores. This spring, it will also be introduced across all its stores. This lower-cost payment service allows customers to get extra savings on their purchase and is in sync with the ‘Restock Kroger’ program.
Impressively, Kroger’s 'Restock Kroger' program is reaping results. Under the program, the company is passing the benefit of cost containment to customers by lowering prices. As part of the program, it is making investments in space optimization, store remodels and technology advancements. By 2020, management expects to generate $400 million in incremental operating margin and over $4 billion of free cash flow (or $6.5 billion before dividends).
A glimpse of the company’s share price performance shows that it has outperformed the industry in a year’s time. The stock has gained 0.6% against the industry’s 4.1% decline. Kroger carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Three More Retail Stocks Seeking Your Attention
Boot Barn Holdings, Inc. (BOOT - Free Report) has an impressive long-term earnings growth rate of 20.7% and a Zacks Rank #1.
Zumiez Inc. (ZUMZ - Free Report) , also a Zacks Rank #1 stock, has an expected long-term earnings growth rate of 12.5%.
Abercrombie & Fitch Co. (ANF - Free Report) has long-term earnings growth rate of 15.3% and a Zacks Rank #2.
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