Kroger (KR) to Accept SNAP Payment Option for Pickup Orders

To make shopping more convenient for consumers at a time when social distancing is the need of hour, The Kroger Co. KR announced that it will now accept Supplemental Nutrition Assistance Program (SNAP) benefits for pickup orders. Customers, who use government nutrition assistance program, can shop groceries either through Kroger’s app or on and pick-up their orders curbside at a preferred store location.

The company’s chairman and CEO said "Kroger is rolling out a payment capability across our nearly 2,800 grocery stores to allow more customers to access fresh, affordable food and essentials through our Pickup service."

Kroger informed that it currently provides curbside pickup across more than 2,000 outlets in America. It further added that SNAP/EBT payment option is available in Ohio and plans to extend the service at all its stores by the end of this month.

The company is doing everything to meet the rising demand for Pickup orders that help in minimizing person-to-person interaction. For the smooth functioning of the system, the company is deploying more e-commerce staff, adding more order pick-up slots and piloting a pickup-only store location in Cincinnati. The company is encouraging people to avail curbside pickup service and has also waived the pickup fee of $4.95.


Notably, Kroger is well-equipped to assist customers with pick-up, delivery and ship to home solutions and contactless payment solutions like Kroger Pay. It has been making prudent investments to bolster omni-channel operations, improve supply chain and increase manpower to ensure swift customer service amid such challenging times. Moreover, it is in the process of rolling out the improved Scan, Bag, Go mobile app that allow customers to scan and bag groceries as they shop, for a quicker and seamless checkout experience.

Kroger is committed and sensitive toward employees as much as it is toward customers during the time of this pandemic. The company has extended its “Hero Bonus”, a $2 premium above standard base rate, for all hourly frontline grocery, supply chain, manufacturing, pharmacy, and call center associates worked from Mar 29 through May 2.

We believe that Kroger’s customer-centric business model provides a strong value proposition. Notably, this Zacks Rank #3 (Hold) stock has increased 33.5% compared with the industry’s growth of 11.3% in the past six months.

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