Kroger Expands RFID and AI Inventory Tools After 98% Read Performance in Bakery Pilot

Kroger is deploying radio-frequency identification and computer vision across its store network to improve inventory flow and on-shelf availability, executives said at an Oct. 20 analyst and investor day. The grocer is piloting RFID in its bakery division at roughly 1,500 stores and plans to extend the technology to more than 2,300 stores by 2029. The bakery pilot produced 98% read performance, nearly 70% faster inventory counts and a 50% reduction in waste, EVP and Chief Store Operations Officer Mark Ibbotson said. Kroger is also sharing computer vision data with suppliers to sharpen replenishment and markdown decisions. CEO Gregory Foran said the initiatives aim to "take cost and complexity out" and expand margins over time. CFO David Kennerley said the supply chain investments support new stores and e-commerce demand, including an automated site in Franklin, Kentucky, expected for completion in 2028. The push follows Kroger's scale-back of its Ocado fulfillment partnership after the robotic sites missed performance benchmarks.