Kroger’s move to Acquire Roundy’s Indicative of US Grocery Trends

The Kroger Company announced its intention to acquire Roundy’s, a grocery retailer operating in Wisconsin and Illinois in the US.  Kroger is the industry leader in supermarkets in the US with a 22.2% market share and is seeking continued growth through various strategies, one of which is mergers and acquisitions. The company purchased Harris Teeter in 2013 and by acquiring the Roundy’s brand will overtake 150 supermarkets in the Illinois and Wisconsin area. The move is indicative of current consolidation trends in the US grocery market such as Albertsons and Safeway, Delhaize and Ahold and Kroger and Harris Teeter. With such intense competition in the US grocery market, mergers and acquisitions will likely continue.

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