Kroger Co. has introduced a Verified Savings Program that gives eligible shoppers a 20% discount on all fruits and vegetables. The program is available to recipients of major federal assistance programs—including SNAP, WIC, Medicaid, LIHEAP, and several others—and is valid through January 31, 2026. Eligible customers must verify their status through SheerID, and the discount is available for a five‑month enrollment period with periodic re‑verification to keep the program focused on qualifying households.
The program also offers a half‑off Boost by Kroger Plus membership, which provides free grocery delivery and other loyalty benefits. By bundling a produce discount with a discounted membership, Kroger aims to increase store visits and encourage higher basket sizes among price‑sensitive shoppers, while also expanding its reach into the growing market for affordable fresh produce.
Kroger’s Q3 2025 financial results provide context for the launch. The company reported an adjusted earnings per share of $1.05, beating consensus estimates of $1.03 by $0.02 (a 0.6% beat). Revenue, however, missed expectations, falling to $33.86 billion versus the $34.27 billion forecast—a $0.41 billion shortfall. The miss was largely driven by a $2.6 billion impairment charge related to its automated fulfillment network, which pushed GAAP net loss to $1.32 billion. On an adjusted basis, operating profit rose to $1.089 billion from $828 million in Q3 2024, and the gross margin (excluding fuel) expanded to 22.8% from 22.4% year‑over‑year, reflecting lower supply‑chain costs and a favorable mix from the sale of Kroger Specialty Pharmacy.
The Verified Savings Program is part of Kroger’s broader strategy to strengthen its competitive position against discount retailers and online grocery services. By targeting households that rely on government assistance, the company seeks to increase foot traffic and sales in its core produce category while reinforcing loyalty among low‑income shoppers. The program also dovetails with Kroger’s ongoing e‑commerce review, which the company expects to turn profitable in 2026 after network optimization and the closure of some fulfillment centers.
Ron Sargent, Chairman and CEO, said the initiative “makes fresh food more affordable and eliminates one more barrier to food security.” He added that the program “is an incredible step in expanding food access and equipping more customers with free grocery delivery.” Group VP of Fresh Merchandising, Carlo Baldan, echoed the sentiment, noting that the program “thrills us to make fruits and vegetables more affordable and eliminate one more barrier to food security.”
Investors have approached the announcement with caution, focusing on the $2.6 billion impairment charge that weighed on earnings. While the program signals a commitment to community impact, the financial impact of the impairment and the modest revenue miss suggest that the market will monitor Kroger’s ability to translate the initiative into measurable sales growth in the coming quarters.
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