Sponsored By

Kroger’s 84.51° launches omnichannel analytics tool for CPGs

New Stratum service gives single view of consumers’ in-store, digital purchases

Russell Redman

July 18, 2019

3 Min Read
Supermarket News logo in a gray background | Supermarket News

The Kroger Co.’s 84.51° data intelligence subsidiary has rolled out an analytics solution to give consumer brands an omnichannel snapshot of customer behavior.

Called Stratum, the tool leverages data captured from brick-and-mortar and digital transactions, enabling brands to better position their products with consumers both in-store and online, Kroger and 84.51° said Thursday.

Kroger noted that Stratum provides insights gleaned from transactions made by one out of every two households. As the nation’s largest supermarket company, the Cincinnati-based retailer has amassed huge, rich stores of data from its approximately 2,800 stores, vast digital properties, millions of daily transactions and broad analytics capabilities.

According to Mike Donnelly, chief operating officer and executive vice president at Kroger, Stratum can help drive growth for consumer packaged goods (CPG) brands and the retailer’s exclusive brands, which are a linchpin of its Restock Kroger plan to redefine the customer experience.

“As we continue to accelerate our Restock Kroger strategy, we’re all very excited about the next iteration of our customer insights. Stratum is a science-powered insight tool that is designed with the end-user in mind,” Donnelly said in a statement. “Stratum will be an accelerator for Our Brands and CPG partners alike.”

Related:Kroger to form consumer brand incubator

With broad data sets that provide access to in-store and online purchases in one view, Stratum can be used to draw conclusions representative of consumer behavior nationally, according to 84.51° and Kroger. Brands also will have greater latitude in customizing their experience, collecting data on sales  performance, inventory and out-of-stocks, assortment, promotions, customer segmentation and behavioral insights, new item performance and in-store space management. Multiple subscription packages for Stratum are available to meet brands’ various needs and budgets, they said.

Kroger Stuart Aitken

Stuart Aitken, CEO of 84.51°

Kroger and 84.51° put data and customer insights at the forefront of our decision making. This science-backed approach allows for greater collaboration and a more comprehensive planning methodology for our brand partners. Simply put, data is our most valuable asset,” explained Stuart Aitken, 84.51° CEO.

“With Stratum, we have created a groundbreaking product, which will dramatically change the way our brand partners plan and execute their marketing and merchandising budgets,” added Aitken, who in February also was named Kroger's senior vice president of alternative business, a newly created position.

Related:Kroger puts its data science prowess to work for brands

Under the Restock Kroger initiative, The Kroger Co. has been looking to alternative profit streams to help reach its goal of $400 million in operating profit by 2020. To that end, the company has worked to grow its business through partnerships, media, consumer packaged goods (CPG) insights and its Kroger Personal Finance arm.

On the analytics side, for example, in June 2018, the company launched a self-service marketing platform called Boosted Products in Search, designed to help CPG brands reach digitally savvy shoppers with “hyper-relevant” products in search results across Kroger digital properties, as well as view performance in real time. The service allows brands to promote their online assortment with Product Listing Ads (PLAs) via the Kroger Precision Marketing Powered by 84.51° platform.

This year, in March, Kroger Precision Marketing entered into an alliance with Pinterest that enables advertisers to leverage Kroger's first-party data to target customers on the social platform and track engagement — from digital inspiration to purchase — via closed-loop measurement.

And this past May, Kroger partnered with private investment firm Lindsay Goldberg to form an incubator for next-generation consumer product brands. Called PearlRock Partners, the platform will identify, invest in and help grow emerging products, and the companies said it be one of the largest data-driven investment vehicles focused on consumer brands.

 

About the Author

Russell Redman

Senior Editor
Supermarket News

Russell Redman has served as senior editor at Supermarket News since April 2018, his second tour with the publication. In his current role, he handles daily news coverage for the SN website and contributes news and features for the print magazine, as well as participates in special projects, podcasts and webinars and attends industry events. Russ joined SN from Racher Press Inc.’s Chain Drug Review and Mass Market Retailers magazines, where he served as desk/online editor for more than nine years, covering the food/drug/mass retail sector. 

Russell Redman’s more than 30 years of experience in journalism span a range of editorial manager, editor, reporter/writer and digital roles at a variety of publications and websites covering a breadth of industries, including retailing, pharmacy/health care, IT, digital home, financial technology, financial services, real estate/commercial property, pro audio/video and film. He started his career in 1989 as a local news reporter and editor, covering community news and politics in Long Island, N.Y. His background also includes an earlier stint at Supermarket News as center store editor and then financial editor in the mid-1990s. Russ holds a B.A. in journalism (minor in political science) from Hofstra University, where he also earned a certificate in digital/social media marketing in November 2016.

Russell Redman’s experience:

Supermarket News - Informa
Senior Editor 
April 2018 - present

Chain Drug Review/Mass Market Retailers - Racher Press
Desk/Online Editor 
Sept. 2008 - March 2018

CRN magazine - CMP Media
Managing Editor
May 2000 - June 2007

Bank Systems & Technology - Miller Freeman
Executive Editor/Managing Editor
Dec. 1996 - May 2000

Supermarket News - Fairchild Publications
Financial Editor/Associate Editor
April 1995 - Dec. 1996 

Shopping Centers Today Magazine - ICSC 
Desk Editor/Assistant Editor
Dec. 1992 - April 1995

Testa Communications
Assistant Editor/Contributing Editor (Music & Sound Retailer, Post, Producer, Sound & Communications and DJ Times magazines)
Jan. 1991 - Dec. 1992 

American Banker/Bond Buyer
Copy Editor
Oct. 1990 - Jan. 1991 

This Week newspaper - Chanry Communications
Reporter/Editor
May 1989 - July 1990

Stay up-to-date on the latest food retail news and trends
Subscribe to free eNewsletters from Supermarket News

You May Also Like