Here’s Why An Alibaba-Kroger Partnership Makes Sense For Both Sides

Alibaba and Kroger are considering working together in some capacity, and executives have met to discuss the possibility, sources told Reuters. The talks were reportedly not CEO level, and they're not guaranteed to lead to any type of cooperation, but a potential partnership could hold a lot of value for both parties.

For Kroger, a partnership with Alibaba may help it revolutionize its e-commerce and in-store experiences. Alibaba has a number of technologies that would benefit Kroger if the partnership comes to fruition. And Kroger may have an interest in such innovations, as it recently embarked on its Restock Kroger initiative to improve its digital and omnichannel capabilities.

  • Alibaba has expertise in e-commerce, which means that it can both advise Kroger as it looks to revamp its digital offerings, and provide some of its algorithms and artificial intelligence (AI) to help Kroger better personalize its online shopping experience.

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