According to messages sent to multiple customers that were shared with News4JAX, Kroger will no longer be offering delivery service in the Jacksonville area, beginning in January.
Kroger announced Tuesday that it’s closing three automated fulfillment centers as part of an effort to make its delivery operations faster and more profitable.
The nation’s largest grocer said it will close facilities in Pleasant Prairie, Wisconsin; Frederick, Maryland; and Groveland, Florida, in January.
Messages sent to customers said that delivery service in the Northeast Florida area will be ending on Jan. 7, 2026.
“Our commitment to our customers is to offer them the best service and options to shop with us, no matter how you want to shop,” the message read. “As we assessed our service, we have decided to suspend operations in your area.”
According to the message, Kroger is refunding the cost of Boost memberships and offering unlimited-use free delivery through Jan. 6.
“We don’t make these decisions lightly, and we understand the impact this has on our customers and communities,” Kroger said in the message.
An employee who spoke with News4JAX on the condition of anonymity said the decision surprised many workers, especially since some had recently started servicing multiple cities.
“It’s unbelievable to be honest with you because the customer base here is very solid,” said one Kroger employee. “The change feels abrupt, especially for employees who had just begun working in the delivery service.”
The employee added, “We service a lot of people in Jacksonville. We help people that are disabled who cannot go to the store. Our drivers bring groceries to their door and inside their house if needed. Retirement homes, communities, daycares — it’s not just Jacksonville, it’s the surrounding area. It’s going to be a big loss.”
In the announcement about the facilities closing, the company said it will monitor the performance of its five remaining facilities.
“We are taking decisive action to make shopping easier, offer faster delivery times, provide more options to our customers, and we expect to deliver profitable sales growth as a result,” Kroger Chairman and CEO Ron Sargent said in a statement.
Kroger partnered with British grocery technology company Ocado Group in 2018 to build warehouses where robots would pick and pack grocery delivery orders. Initially, the companies planned 20 locations, but only eight have been built so far.
Kroger said it will incur a $2.6 billion charge in its fiscal third quarter related to the closure of its operations. The company said it expects the closures will improve its e-commerce operating profit by $400 million in 2026.
Ocado shares fell 16% Tuesday on the London Stock Exchange. Kroger shares were up 1% Tuesday morning on the New York Stock Exchange.
During a conference call with investors in September, Sargent said that in most locations, it makes sense to use stores to fulfill delivery orders instead of centralized warehouses.
Stores are closer to customers, so orders can be delivered more quickly and cheaply, Sargent said. He said Kroger is capable of delivering orders in less than two hours from 97% of its 2,700 U.S. stores.
“Stores are our most important asset,” Sargent said.
Sargent said that in some high-density areas with strong delivery demand, automated fulfillment facilities are delivering better results.
At the same time, Kroger is also leaning more heavily into partnerships with third-party providers.
In September, the company said it was expanding its partnership with DoorDash.
DoorDash offered delivery of sushi, flowers and prepared meals from Kroger starting in 2022, but it now offers delivery of Kroger’s full assortment of products.
Last month, Kroger announced a similar expanded partnership with Uber Eats.
And earlier this month, Kroger said it was working with Instacart to expand express delivery from its stores.
Kroger will also be one of the first retailers to offer access to Instacart’s AI assistant, which builds delivery orders automatically based on customers’ preferences and provides meal ideas.