On an earnings call, the CEO of Kroger, the third-largest grocery chain in the U.S. behind Walmart and Costco, revealed that the cost of groceries is now affecting even customers who would not be as “budget conscious.”
“The reduction of excess savings built up during the pandemic, higher interest rates and the effect of inflation are pressuring customers’ ability to spend,” Kroger CEO Rodney McMullen stated on the company’s quarterly earnings call. “This is especially true for our most budget conscious customers, as we’ve been seeing for a while now, but we’re now seeing other customer segments beginning to make changes as well. Customers are purchasing lower-price cuts of meat, buying less, and focusing on essentials.”
McMullen added that Kroger, which is expected to merge with Albertsons, the sixth-largest grocery chain in the nation, is responding by “keeping…
