Kroger ventures into Silicon Valley, purchases digital coupon leader YOU Tech
Cincinnati -- The Kroger Co. announced it has purchased the assets of YOU Technology Brand Services, the Silicon Valley-based provider of digital coupons and promotions. Financial terms of the transaction were not disclosed.
Founded in 2008, YOU Tech's retailer-centric, cloud-based platform bridges the gap between online engagement and in-store purchases, creating a measurable way for retailers and brands to drive consumer purchase decisions online, in-store, and on-the-go. Its network, which includes Kroger.com/digitalcoupons, includes over 10,000 retail stores representing over $100 billion in retail sales and 100 million U.S. households. YOU Tech will continue to serve existing and future retail customers
"YOU Tech's nimble and innovative digital coupon platform has enabled Kroger to deliver hundreds of millions of digital coupons to Kroger customers," said Jeff Talbot, Kroger's VP of customer loyalty. "This transaction is consistent with our digital customer growth plan and provides Kroger a significant opportunity to expand its presence in Silicon Valley, enhancing our exposure to new technologies. YOU Tech will benefit from Kroger's strong balance sheet as it continues to expand its digital platform to many other retailers and CPG partners."
Kroger's accelerated growth strategy includes targeted capital investments to increase its store base and square footage in both new and existing markets, and to strengthen its connection with customers through the growing digital and mobile channels.