Kroger purchases digital coupon company
The Kroger grocery store chain recently announced that it had purchased the assets of YOU Technology Brand Services, Inc., a California-based digital coupon company. Financial terms of the transaction were not disclosed.
Kroger is one of the nation's largest retailers, with more than 2,600 locations in 34 states and the District of Columbia. YOU Tech was founded in 2008 and is the creator of a cloud-based platform that gives retailers a measurable way to influence consumer purchase decisions online and in stores. YOU Tech currently serves over 10,000 retail stores and will continue to work with them and future clients after the business acquisition is completed.
"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 vice president of customer loyalty, in a press release. "This is a good strategic fit for both Kroger and YOU Tech. This transaction is consistent with our digital customer growth plan and provides Kroger a significant opportunity to expand our presence in Silicon Valley, enhancing our exposure to new technologies."
The Ohio-based retailer is currently pursuing an accelerated growth strategy, and the purchase of YOU Tech may just be one of many business mergers for the company. A few weeks ago, Kroger finalized a deal to acquire North Carolina-based grocery chain Harris Teeter. The company began offering digital coupons in late 2009. As of the end of 2013, over 900 million of these promotional devices have been downloaded.