Robotics is a fast-growing industry. Credit: Dinendra Haria/SOPA Images/LightRocket via Getty Images.

UK-based online supermarket and technology group Ocado said on Monday (22 July) that US grocery retailer Kroger has placed a large order of new automated technologies to deploy across its warehouse network. 

The next stage of the partnership between the two companies comes after Ocado revealed that its retail partner Sobeys had pulled out of opening a fourth robotic warehouse. 

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Ocado said Kroger will deploy its automated systems, On-Grid Robotic Pick and Automated Frameload, in multiple customer fulfilment centres.

The On-Grid Robotic Pick, a robotic arm installed into a warehouse’s grid, automates the grocery sorting process.

According to Ocado, its On-Grid Robotic Pick can sort at least 70% of an extensive online grocery range.

Tim Steiner, chief executive of Ocado Group, said: “We are delivering a step-change in warehouse automation and new levels of efficiency to our partners as global supply chains are under significant pressure to manage higher volumes and greater complexity, as well as challenges in labour cost and availability.

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“Today marks another exciting milestone in our partnership with Kroger. Our current CFCs are already helping to deliver a game-changing quality of service to their customers across the USA.”

Robotics is a fast-growing industry. According to GlobalData forecasts, it was
worth $63bn in 2022, and by 2030 will have grown at a compound
annual growth rate of 17% to $218bn.

According to GlobalData’s Robotics Thematic Research report, the greater cost-efficiency of robots will be another important factor in the industry’s growth.

The increased widespread adoption of cloud computing will eventually give industrial robots continuous access to data and improve the interaction between robots on the factory floor, the report states, further enhancing performance and contributing to the segment’s growth.