Kroger, Walgreens to Test Grocery Pickups

U.S. grocer Kroger Co. and Walgreens Boots Alliance Inc. are testing a partnership to allow Kroger customers to order online and pick up groceries at some of the drug retailer's stores, Kroger said Tuesday.

Grocers across the United States have been implementing new ways to draw more shoppers to their stores as they face intense competition from online retailer Amazon.com Inc and its unit Whole Foods.

Kroger said the pilot program will be tested across 13 Walgreens stores near Kroger's Cincinnati headquarters.

Kroger said customers will also be able to shop for its 'Our Brands' range, including the Simple Truth organic food brand, at the Walgreens stores.

Shares of Kroger rose about 2 percent in premarket trading, while Walgreens edged 1 percent higher.

(Reporting by Nivedita Balu in Bengaluru; Editing by Maju Samuel)

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