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Kroger Shoppers Overpaying Due to Price Errors, Consumer Watchdog Says

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Kroger Shoppers Overpaying Due to Price Errors, Consumer Watchdog Says
A customer walks into a Kroger grocery store on September 09, 2022 in Houston, Texas. Kroger stock increased six percent as the company surpassed profit and sales expectations.

Kroger shoppers are paying more than expected due to price errors, according to a recent investigation by Consumer Reports.

The probe uncovered that many items advertised as discounted were still being sold at full price, leading customers to overpay.

The investigation, conducted with The Guardian and the Food & Environment Reporting Network (FERN), found expired sales tags on items ranging from everyday groceries like Cheerios cereal and Nescafé coffee to more expensive products such as salmon and boneless beef.

Over 150 items in Kroger and its subsidiaries—Harris Teeter, Fred Meyer, Fry's, and Ralphs—were found to have pricing errors.

According to CBS News, the report showed that the average overcharge was $1.70 per item, or about 18.4%.

The issue was flagged by Kroger employees in Colorado, who alleged that these pricing problems have been ongoing for years.

According to Consumer Reports, shoppers at 26 Kroger-owned stores across 14 states discovered expired price tags, with some outdated by more than 90 days.

One example included a bag of Mission Flour Tortillas at a Harris Teeter in Virginia, which was marked as being on sale for $2.99, but customers were charged $4.99.

Edgar Dworsky, a consumer advocate and founder of Consumer World, stressed the legal importance of accurate pricing.

"People should pay the price that is being advertised, that's the law," Dworsky said. "The issue here is that shoppers can't rely on the shelf price being accurate, and that's a big problem."

Kroger Denies Widespread Pricing Errors After Watchdog Report

In response, Kroger has disputed the findings, calling the scope of the problem overstated. A company spokesperson argued that the pricing errors cited were a small fraction of transactions.

"While any error is unacceptable, the characterization of widespread pricing concerns is patently false," the spokesperson said.

Kroger also emphasized that it regularly checks prices, reviewing millions of items weekly to ensure accuracy, ConsumerReports said.

Despite the company's reassurance, the issue has raised concerns among consumers, especially in light of rising grocery prices amid inflation.

Retail analysts, such as Neil Saunders of GlobalData, noted that the perception of overcharging could harm Kroger's reputation, particularly as consumers strive to get the best value for their money.

This overcharging problem is not unique to Kroger. Other large retailers like Walmart, Safeway, and Albertsons have faced similar allegations.

However, what sets Kroger apart is the large number of complaints from loyal customers, especially in states where Kroger has a strong market presence.

The investigation's findings come amid a wave of legal actions against Kroger, including multiple class-action lawsuits in California, Ohio, and Illinois. Kroger maintains that it is taking steps to address the issue by allowing employees to correct pricing mistakes on the spot.

Originally published on vcpost.com

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