When the Federal Trade Commission blocked the high-profile proposed merger of Kroger and Albertsons, it might have seemed like a significant blow to the grocery industry’s ambitions. Yet, the sector proved resilient, with other players stepping in to drive growth and transformation.

Aldi emerged as the undisputed leader in U.S. grocery expansion in 2024, opening 105 new stores and adding over 2.3 million square feet of retail space, according to a JLL analysis of the sector. This remarkable growth outpaced all competitors, underscoring Aldi’s dominance in the market. Other chains also expanded their footprints, though at a slower pace. Publix added 43 locations, Sprouts Farmers Market opened 35 stores, Trader Joe’s introduced 34 new outlets, Grocery Outlet added 27, and Amazon Fresh launched 21 more by year-end. Even Kroger, despite its blocked merger, managed to open 16 new stores.

While the Kroger-Albertsons deal was halted, mergers and acquisitions continued to reshape the industry. Aldi completed its acquisition of Southeastern Grocers, initiating the conversion of 220 Winn-Dixie and Harveys Supermarkets locations into its own format. Meanwhile, Canada’s Jim Pattison Group acquired Save Mart, a West Coast regional grocer with over 190 stores. Several smaller deals also occurred, involving acquisitions ranging from 22 to 49 stores. These transactions highlighted the ongoing consolidation within the sector despite regulatory hurdles.