In 1890,
John S. Dillon opened a general store in
Sterling, Kansas, and learned that allowing customers to charge then pay later and delivering groceries to their homes was a financial and manpower strain on his business. In 1913, he opened his "J.S. Dillon Cash Store" in Hutchinson, Kansas employed a new marketing concept called cash and carry, where the store would not offer credit or delivery services. Dillon opened a second store in 1915 that he managed then placed his son,
Ray E. Dillon, in charge of the original store. In 1917, the company was incorporated under the name "Dillon Mercantile Company, Inc". Due to his sons John and Ray both being overseas in France during
World War I, Dillon sold his company to his investment partners, but soon afterward both sons returned. They opened a new store called "J.S. Dillon and Sons Store" in 1919 and incorporated in 1921. In 1983, Dillon Companies, Inc., was acquired by The Kroger Company of Cincinnati, Ohio, creating a nationwide grocery chain. Several years later,
David Dillon was named Kroger's president and COO and became CEO in 2003. Dillon retired from that position effective January 1, 2014. In 2006, Kroger opened the first Dillons Marketplace in Wichita. The concept, similar to Kroger's
Fred Meyer chain, is of grocery and general merchandise. On February 12, 2015, the same year the 4 Springfield Missouri Dillons stores closed, the Dillons pharmacy location in Joplin was shuttered, four years after the Dillons store in Joplin was destroyed by the
2011 Joplin tornado. ==Gerbes==