Ahold Expands Peapod Online Grocery Operations

Retail giant Ahold is investing in its US-based Peapod online grocery operations with the aim of acc…

Retail giant Ahold is investing in its US-based Peapod online grocery operations with the aim of accelerating growth in the New England and north-eastern regions.

The organisation plans to grow the number of Peapod shopping collection points to 200 this year, said chief executive Dick Boer.

Peapod will also open a new 27,900 square metre fulfilment centre in New Jersey in the coming months.

The semi-automated site will double the online grocer’s warehouse capacity for delivering Internet food shopping orders to the New York metro area.

Meanwhile, Peapod has opened a new distribution centre in Agawam, Massachusetts. The facility fulfils orders for its online customers in Hampshire and Hampden. It will also cater for the extra pick-up points – at Stop & Shop stores - opening in coming months.

While online food shopping sales jumped 13.5% for the year, the results were relatively neutral of profit, revealed Boer.

In February, Dutch retail group Ahold reported a 10.4% decline in its fourth quarter profits following on from discontinued businesses and weak sales in the US.