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The Wall Street Journal reports that Ahold Delhaize has decided to reduce the number of e-commerce platforms it has in the US, “and looking for partnerships in a bid to stabilize its position in the online groceries market.”

The company’s US chains, such as Stop & Shop and Giant, traditionally have operated their own platforms, but the company “now plans to consolidate web sales under its Peapod online delivery service.”

CFO Jeff Carr says that the company also will be integrating the Peapod platform “with the stores and our loyalty cards.”

According to the story, “Ahold’s push to streamline its online presence comes as Inc. and its Whole Foods subsidiary challenge traditional grocers in the U.S., leading companies like Kroger Co. and Walmart Inc. to look to beef up digital assets to offset the competition.”
KC's View:
I’ve often felt that Ahold, and now Ahold Delhaize, undervalued Peapod as an asset. This makes a lot of sense, especially since the company seems to be spreading its wings a bit by launching a new entity, Peapod Digital Labs, which it has said “will drive digital and eCommerce innovation, technology and experience to meet the changing needs of customers of its local brands, regardless of when, where and how consumers choose to shop.”

In many ways, bringing everything together under the Peapod banner and integrating loyalty marketing, has to be just the beginning in ramping up the business to compete with what Amazon, Walmart and kroger are doing.