Ahold Delhaize sees automated centers helping US growth

Ahold Delhaize, which operates supermarkets in Europe and the US (‘Stop & Shop’ and ‘Food Lion’) is on track to meet a 20 percent US online sales growth target this year as it opens automated grocery distribution points along the East Coast, chief executive Frans Muller said in an interview.

Ahold Delhaize announced plans to roll out local, small, automated warehouses to increase order picking and cut delivery times, part of a revamp of its e-commerce business to help fight competitors like Kroger, Walmart, and Amazon. Muller said several new automated warehouses will be opened in 2019, with a higher number in 2020, but gave no specific number.

Frans Muller: “In the U.S. we continued to see good momentum in the financial performance across the brands. We are excited about the program to refresh the look and feel of our Stop & Shop brand and the rapid expansion of our Click and Collect options for our customers. In addition, Food Lion reported its 25th quarter of positive comparable sales and volumes, supported by the rollout of its ‘Easy, Fresh and Affordable’ program”.

With their Leading Together strategy in place, their focus turns to further strengthen local brands by accelerating investments in omnichannel growth, technology, and a healthy and sustainable offering to customers. The ‘Save for Our Customers’ program will support the funding of our investments in future profitable growth.

Source: Ahold Delhaize

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