Ahold Delhaize ups U.S. store remodels, click-and-collect for 2021

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Ahold Delhaize ups U.S. store remodels, click-and-collect for 2021

By Dan Berthiaume - 11/04/2020

A global supermarket conglomerate is accelerating the remodeling program for its U.S. Stop & Shop banner.

Ahold Delhaize plans to remodel approximately 60 additional Stop & Shop stores in 2021, compared to 31 locations in 2020. According to Ahold, the remodeled stores are performing well, with sales lifts in line with its expectations.

The company announced its remodeling plan as part of a larger overview of initiatives designed to establish its U.S. banners as industry-leading local omnichannel retailers in 2021 and beyond.

Currently, Ahold’s U.S. businesses reach approximately 90% of households in their markets with home delivery and click & collect, and around 70% with same-day delivery options. In 2020 and 2021 combined, Ahold intends to increase its online capacity by nearly 100% in the U.S. This increase will be inclusive of an expansion to nearly 1,400 click & collect locations in the U.S. by 2021, doubling Ahold’s click & collect location count in the country since the beginning of 2020.

The Giant Company will test a new subscription offer in Q1 2021. The offer will include an annual membership fee under $100, improved value proposition and preferential delivery time slots, with a goal of driving increased loyalty and engagement. All of Ahold’s U.S. businesses will offer an "endless aisle" solution with an additional 80,000-100,000 general merchandise and food items in the first half of 2021, utilizing the Mirakl platform.

Ahold also plans to improve its U.S. supply chain capabilities by moving to a fully integrated, self-distribution model beginning in 2023. The first integrated distribution center of the transformation initiative will go live in 2021. The company will introduce 1,500-2,000 more private label items in the U.S. 2021, growing from an existing base of 15,000 items there.

"We continue to adapt to changes we are seeing in consumer shopping patterns and behavior,” said Frans Muller, president and CEO, Ahold Delhaize. “Over the coming years, we will invest in our business to solidify our position as an industry-leading local omnichannel retailer and increase our share of the consumer wallet.”

Ahold’s U.S. banners include supermarket chains Food Lion, Giant Food (of Landover), Giant Food Stores (of Carlisle), Hannaford, and Stop & Shop.