Ahold Delhaize USA has stopped operating its Peapod Digital Labs and Retail Business Services units as individual companies and consolidated their functions into a unified support group, according to an emailed statement from the grocery company.
All employees who were part of the two formerly separate units now work for the Ahold Delhaize USA Services organization as a result of the changes, Ahold Delhaize USA Vice President of Communications Christy Phillips-Brown said in the statement.
The changes, which took effect on March 31, mean that Ahold Delhaize will no longer use the storied Peapod brand, which has its roots in an online grocery business the company acquired in 2001 and evolved into its current e-commerce services. Ahold Delhaize stopped using the name for its customer-facing grocery delivery operations several years ago but had preserved it through Peapod Digital Labs.
Ahold Delhaize is also retiring the Retail Business Services name.
The organizational adjustments are part of “an effort to simplify the U.S. support function operating model and improve organizational effectiveness,” Phillips-Brown said in the statement, adding that “the new organization will continue to leverage the great talent and capabilities built by these teams to streamline services to the local brands of Ahold Delhaize USA as we drive future omnichannel growth.”
Peapod Digital Labs was responsible for an array of technology-related services, including the development of e-commerce apps for Ahold Delhaize’s U.S. grocery chains, while Retail Business Services handled functions including facilities support, financial planning and pharmacy services.
Two other Ahold Delhaize organizations that support the Dutch grocer’s supermarkets in the United States, ADUSA Distribution and ADUSA Transportation, will remain separate companies, according to the statement. Ahold Delhaize’s five U.S. supermarket banners, which include Food Lion, Hannaford, The Giant Company, Stop & Shop and Giant Food, are also unaffected by the shifts.