After more than 20 years in business, online grocer FreshDirect is going to launch its first shopper loyalty program.

In an announcement last week, the company, which delivers groceries across a seven state region that includes New York City and Washington, D.C., said it has selected digital marketing agency BAM Strategy to help build the program. The agency will be tasked with carrying out customer research to inform content and analytics strategy, and will contribute branding expertise to the program.

BAM will also review FreshDirect’s current offerings to help figure out what opportunities the e-grocer can pursue as part of a loyalty program.

Online grocery demand has slowed as consumers have contested with rising prices and done more of their shopping in stores than they did earlier in the pandemic. FreshDirect, which was acquired by Ahold Delhaize and Centerbridge Partners in late 2020, also competes with chain grocers like Whole Foods and Wegmans.

Loyalty programs have gone digital in recent years. Grocers like Kroger and Albertsons have launched e-commerce memberships that offer no-fee deliveries in addition to product discounts and other perks for an annual fee, while Walmart bundles in a host of services and discounts into its Walmart+ program.

FreshDirect plans to launch its new loyalty program in early 2023.