Ahold Delhaize: initiatives aiming to drive healthy and sustainable consumption

Harriet Cohen
Senior Retail Analyst
@RetailAnalysis

Date : 20 October 2020

As it looks to standout in local markets and develop its offer to meet shoppers’ health-focused needs, Ahold Delhaize’s operations in Belgium and US have launched new initiatives to help encourage shoppers to live healthier and more sustainable lives.

Ahold Delhaize US aims to boost sales of healthier products…

As part of an initiative in conjunction with the Partnership for a Healthier America (PHA), Ahold Delhaize US has committed to increase its sales of healthier food. As part of the step, the retailer will publish the share of food sales that come from better-for-you options.

With this initiative, Ahold Delhaize US has said it aims to:

  • Generate at least 54% of private brand food sales from products with one, two or three stars through the Guiding Stars nutrition guidance programme by June 2025
  • Publish the percentage of total store food sales generated from all products, both private and national brand, with one, two, or three stars through the Guiding Stars programme

Commenting on the initiative, Ahold Delhaize US’s vice president of sustainable retailing and healthy living, Brittni Furrow, said: “Providing customers with affordable, nutritious food every day and leveraging our collective scale to move the needle on important public health issues is integral to our mission to make a local impact with a greater purpose. We look forward to this new partnership and working collaboratively to create a healthier America.

…While in Belgium it launches new loyalty card to offer discounts on healthy products

Its Delhaize banner in Belgium, meanwhile, has launched a new loyalty programme, SuperPlus, which includes discounts on healthy food, alongside personalised savings. SuperPlus will replace the retailer’s existing Plus loyalty programme and aims to make Delhaize ‘the best option for healthy food’. The programme, which is offered by as an app, which is integrated in the retailer’s revamped MyDelhaize ap, and as a physical card, offers shoppers who are willing to share their data further benefits.

Shoppers collect points on all their purchases but will gain further discounts. For example, a store wide discount of 20% could be 30% for loyalty card members, while they will also be able to swap point for vouchers for use with third party companies.

However, Delhaize is focusing the attention on the savings shoppers can make on healthier alternatives, those 5,000 SKUs with a Nutri-Score rating of A or B. To help shoppers, the app will suggest healthier alternatives to them as they make their purchases. The standard discount is 5% on healthy products, while this rises to 10% for those spending between €200 and €500 a month and a 15% discount for those who spend over €500 a month. The retailer estimated, including the discounts, shoppers can save between 4% and 7%.

Health a key aim of Leading Together strategy

Ahold Delhaize’s corporate Leading Together strategy is built around five pillars, which are being driven at a global level, but activated country by country to meet local shoppers’ needs. At a local level, the retailer’s various banners are promoting their health-oriented ranges, while also making sure the pricing is competitive and affordable for all. While the initiatives would have been in development for a while, they are likely to land well with shoppers in a post-COVID-19 world where health and wellness in its widest sense will be a key driver for many.

Ahold Delhaize US chooses supply chain innovation winner

Ahold Delhaize has selected Evergreen Farms, a vertical-farming technology start-up, as the winner of its supply chain pitch competition. Evergreen was one of five companies participating in the retailer’s Supply Chain start-up immersion programme, which saw startups work with mentors over 10 weeks. At the end of the timeframe Evergreen was chosen as providing the most viable technology, which provides vertical-farming technology to produce anywhere, regardless of climate.

Vertical farming solutions can help limit food waste, cut transport costs, and enable retailers to repurpose existing in-store space to produce locally grown products. Ahold Delhaize, at a corporate level, has a history of running competitions like these, with Fybots and Adlatus Robotics selected as winners of Cleaning Bot Challenge, which was run in the Netherlands. The company sees them as a win-win for it and competing companies, enabling it to build relationships with young companies, while it supports those pitching ideas with support, advice, and links into the grocery industry.