USA: Peapod steps up investment

Date : 19 April 2018

We highlight some of the latest developments at the Ahold Delhaize-owned, Chicago-based online grocery service, Peapod. This has seen Peapod launch a value-focused campaign, as well as new and broader partnerships with Chicago-based restaurants and the New York Yankees baseball team, driving local relevance.

Peapod invests in prices

Peapod has announced a series of price cuts and special offers to attract and retain shoppers. This includes:

  • Thousands of lower prices on fresh products, including natural and organic options
  • Bundle deals on complementary products
  • Bulk buy savings on popular staple items
  • A new cut price delivery subscription service, PodPass MidWeek. This provides free deliveries for a year on Tuesdays, Wednesdays or Thursdays for $55. This is less than half of the price of Peapod’s standard delivery subscription

…As it partners with restaurants in meal kit partnership

Meanwhile, having launched its range of meal kits back in 2014, Peapod is now partnering with two new Chicago-based restaurants as it widens its offer in the category. The collaborationwith Big Bowl and Wildfire restaurants, which specialise in Asian cuisine and steak and seafood respectively has seen the launch of three new restaurant-inspired meal kits. 

Commenting on the partnership, Spencer Baird, Senior Vice President of Merchandising for Peapod said, ‘It was a natural progression to work with trusted and popular restaurants based right here in Peapod's hometown of Chicago, and we are excited for our customers to be able to make these delicious recipes right at home’.

A number of leading retailers have noted competition from restaurants and other food-led spaces in the meal for tonight space. This partnership with restaurants based in Peapod's hometown offers shoppers a point of difference, while adding credibility and breadth to Peapod's own offer.

Follows series of innovation in this area

Earlier this year, Peapod partnered with Campbell’s Soup, Kraft Heinz and Barilla, adding new meal kits to its range.

Meanwhile, last year Peapod trialled a partnership with Instacart and the Wyndham Hotel Group, which saw a specially created meal kit delivery service available from select ‘Homemade @ Hawthorn’ recipes at a small number of hotels.

Peapod/New York Yankees partnership: branding, health & online promotions

In other news, Peapod is extending its partnership with the New York Yankees. This results in a variety of activity including:

  • Peapod branding displayed at the Yankee Stadium and Peapod delivery drivers wearing New York Yankees caps in the New York area
  • Peapod sponsoring the baseball team’s 'Healthy Home Plate' programme. This seeks to educate young people in New York about healthy eating
  • An Ultimate Fan Sweepstakes promotion for New York-based shoppers. Those that place an order between the beginning of May and end of June will be entered into a competition. This will see a winner receive a VIP experience at the baseball team’s stadium. Spending over $150 or opting for delivery on a Wednesday will increase the chances of winning this prize

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