Peapod turns over its Peapod Packages service to Netgrocer.com
Online grocer Peapod.com is discontinuing its Peapod Packages service, which delivered packaged food products to customers who were not in Peapod’s local delivery areas. Starting next week, customers who want to shop on the Peapod Packages section of Peapod.com will be linked to Netgrocer.com, which operates a nationwide pack-and-ship operation. Peapod Packages was a small percentage of Peapod’s overall operation, the company tells Internet Retailer.
Peapod says the agreement is part of its efforts to sharpen focus on its core business of providing consumers with local delivery of groceries within selected markets throughout the eastern United States and in Peapod`s home city of Chicago. "Having reached operating profitability in our Chicago operation, our priority is to achieve the same goal in our other home delivery markets of Long Island, southern Connecticut, Boston and Washington, D.C.," said Marc van Gelder, Peapod`s president and chief executive officer. "As we work to deliver the full complement of groceries to our local customers in these markets, we are pleased to be able to refer Peapod Packages customers to a leading nationwide online retailer like Netgrocer.com."
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