Too busy making dough to shop for bread? Peapod offers online grocery shopping in 20-plus metro, suburban, and community locations in about a dozen states. Its markets include Baltimore, Boston, Chicago, Connecticut, suburban New York City, Manhattan, Milwaukee, and Washington, DC. Customers pay delivery fees (up to $9.95 based on the order's size); there are no membership fees. Peapod's virtual aisles are stocked with 8,000-plus products including natural and organic fare, office and school supplies, videos, pet items, and prepared foods. Peapod is the online shopping and delivery service for Giant Food and Stop & Shop supermarkets, chains owned by Ahold USA, a subsidiary of Dutch food retailer Royal Ahold.
Now that high-speed Internet service is available virtually everywhere throughout America, Peapod's customer base has picked up steam to include more than 350,000 customers annually. The average 60-item Peapod order rings up about $155.
While Peapod has operations in a dozen states, the online peddler of groceries is going after a territory that rival Fresh Direct has called its own for almost a decade. Peapod entered the Manhattan home-delivery market in early 2011; eventually it will be supported by some 20 trucks that will transport groceries to Manhattan from a Stop & Shop store in Mount Vernon, N.Y. Alongside Fresh Direct and Peapod, Manhattanites have access to corner bodegas and Whole Foods markets for delivery of fresh foods.
Not relying solely on home clients, Peapod has catered to a niche delivery segment since 2007 to lessen its reliance on residents. To this end, it opened a facility in the Boston area devoted to businesses, non-profit organizations, and schools.
Founded by brothers Andrew (president) and Thomas (CTO) Parkinson in 1989, Peapod is one of the few survivors of the once-crowded online grocery-delivery market.
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