Ahold Delhaize aims for comparable sales growth

Zaandam, the Netherlands-based Ahold Delhaize recently introduced its Leading Together strategy at the 2018 Capital Markets Day in New York. The comprehensive strategic program focuses on driving comparable sales growth and market share gains over the next three years, according to a press release.

"The merger and integration of Ahold and Delhaize Group have created a strong and efficient platform for growth, while maintaining strong business performance and building a culture of success,” Frans Muller, president and CEO of Ahold Delhaize, said in a statement. “In an industry that's undergoing rapid change, fueled by shifting customer behavior and preferences, we will focus on growth by investing in our stores, omnichannel offering and technological capabilities which will enrich the customer experience and increase efficiencies. Ultimately, this will drive growth by making everyday shopping easier, fresher and healthier for our customers."

In the next three years, Ahold Delhaize said it expects to deliver comparable sales growth and market share gains as well as a doubling of net consumer online sales to around $7.9 billion by 2021. While investing in growth, the company said it will maintain a disciplined approach to capital investment and allocation. Capital expenditure will be around 3 percent of annual sales during the coming three years. 

“Our commitment is to self-fund the investments needed to drive growth, as our new cost-savings program will allow us to maintain a stable group margin through 2019,” Muller said. “This will allow us to invest in our stores, omnichannel offering and technology, while we explore and seize new leadership opportunities in existing and adjacent markets."

In the United States under Ahold Delhaize USA, the company operates Stop & Shop, Food Lion, Giant, Hannaford, Giant/Martin's and Peapod, as well as Retail Business Services), a shared services company providing support to the brands.