Grocery delivery service Peapod announced Tuesday it will discontinue its operations in Indiana, Illinois and Wisconsin.
Peapod President Selma Postma says the decision to leave the Midwest was a tough one. She says Peapod’s parent company, Ahold Delhaize USA, is refocusing on business in the northeastern United States.
“There, we have the ability to combine in-store experience with online experience for our customers," she says.
AD USA will continue to operate Peapod in conjunction with its East Coast brick-and-mortar grocery chains, including Stop & Shop and Food Lion.
Peapod was the first online grocer in the U.S. Established grocery chains like Kroger and Walmart now also offer online ordering and grocery pickup.
Postma says 15 of the 500 Midwest employees the closures will impact are based in Indianapolis.
Peapod’s last delivery day will be Feb. 18.
