Ahold Delhaize has unveiled its integration plan: it wants to buy back a billion euros’ worth of shares next year and it intends to double its online turnover by 2020.
Save 500 million euro
Ahold Delhaize has been 1 company since 23 July 2016 and now the company is working on its integration and the synergies that can bring. In 2019, the integration process has to cut costs up to 500 million euro.
Another important part of its new strategy is to double the company’s online consumer turnover. For this year alone, it expects a 2.3 billion euro online turnover, but by 2020, that number should have doubled. Bol.com, which surpassed the 1 billion euro mark for the first time ever this year, will indubitably play an integral part in that strategy. Over the past few years, Ahold Delhaize’s online turnover grew an average 20 to 25 % annually.
The new merger company also wants to apply its bol.com knowledge, specifically its personalization strategy, to other online shops. For instance, its Albert Heijn customers should get a personalized shopping list based on their previous purchases and other data. In order to create those lists, Ahold Delhaize will perform 25 billion calculations every week.
On top of that, the company wants to focus more in sustainable retailing, specifically in three areas: promote healthier eating habits, limit food waste and create a healthier and more inclusive working environment for its employees.
Another goal is to buy back one billion euros’ worth of shares in 2017 and pay 40 to 50 % of its underlying profit as a dividend to its shareholders.
