As economic headwinds get stiffer, companies that rely on grocery sales are navigating them with new leaders at the helm. Instacart, for its part, announced Friday (July 22) that CEO Fidji Simo has been named chair of the company’s board of directors, and Founder and Executive Chairman Apoorva Mehta will exit the company when it goes public.
“As CEO and future chair, I look forward to working alongside our retail partners to shape the next decade of grocery’s evolution,” Simo said in a statement. “We’ll do this by building on Instacart’s already strong foundation and putting our technology in the hands of our partners so we can invent the future of grocery together.”
Mehta stated in a tweet that the decision to leave was “incredibly difficult,” and that he has thought about the company “every waking minute of the last decade.” However, he is looking to make a change.
“Since I transitioned from CEO to Executive Chairman a year ago, I realized that I want to pursue a new mission and I want to do it with the same singular focus that I had while building Instacart. Stepping off the board will allow me to do just that,” he wrote.
Instacart filed with the Security and Exchange Commission (SEC) for an initial public offering (IPO) in May, and the company could list before the year closes.
Related news: Instacart Preps for IPO as Consumers’ Shift to Pickup Threatens Aggregators’ Future
The Giant Co., Hy-Vee Appoint New Leaders
Instacart is not the only grocery company shaking it up right now. Carlisle, Pennsylvania-based grocery chain The Giant Co., an Ahold Delhaize subsidiary with nearly 200 stores across four states, announced Wednesday (July 27) five new leadership appointments.
These changes include new vice presidents of finance and strategy; marketing and commercial planning; omnichannel operations; team experience; and a new vice president of Greater Philadelphia.
“By growing through these new opportunities, each of these leaders will deepen their current abilities and hone new skillsets while propelling our omnichannel strategy forward, positioning The Giant Co. for long-term growth and success,” Nicholas Bertram, president of The Giant Co., said in a statement.
Similarly, West Des Moines, Iowa-based supermarket chain Hy-Vee, which has 285 locations across eight Midwestern states, announced its own leadership changes Wednesday.
Specifically, the company revealed that CEO and Chairman Randy Edeker would step down as the former while retaining his title as the latter. Aaron Wiese, currently vice chairman and president of the grocer’s supply chain business, will take on the role of CEO at the start of October. President and Chief Operating Officer Jeremy Gosch will remain in his role, with both Wiese and Gosch reporting to Edeker.
“With this announcement, I can continue to focus on Hy-Vee’s strategy and evolution in today’s changing environment while Jeremy can focus on overseeing our stores and Aaron can focus on the day-to-day operations of the overall company,” Edeker said in a statement.
Giant Food Takes a Tip from Kroger with Reusable Containers
In other Ahold Delhaize news, Giant Food, another subsidiary distinct from The Giant Co., based in Landover, Maryland and operating more than 160 stores in the DMV area, is looking to keep shoppers coming back with reusable containers.
The company announced Tuesday (July 26) a partnership with recycling company TerraCycle’s Loop program to offer reusable packaging at stores in the Washington, D.C. area. Through the program, consumers can buy essentials in reusable containers, and then, when they are done, they return the containers. If this partnership works like previous Loop initiatives, consumers receive back a deposit paid upon purchase when they return the container.
“We are excited to partner with Loop, a global leader in eliminating waste, to offer our customers a program that allows them to shop their favorite products and help our environment,” Diane Couchman, Giant Food’s vice president of category management, nonperishables, said in a statement, according to Progressive Grocer.
In February, Kroger, the United States’ leading pure-play grocer, announced its own partnership with Loop at 25 locations of its Portland, Oregon-based Fred Meyer brand.
Read more: Kroger Launches Reusable Container Program to Keep Shoppers Coming Back
The system not only woos the growing portion of consumers concerned with issues of sustainability but also incentivizes them to keep returning, an effect increasingly important to grocers as rising prices threaten customer loyalty.
In fact, a national online study of 3,783 consumers conducted by PYMNTS this month found that nearly half (45%) of consumers say they’ll shop other grocery stores for better prices on the things they want to buy, too, including nearly 20% of those with incomes over $100,000 per year.
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