Reports: Peapod to open grocery pickup sites in Chicago suburbs

NEW YORK — Online grocery retailer Peapod will set up three sites in Chicago where people can pick up groceries they've ordered, according to published reports.

The Chicago Tribune reported Monday that Ahold-owned Peapod would open three locations in the Chicago suburbs of Palatine, Ill., Schaumburg, Ill., and Deerfield, Ill.

The reports follow closely an Aug. 28 announcement by Peapod that it would allow customers in the Boston area to pick up groceries at a local Stop & Shop store, another banner owned by Ahold.

The newspaper reported that only customers living within 10 miles of the three locations would be allowed to use them, and while the company was planning to roll out the service on an introductory basis for free, it would later start charging $2.95, compared with the $6.95 delivery fees common in the Chicago area.