Monday Amazon Drops Prices at Whole Foods Market

26 August, 2017, 00:42 | Author: Elaine Woods
  • Amazon unveils Prime discounts, Lockers at Whole Foods

With lower-priced organic food available at other stores, Whole Foods customers had less incentive to shop at the high-end store.

Although Whole Foods will be keeping its name, there will be some crossover between Amazon and Whole Foods.

Whole Foods products targeted for initial price reductions include apples, avocados, bananas, butter, eggs, farmed salmon and rotisserie chicken.

Will you be one of the shoppers benefiting from Amazon's purchase of Whole Foods?

Jeff Wilke, chief executive of Amazon Worldwide Consumer, said that the company wants to make sure everyone can afford to eat well. Customers can have products shipped from Amazon.com to their local Whole Foods Market store for pick up or send returns back to Amazon during a trip to the store.

In addition, the two tech teams are integrating Amazon Prime into the Whole Foods POS system so that Prime members can receive special savings and in-store benefits.

According to Amazon, this is just the tip of the iceberg when it comes to making food shopping easier, better and more cost effective for their customers.

From a business point of view, the merger between Amazon and Whole Foodsmeans that shoppers will be more likely to enter Whole Foods stores, as they check their Amazon lockers, while Amazon has said it will use the 460 Whole Foods stores as distribution centers for delivering goods.

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"When Amazon announced plans to acquire Whole Foods in June, we suspected that Amazon meant to use Whole Foods as omnichannel in-store pickup points", he said.

Calling the combined venture "the first of a new breed of cyber-physical retailers", professor Lee McKnight of Syracuse University's school of information studies says Amazon's first priority isn't to boost Whole Foods' sales volumes - it's to boost the amount of data the company has about its customers. Walmart has more than 4,600 stores and past year started making a multibillion-dollar investment in lowering grocery prices.

Online retail behemoth, Amazon, is set to close the deal on acquisition of Whole Foods on Monday.

John Mackey, the Whole Foods co-founder and CEO, will stay on as CEO after the acquisition.

"It doesn't even make sense to purchase in an Amazon bookstore unless you have Prime", Mulpuru adds.

And this week, Google announced an agreement with Walmart that would allow people to buy Walmart items through Google Express, an online shopping mall that has sought, without much success, to compete against Amazon.

"Amazon can come in and price items very low", he said.

"Whole Foods Market, the natural and organic foods supermarket that calls itself America's Healthiest Grocery Store, is trying to shed another nickname, Whole Paycheck, as it "[pursues] the vision of making [its] high-quality, natural and organic food affordable for everyone".

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