Changes at Whole Foods were underway as the metaphorical ink was still drying on Amazon’s latest acquisition deal. For 13.4 billion dollars, Amazon has an estimated 1.7% market share in the grocery business. According to Walgreens, in 2015 they were the 10th largest food retailer overall, based on sales rankings from Progressive Grocer.
Amazon came through on their announcement to slash prices at Whole Foods. A variety of products had their prices slashed yesterday. Jeff Wilke, CEO of AmazonWorldwide Consumer said “We’re determined to make healthy and organic food affordable for everyone. Everybody should be able to eat Whole Foods Market quality – we will lower prices without compromising Whole Foods Market’s long-held commitment to the highest standards”.
Wilke went on to discuss future plans between Amazon and Whole Foods. “This is just the beginning – we will make Amazon Prime the customer rewards program at Whole Foods Market and continuously lower prices as we invent together.”
Both BusinessInsisder and CNBC visited Whole Foods to investigate the price cuts. BusinessInsider reported these savings:
- Whole Trade Banana: 30 cents (Price dropped to $0.49 a pound from $0.79)
- 85% Lean Ground Beef: $2 (Price dropped to $4.99 a pound from $6.99)
- Local Grass-Fed 85% Lean Ground Beef: $4 (Price dropped to $6.99 a pound from $10.99)
- Four-pack of Organic Avocado: $0 (Price stayed at $6.99 for a pack of four)
- Hass Avocados: $1.01 (Price dropped to $1.49 each from $2.50)
- Organic Large Brown Eggs: 30 cents (Price dropped to $3.99 from $4.29 for a dozen )
- Fresh Atlantic Salmon Fillet: $5 (Price dropped to $9.99 a pound from $14.99)
- Frozen Atlantic Salmon Fillet: $0 (Price stayed at $10.49 a pound)
- Fresh Tilapia Fillet: $4 (Price dropped to $7.99 a pound from $11.99)
- Organic Baby Kale: 50 cents (Price dropped to $3.49 a pack from $3.99)
- Organic Baby Lettuce: 50 cents (Price dropped to $3.49 a pack from $3.99)
- 365 Brand Almond Butter: $1 (Price dropped to $6.99 a jar from $7.99)
- Organic Fuji Apples: $1.50 (Price dropped to $1.99 a pound from $3.49)
- Organic Gala Apples: $1 (Price dropped to $1.99 a pound from $2.99)
- Organic 365 Brand Butter: 80 cents (Price dropped to $4.49 for four quarters from $5.29)
Added up, it comes to a total savings of $21.91
Cutting prices is only the beginning of the changes on the horizon. As the two stores integrate technology and logistics, Prime members will qualify for additional savings and other in store benefits. Also, select Whole Foods will have “Amazon lockers”. With the lockers you can shop online at Amazon.com and have your order shipped to your local Whole Foods store for pick up.
According to Amazon, over time additional lower prices and in store features will be offered. Amazon gets a thumbs up for making healthy and organic food a little more affordable for everyone.
