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Amazon Cuts Whole Foods Pricing

Is Amazon ready to take on other supermarket giants?

Amazon cuts Whole Foods prices across the store making it more affordable on their first day in charge. They also added their logo to the store signs and even installed Amazon Echo voice-assistant stands in front of stores.

It was interesting news when Amazon purchased Whole Foods. Whole Foods was facing pressure from lower-priced grocery retailers. Whole Foods built their model off providing natural foods at a good price.


Competitive grocery chains are now offering consumers natural and organic food options that are cheaper than Whole Foods. As a result of this, Whole Foods has seen their numbers drop and were in need of some help.

How Amazon is making Whole Foods more affordable

The $13.7 billion dollar deal that brought Whole Foods under the Amazon umbrella is finally completed and active. Amazon started by lowering the prices at Whole Foods, making it more affordable. Some notable price cuts include:

  • 50 cents off 1/2 gallon of milk
  • $2.00 off 1lb of ground beef
  • $1.00 off organic avacados

These are just some specific details about the price cuts Amazon made to Whole Foods products. Price cuts are just one of the changes that Amazon plans to make Whole Foods more appealable to consumers.

Amazon Prime will be Whole Foods “loyalty program”

Most major grocery chains have some sort of loyalty program that offers members exclusive discounts. The same will go for Whole Foods as Amazon plans on implementing their prime membership for exclusive product discounts.


Amazon will also soon sell select Whole Food products online. Some stores will even offer lockers for customers to pickup their online/e-commerce orders.

Why it made sense for Amazon to buy Whole Foods

Amazon may be one of the biggest online retailers, but they don’t have too many physical locations. The purchase of Whole Foods now gives them 465 physical locations across the United States. With Amazon innovation and the physical location this allows them to interact directly with consumers.


The deal also allows Amazon new date to the way people shop offline and in stores. Amazon has built their brand by utilizing consumer data to their advantage. Implementing product suggestions based off past purchases and browsing data.

What it means for the competition

Obviously when a name as big as Amazon enters a industry, competitors are going to have make some changes.

Kroger and Meijer both have recently implemented online grocery shopping and pick-up . Some locations are even testing delivery.

Walmart is joining forces with Google so that products can be ordered with their voice on Google products.

In the end, hopefully it just means costumers will have a better shopping experience and  access to cheaper organic food options.


Source: WSJ

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Written by Joe Leija

Joe Leija is a digital marketing specialist and blogger based in Detroit, MI. When he’s not reading comics or watching the Detroit Tigers and Lions, he is blogging for Ginzy.

Contact Joseph


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