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Amazon Finalizes Whole Foods Acquisition, Lays out Price Cuts up to 43%

Amazon Finalizes Whole Foods Acquisition, Lays out Price Cuts up to 43%


AUSTIN, TX
Monday, August 28th, 2017

Since first stirring up the retail pot just a few short months ago, the day has finally come; Whole Foods is now officially under Amazon ownership. As the U.S. takes a look at this new era, the grocer’s product prices are already beginning to be lowered, with discounts ranging anywhere from 13 to 43%.

Jeff Wilke, Worldwide Consumer Chief, AmazonWith eyes focused on today’s completion of the acquisition, Amazon revealed late last week that its new strategy will be to make organics and other healthy foods affordable to a new demographic of shoppers. As Amazon Worldwide Consumer CEO Jeff Wilke stated, “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. To get started, we’re going to lower prices beginning Monday on a selection of best-selling grocery staples…”

As Amazon seems to be making good on its promise to banish the “whole paycheck” stereotype currently attached to the Whole Foods brand, lower prices have already taken root. According to CNBC, a Whole Foods employee shared that more than 300 items were being discounted, from various butters to popular meat and fish products.

Whole Foods

Bloomberg went in-depth at a mid-town Manhattan Whole Foods to document some of the discounted prices found this morning. Some of the price cuts are as follows, with their pricing on August 24 compared to those found today:

Responsibly-Farmed Atlantic Salmon Filet (per pound): $14.99 to $9.99 (-33%)

Responsibly-Farmed Tilapia (per pound): $11.99 to $7.99 (-33%)

Organic Large Brown Eggs (per dozen): $4.29 to $3.99 (-7%)

Animal-Welfare-Rated 85% Lean Ground Beef (per pound): $6.99 to $4.99 (-29%)

Creamy Almond Butter (per 1 pound jar): $7.99 to $6.99 (-13%)

Crunch Almond Butter (per 1 pound jar): $7.99 to $6.99 (-13%)

Organic Rotisserie Chicken: $13.99 to $9.99 (-29%)

365 Everyday Value Organic Butter, salted and unsalted (per pound/four sticks): $5.29 to $4.49 (-15%)


Greg Fleishman, Co-Founder, Foodstirs"[Amazon is] making organic foods accessible to all walks of life in this country," Greg Fleishman, Co-Founder of baking mix brand Foodstirs and Whole Foods supplier, told CNBC. “The whole intent of this [merger] is to retain loyalists, but also to attract an entirely new consumerwho was held back because of price.”

To see the other categories Bloomberg investigated, click here, and stay tuned to Deli Market News as we continue to look at Whole Foods new strategies moving forward.

Whole FoodsAmazon


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