Mifroma - Turn your BBF's into best #FONDUE friends - Microwaveable cup ready to serve in 2 minutes - How do you fondue
Celebrity: Fall Entertaining Made Easy
Whole Foods Email Reveals Amazon Prime Sales Charged to Vendors

Whole Foods Email Reveals Amazon Prime Sales Charged to Vendors


AUSTIN, TX
Friday, July 6th, 2018

Since being acquired by Amazon in early 2017, Whole Foods has been attempting to reshape its vendor policy, to realize synergies with its parent and new efficiencies brought about by scale while remaining true to a brand identity that is, in many respects, deeply tied to the retailer’s relationship to small scale vendors.

This March, the company convened a summit for vendors to vent concerns over changes in vending policy and to reach consensus on what a mutually beneficial vendor relationship between the retailer and its suppliers would look like. But a new report by The New Food Economy suggests that Whole Foods may be passing the cost of its much-vaunted price cuts on to its suppliers, despite inroads made between the retailer and its vendors this spring.

Amazon Prime members receive additional savings on products in Whole Foods Market stores

The New Food Economy’s reports that Whole Foods is planning to implement a 10 percent “scanback charge” for products on sale through the company’s Prime Savings Program. An internal email obtained by the news source outlines the new charge—describing a scheme in which, when a customer purchases a sale item, the extra 10 percent offered to Prime customers will mandatorily be charged back to the vendor—potentially compounding the hit the that vendors take on sale priced items.

And while The New Food Economy notes that promotional pricing is a key tool for many small vendors attempting to grow their brands, Whole Foods has, so far, provided no information on how many shoppers will be taking advantage of its new discount program and how new scanback charges are anticipated to affect sales and vendors' bottom lines.

The New Food Economy’s reports that Whole Foods is planning to implement a 10 percent “scanback charge” for products on sale through the company’s Prime Savings Program

To read the news source’s report in its entirety, click here.

For more important news in the dairy, deli, bakery, and specialty food space, keep reading Deli Market News.

Whole Foods
Topics:


Mifroma - Turn your BBF's into best #FONDUE friends - Microwaveable cup ready to serve in 2 minutes - How do you fondueCelebrity: Fall Entertaining Made Easy

Have a new product, press release or story idea?

Let us know

In This Story


Who are we? Well, we seek out the finest natural and organic foods available, maintain the strictest quality standards in the industry, and have an unshakeable commitment to sustainable agriculture...

Royal Wine Launches 9 Exciting Winter Wines (and More) for the New Year

Outstanding French and Spanish Vintages shine in a new generation of Bordeaux, Sparkling Wines, and Albariños.
View Press Release

As the Gluten-Free Trend Continues Skyrocketing, Consumers Are Demanding More Variety and Better Flavor

Absolutely Gluten-Free gets creative with great tasting gluten-free options for those with celiac or gluten sensitivity.
View Press Release

Ice-O-Matic Honors Norm’s Refrigeration with Distributor of the Year Award

The global ice machine manufacturer names its Distributor of the Year for 2018.
View Press Release

Portion Controlled Meat & Cheese Products as Value-Added Service

Processors gain a competitive edge by providing QSR and grab n’ go deli establishments with ready to use, pre-sliced, interleaved portions of meat and cheese
View Press Release

WCMA to Award $15,000 in Student Scholarships in 2019 Supporting Cheesemaking’s Next Generation

Students interested in being considered for an award have until February 20 to submit an application.
View Press Release