Published: Sat, August 26, 2017
Money | By Charlene Sutton

Amazon to cut Whole Foods prices Monday

Amazon to cut Whole Foods prices Monday

"Whole Foods Market will offer lower prices starting Monday on a selection of best-selling grocery staples across its stores, with more to come".

Less than a day after federal regulators in the U.S. approved Amazon's $13.7 billion takeover bid for Whole Foods, the Silicon Valley retail titan wasted no time in saying it would lower prices at the upscale grocery chain.

The Verge reports that additional future changes will include offering 365 Everyday Value products through Amazon.com, and that Prime will replace Whole Foods' current customer loyalty program.

There are now five operating 365 by Whole Foods locations in the USA, in California, Oregon, Texas and Washington, and 17 are in the process of being opened. For example, if a Amazon Prime customer goes in to purchase something like organic salmon, they may see ads online later for lemon that would taste really good on that salmon previously bought. Amazon's celebrating the event with something that's thrilling to all of us: massive Whole Foods price cuts.

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In a dual press release, both companies announced the deal is set to close Monday, August 28.

"With these cost cuts, Whole Foods is going to be able to go after Wal-Mart's market share, because they're going to attack and go after the customer and take them from Wal-Mart", Seaburg said.

But it is not just for Amazon Prime members.

"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", said Jeff Wilke, CEO of AmazonWorldwide Consumer.

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Amazon will pay Whole Foods shareholders $42 per share, marking an 18 percent premium from its stock price the day before the tie-up was announced on June 16.

For now, WalMart, Kroger and a handful of other supermarket companies still dominate the market.

Whole Foods now represents less than 2% of the overall grocery market.

Going even further they intend to integrate your Amazon prime membership into the Whole Foods shopping experience. Some Whole Foods stores also will begin adding Amazon Lockers, where customers can pick up online orders or drop off returns.

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It remains to be seen whether the deal will revive Whole Foods' fortunes or become a costly move into an industry that Amazon has failed to master. The statement also outlined one big immediate change: lower prices. This way, everyone is assured of getting the finest natural and organic foods. continue their The company's relation with trusted vendors and partners around the world will also continue.

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