Amazon will lower Whole Foods’ prices
Looks like Amazon wants to shed Whole Foods Markets’ “whole paycheck” label.
In announcing today that its acquisition of Austin, Texas-based Whole Foods will close on Monday, Seattle-based Amazon also announced that Whole Foods will begin offering lower prices starting Monday on a selection of best-selling private-branded grocery staples across its stores.
In a press release, the two companies said they will pursue the vision of making Whole Foods’ “high-quality, natural and organic food affordable for everyone.”
Also, the Amazon and Whole Foods technology teams will begin to integrate Amazon Prime into the Whole Foods Market point-of-sale system. When the work is complete, Amazon Prime members will receive special savings and in-store benefits. Whole Foods’ private brand products including 365 Everyday Value, Whole Foods Market, Whole Paws and Whole Catch will be available through Amazon.com, AmazonFresh, Prime Pantry and Prime Now.
The two entities said they will invest in additional areas over time, including in merchandising and logistics, to enable lower prices for Whole Foods customers.
“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,” said Jeff Wilke, CEO of AmazonWorldwide Consumer, in a statement. “To get started, we’re going to lower prices beginning Monday on a selection of best-selling grocery staples, including Whole Trade organic bananas, responsibly-farmed salmon, organic large brown eggs, animal-welfare-rated 85 percent lean ground beef, and more. And 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. There is significant work and opportunity ahead, and we’re thrilled to get started.”
John Mackey, co-founder and CEO of Whole Foods, said by working together with Amazon and integrating in several key areas the two entities “can lower prices and double down on that mission and reach more people with Whole Foods Market’s high-quality, natural and organic food.”
According to the press release, Whole Foods will continue to grow its team and create jobs in local communities as it opens new stores, hires new team members and expands its support of local farmers and artisans. The company will maintain operations under the Whole Foods brand, and Mackey will remain as CEO and Whole Foods’ headquarters will stay in Austin.