Amazon is taking over our grocery stores, starting with Whole Foods Market. Their first day as the big boss saw prices fall by a whopping 43%, nearly half! One of the items on the Whole Foods shelves, the Amazon Echo, sold for $99.99.
This seems a far cry from the kale, quinoa, and health products we're used to seeing on the Whole Foods shelves.
According to Bloomberg, Amazon purchased Whole Foods for about $13.7 billion. The supermarket industry is already going through some major changes, and Amazon's latest acquisition "promises to upend the way customers shop for groceries."
Between the new brick-and-mortar Amazon bookstores and the cutting of grocery prices, maybe Amazon is just trying to help us all out. Cut out the middle man, the guessing game, the mystery. Maybe they just saw the nickname "Whole Paycheck" and decided things had to change.
Maybe they just want to take on Costco and Wal-Mart.
“Price was the largest barrier to Whole Foods’ customers,” said Mark Baum, a senior vice president at the Food Marketing Institute, an industry group. “Amazon has demonstrated that it is willing to invest to dominate the categories that it decides to compete in. Food retailers of all sizes need to look really hard at their pricing strategies, and maybe find some funding sources to build a war chest.”
Whole Foods stores all across the country are seeing major changes noted around the store on orange "Whole Foods + Amazon" signs. The stores have promised more big changes to come, but declined to comment on what those changes might be.
More price cuts? New products?
“I usually buy my staples like toilet paper and paper towels at Target and Safeway,” customer Catherine Oshiro said. “If I see the lower prices at Whole Foods, I would start buying those basics here.”
It looks like Amazon is ushering in a new era of grocery shopping!