Good news for Amazon Prime members and Whole Foods fans. The Amazon Whole Foods merger means that consumers could say goodbye to whole paycheck.
Whole Foods has been a force in the organic, natural foods industry. But, the leader was often criticized for its higher costs. Often referred to as “whole paycheck,” many people couldn’t afford the higher food costs. The Amazon Whole Foods merger looks to remove that high price barrier.
According to a recent announcement from Amazon, Whole Foods will start to offer lower prices on many grocery items. The first wave of discounts will happen to “products like Whole Trade bananas, organic avocados, organic large brown eggs, organic responsibly-farmed salmon and tilapia, organic baby kale and baby lettuce, animal-welfare-rated 85% lean ground beef, creamy and crunchy almond butter, organic Gala and Fuji apples, organic rotisserie chicken, 365 Everyday Value organic butter, and much more..” These discounts will start on Monday.
Based on this list, consumers’ grocery bills should see an impact. These items are common choices for the busy family. From main meal proteins to lunch staples, the discounts could have a beneficial impact on families’ grocery bills. But, the exact discounts have not been mentioned.
Whole Foods has not been the grocery store for some grocery staples. While many families prefer to eat organic, Aldi has cut into Whole Foods organic grocery dominance. Aldi offered better pricing for similar organic foods. Price is often the driving force for family grocery decisions.
But, Amazon’s purchase of Whole Foods looks to take away that “whole paycheck” stigma. After the first roll out of discounts, Amazon will be offering specials for Amazon Prime members. Amazon Prime is a huge benefit for many families. From the free shipping to the special programming, many families see this service as a must have.
According to the Amazon announcement “Amazon Prime will become Whole Foods Market’s customer rewards program, providing Prime members with special savings and other in-store benefits.” While all the details haven’t been announced, this benefit could bring more customers to Whole Foods. People inherently like being part of a group which receives discounts. As long as the cost of Amazon Prime doesn’t increase due to the Amazon Whole Foods merger, this rewards program could bring more customers to Whole Foods.
The real impact of the Amazon Whole Foods merger remains to be seen. If Whole Foods can remove the whole paycheck stigma, more families could buy more grocery staples at the store. But, if the competition counters with lower prices, the real winner could be the consumer.