Amazon on its first day of ownership of Whole Foods cut prices by as much as 43% on some items. Given the fact that Bezos is not in the business of losing money, it demonstrates how truly absurd Whole Food’s markups have been over the years. I personally have been shopping there for the last couple of years but it hurts knowing you can get that exact same fruit/vegetable at another local
grocery store for way cheaper. The word Organic has been used commercially to the extent that Whole foods can benefit and sell these goods for more with the promise of no GMO crop or any harmful additives used in any of their products.
I also think that by 2025, groceries will be 50 percent less expensive than in 2015, but at a cost: 80 percent of all grocery stores open in 2015 will be closed by 2025, and none will have cashiers or registers, regional managers will replace in store managers, fulfillment centers will replace stores, but overhead will drop like a rock, and food waste will be reduced by 20-30 percent, you won’t need a car, or to waste your time, going to and from a store , and will have your groceries and meal-kits within 30 to 45 minutes of placing your order. We very well could feed 350 million people with 40-60 percent less food grown than today and bring enormous savings to the consumers and enormous savings on water used for agriculture.
“Price was the largest barrier to Whole Foods’ customers,” said Mark Baum, a senior vice president at the Food Marketing Institute, an industry group. I am the only person I know that shops at Whole foods and that very reason is why most would rather look the other way. Here is an example, today I went to my local Whole foods and I bought only 3 items, It was a hot lunch, baby cereal and a bar soap, Total came to $43 plus some change. I also hope the price drops and new ownership doesn’t effect the workers wages. I also worry for the local farmers now that Amazon on its first day of ownership of Whole Foods cut prices by as much as 43% on some items. Amazon will be shipping online and have to source effectively. I hope if they do go that route, that they will do same day delivery from a local store near you.
WalMart had this approach for consumers. Sell low, even if you have to lose money for a while, and drive the mom and pop businesses out of existence. It was successful.
Amazon has taken it to a whole new level. Admittedly, Whole Foods was over priced and riddled with a few scandals. And, American food is typically overpriced, to begin with. The Bezos method is to kill the competition, drive competitors out of business, by any means necessary. Even if it means losing millions for five or six years. Afterall, it’s the long game. And, billions of dollars lurk on the horizon. So in the short term, we can feed our families organic foods at an affordable price.
In a bid to keep up with Amazon relentless power moves, Google and Walmart announced their own partnership this week, Merging the world’s largest retailer and the world’s largest search engine. Shoppers will now be able to purchase Walmart products via Google Express. In a market dominated by the these super-corps , small retailers won’t have a chance.
Here are some of the first markdowns at Whole Foods, as the store says it will lower prices when Amazon on its first day of ownership of Whole Foods cut prices by as much as 43% on some items.:
Organic avocados, organic apples, salmon, organic brown eggs, bananas, butter, organic almond butter.
I will be updating the list as more prices start to drop!