Markets

Amazon cuts Whole Foods prices for Prime members

Amazon cuts Whole Foods prices for Prime members

Amazon is offering its Prime members even more Whole Foods Market perks following the introduction of a free two-hour delivery service and five per cent cashback on Whole Foods purchases for those with a Rewards Visa Card.

Amazon announced today it will begin offering exclusive discounts to Prime members who shop at Whole Foods - a move that's been expected since Amazon acquired the grocer past year for $13.7 billion, and more recently shut down Whole Foods' rewards program and digital coupons. The savings are only available in Whole Foods' Florida stores and they'll come to Whole Foods locations nationwide starting the summer.

Amazon CEO Jeff Bezos last month disclosed the number of Prime members publicly for the first time, saying the program has more than 100 million members globally. Now, Prime members can enjoy a 10 per cent additional discount on sale items.

The following deals will be offered to Prime members in Florida stores from May 16 through May 22. The app will also give customers exclusive deals and highlight the week's best offers.

"There have been gradual steps towards integrating Amazon and Whole Foods".




Amazon has already fiddled with prices at Whole Foods to refashion its image as wallet-busting seller of healthy foods.

Experience upcoming Amazon program for Amazon prime members.

And the stores themselves are serving as the brick-and-mortar presence for Amazon's online store, with things like Amazon Lockers, support for returns, and the ability to shop Amazon hardware, like Echo speakers and Fire TV.

Co-founder and Chief Executive of Whole Foods, John Mackey told Reuters, "This brand new loyalty strategy will put into test whether Amazon's $13.7 billion deal with Whole Foods accompanies an intensified price war and disturbance to the US grocery industry of $800 billion which is dominated by Kroger Co and Walmart Inc". Prime members can give in their cell numbers or scan an app to receive the discounts at the checkout.