Whole Foods Market is looking to cut prices, which could help it shake its longtime “wholesale” nickname.
Driving news; The Amazon-owned grocery store chain is asking suppliers to cut costs on packaged goods as consumers continue to struggle with inflation, The Wall Street Journal reported.
- Whole Foods made the request to suppliers during a virtual meeting in December, The Journal reported.
- The company told the Journal that the price increase was lower than industry standards and that the company was committed to reducing inflation.
- A Whole Foods spokesperson confirmed the supplier’s price request to Axios on Tuesday.
The big picture: According to a new Axios analysis, the meteoric rise in food prices slowed slightly in December — but prices rose more than 10% year-over-year.
- Although the prices of commodity items have increased, no food items have been affected by egg inflation, and their prices often give an indication of the current economic situation.
Flash Amazon acquired Whole Foods in August 2017 for $13.7 billion, and the companies said in a joint statement that it was “Whole Food Market’s vision to make high-quality, natural and organic food affordable to everyone.”
- Whole Foods has reduced prices on the first purchase and Amazon Prime member discount in 2018.
- Amazon and Whole Foods announced another round of price cuts in April 2019.
Context: Amazon Prime members save an additional 10% off in-store sales prices on Whole Foods, excluding alcohol.
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