Amazon and Whole Foods Market are dropping prices on holiday favorites and other popular items and offering even greater discounts for Prime members, the companies said Wednesday.
The deals give a peek into how Amazon will integrate its popular fast-shipping Prime service as the new Whole Foods official reward program. Whole Foods has cut prices for organic turkeys to $3.49 per pound and antibiotic-free turkeys for $2.49 per pound; for Prime members, those deals are $2.99 per pound and $1.99 per pound, respectively.
“These are the latest new lower prices in our ongoing integration and innovation with Amazon, and we’re just getting started,” said John Mackey, Whole Foods Market co-founder and CEO. “In the few months we’ve been working together, our partnership has proven to be a great fit. We’ll continue to work closely together to ensure we’re consistently surprising and delighting our customers while moving toward our goal of reaching more people with Whole Foods Market’s high-quality, natural, and organic food.”
Amazon’s deal to purchase Whole Foods for $13.7 billion closed in August, and the combined company has since been rolling out changes and integrations within the 470 stores across the U.S., U.K. and Canada. Amazon quickly lowered prices on various in-store Whole Foods items like salmon, avocados, apples, and more when the deal closed.
However, even though Amazon has publicly touted the Whole Foods price cuts on selected items, independent researchers have found that prices on other items have increased. Research firm Gordon Haskett tracked prices on 110 items at a Whole Foods in New Jersey and found an average decrease of 1.2 percent, considerably less than the price drops on the items highlighted by Amazon, due in part to some other prices going up.
The firm started tracking prices on 110 items at a New Jersey Whole Foods the day the price cuts began, August 28. On average, the items got 1.2 percent cheaper. How could it be so negligible, you’re wondering, with Whole Foods slashing prices on some things by as much as 43 percent?
The deals announced today by Whole Foods is good for in-store pickups only and does not apply to deliveries. To get the discount, Prime members must bring in a coupon that Amazon has posted online.
Amazon and Whole Foods said starting today they have reduced prices of many other popular items, including: value packs of boneless skinless chicken breasts, raw peeled shrimp, broccoli, salad mixes, russet potatoes and sweet potatoes. Price cuts will also include items from third-party brands like Pacific Foods, Organic Valley and Tom’s of Maine.
Amazon has added hundreds of Whole Foods items to its AmazonFresh grocery delivery service and there is now a Whole Foods online storefront on Amazon’s website. Soon after the deal closed, displays of Amazon items started showing up in stores, and Amazon said last week that it will open pop-up stores at five Whole Foods locations soon with opportunities for customers to try out devices and learn more about Prime. The company also plans to install Amazon Lockers at Whole Foods locations.
Post updated with additional information on Whole Foods price trends.