More Whole Foods discounts are coming for Amazon Prime members.
CNBC reported this week that Amazon is set to roll out a 10 percent price cut on already-discounted Whole Foods products.
It’s the latest integration between Amazon’s Prime membership program and Whole Foods, following Amazon’s $13.7 billion acquisition of the Austin, Texas-based grocer last year.
Amazon in February rolled out free 2-hour delivery from Whole Foods for Prime members. That month it also extended the Amazon Prime Rewards Visa Signature Card, which gives Prime members 5 percent back on Amazon purchases, to include Whole Foods orders as well.
Back in November, Amazon offered discounts to Prime members on holiday items and did the same for Valentine’s Day flowers in February.
On a call with reporters following the company’s earnings report last week, Amazon CFO Brian Olsavsky hinted at additional Whole Foods benefits for Prime members.
“We are continuing to do the technical work to make Prime the Whole Foods rewards program, and offering even more benefits to Prime members,” he said.
Last month, Whole Foods sent an email to customers notifying them that it will retire its various rewards programs and online accounts May 2.
Amazon already discounted various in-store Whole Foods items like salmon, avocados, apples, and more when the acquisition closed last year. It also added hundreds of Whole Foods items to AmazonFresh, its own grocery delivery service that launched more than a decade ago, after the deal. There is also now a Whole Foods online storefront on Amazon’s website.
Soon after, Amazon devices like the Echo and Fire TV started showing up in stores. Amazon opened pop-up stores this past holiday season at Whole Foods locations with opportunities for customers to try out devices and learn more about Prime. It also plans to install Amazon Lockers at Whole Foods locations.
Amazon last week announced that it will increase the annual Prime membership cost from $99 to $119. The company last month revealed its Prime membership numbers for the first time, reporting more than 100 million subscribers who get free 2-day shipping, cloud storage, streaming video/music, and more benefits.
For the first quarter of this year, Amazon posted $4.3 billion in revenue from its physical stores category, a majority of which is made up of Whole Foods sales.
