This Grocery Chain Is Making a New Round of Price Cuts
One of the most expensive grocery chains in the country, Whole Foods, just announced a round of price cuts on their food items. The organic grocer, whose prices last year were about 30% higher than those of retail giant Walmart, said the new cuts are part of a continued effort to make groceries more affordable for shoppers. (To learn about the effects of the pandemic on the grocery supply chain, check out 8 Grocery Items That May Soon Be in Short Supply.)
This is the fourth round of price cuts since the chain was acquired by Amazon in 2017. The tech giant is credited as the driver of the price reductions, which are part of a new strategy to increase the chain's customer base and shed its reputation as an expensive grocery store. If you're a fan, there are several ways to save money—make sure you learn these 25 Best Ways to Save Money at Whole Foods and stock up on 20 Surprisingly Cheap Eats from Whole Foods.
Appearing on CNBC's Power Lunch, Whole Foods co-founder and CEO John Mackey noted more reductions can be expected in the future. "We're going to continue to lower our prices over time at Whole Foods," he said. "Cut our costs, lower prices, get more business, lower prices, cut costs, and so I think we're in a virtuous circle right now."
Details about which items, in particular, are getting cheaper at Whole Foods and by how much are not yet available. In a round of cuts in April of 2019, the retailer slashed prices by 20% on hundreds of products with a focus on produce, such as greens, tomatoes, and tropical fruits. But cuts were much more modest for center-of-store items like pantry essential and non-food items, according to financial analysts who noted the chain is still one of the most expensive places to shop for groceries and household essentials.
Whole Foods has also been working on turning Amazon Prime shoppers onto Whole Foods since the acquisition, which has borne out an array of perks for those with the Prime membership. They can get free two-day shipping on groceries, receive weekly deals, and even get groceries delivered within a two-hour window or a pick-up scheduled within 30 minutes at some locations.
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