"This new Prime benefit at Whole Foods market is a flawless pairing of healthy and delicious food at even more affordable prices", said Cam Sibay, Vice president, Amazon prime.
Amazon has linked its Prime program with its first batch of Whole Foods Market stores, offering members of the shoppers' program a 10 percent discount on sale items and other deals on select grocery items.
The savings are rolling out initially to the Whole Foods stores in Florida, but will expand to all U.S. Whole Foods Market and Whole Foods Market 365 stores this summer. Now, Prime members can enjoy a 10 per cent additional discount on sale items.
Sucharita Kodali, an analyst at Forrester Research, said the discounts were likely to hurt the profit margins at Whole Foods - but that was besides the point if the move strengthens Prime, a major focus of Amazon these days. Amazon said the available deals will rotate weekly, and gave these examples of Prime discounts available in Florida starting this week. Customers can also go to the Whole Foods Market app to learn about offers each week.
Experience upcoming Amazon program for Amazon prime members.
Amazon has already fiddled with prices at Whole Foods to refashion its image as wallet-busting seller of healthy foods. Plus, Amazon Prime members get 5 percent back on Whole Foods purchases with the Amazon Prime Rewards Visa Card, the companies announced earlier this year.
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". "Ours vision is thatevery day Prime makes your life better, easier and more fun, and shopping at Whole Foods Market with exclusive deals and savings is all of this and more".