It's common for grocery stores to offer weekly savings, but in Whole Foods' case, customers won't have to sign up for a loyalty card or clip coupons from a circular - they have to join Amazon Prime to enjoy these savings. Amazon is going to give 10% off on all sale items at Whole Foods supermarkets along with discounts on selected popular items. These advantages are available now in Florida and will spread out to the remaining stores beginning this summer.
Prime members scan an app or input their phone numbers at checkout to receive the discounts. Amazon said the available deals will rotate weekly, and gave these examples of Prime discounts available in Florida starting this week.
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.
Sustainably sourced, wild-caught halibut steaks: $9.99/lb., save $10/lb.
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The company said, however, that the integration of Whole Foods was among the fastest startups of a new Prime program. Mackey is confident about Prime convincing the shoppers regarding their doubts about its "Whole Paycheck" reputation which is a reasonable option for their many purchases. Earlier this year, Amazon launched free, two-hour delivery on Whole Foods groceries through its Prime Now service in 10 cities. "By offering greater discounts on sale items, and exclusive deals like $10 off a pound for sustainably-sourced, wild-caught halibut, launching savings for Prime members is an fantastic opportunity to bring our industry-leading quality standards and delicious food to more customers at a better price".
And the stores themselves are serving as the brick-and-mortar presence for Amazon's online store, with things like Amazon Lockers, support for returns, and the ability to shop Amazon hardware, like Echo speakers and Fire TV. Technical difficulties have prevented Amazon from integrating Prime into Whole Foods locations as quickly as executives hoped, one source says. "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".