The Student News Site of Sonoma State University

Sonoma State Star

The Student News Site of Sonoma State University

Sonoma State Star

The Student News Site of Sonoma State University

Sonoma State Star

Amazon merges with Whole Foods

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Columnist Mikki Taylor 

Columnist Mikki Taylor 

Amazon has been introducing ideas to the world recently that have taken technology and movements to another level. Many people are aware that Whole Foods has pricey groceries, and that many families can’t afford to shop there. 

With that in mind, Amazon decided to change that issue and make the food more affordable overall. 

Amazon has taken over, making sale prices of the food at Whole Foods split almost in half. Amazon isn’t just making changes in the food industry, but in other fields too. Amazon is essentially taking over the buyer’s world.

The Los Angeles Times states that Amazon’s purchase of $13.7 billion share of Whole Foods Market, on Aug. 28, immediately cut prices of most popular foods up to 43 percent. Mark Hamrick, senior economic analyst at Bankrate said, “It’s impressive they would execute the pricing strategy so quickly.”

 Matthew Casey a supermarket consultant said,  “Whole Foods has that ‘Whole Paycheck’ reputation and they want to be able to work on eliminating that.” For families, groceries can be tough to afford, and that has been an ongoing issue for a noticeable time. Families can’t afford to buy the organic food that is essential to a healthy lifestyle. 

Whole Foods has made organic food their brand since opening in 1980. “It’s the volume game Amazon brings to the table for the Whole Foods customer,” said Trip Miller, managing partner at Gullane Capital Partners. “They might be making less (profit) margin or no margin,” but for Whole Foods, more buyers means more customers are coming into the store. 

What kind of changes are we going to see? Los Angeles Times stated the prices of organic bananas were cut 30 percent, organic avocados fell 29 percent and organic rotisserie chicken dropped 29 percent. 

This pursuit has caught the world by surprise, but people are having no problem taking advantage of this new situation.

Whole Foods is not hesitating to one up the other stores in the same area of business. The Los Angeles Times also states, “rival supermarket chains, which already operate with thin profit margins, are expected to face further pressure to keep prices down and strengthen their loyalty programs or risk losing shoppers to Whole Foods.”

Let’s not forget Amazon’s new electronic device, the Echo, who is run by the robot “Alexa.” The Echo is a machine that can order pretty much anything to your door, including those new lowered price groceries from your local Whole Foods Store. 

From ordering pizza, to playing your favorite song, Alexa is a new fan favorite. Emarketer facts states just this year already, Alexa has been purchased by over 25 thousand people who use this device at least once a month. Amazon is stepping up its game with so many new innovations and endeavors. 

Whole Foods and The Echo are just a couple of the innovations that we have obtained from Amazon in the past years. 

Amazon has taken their progress to another level when prime membership meant getting faster and free shipping for a payment of $99 a year, a good deal in most eyes. 

The Los Angeles Times states that prime members will be given incentives to shop at Whole Foods for a possible point system for discounts. 

There is no doubt Amazon knows what they are doing when it comes to pleasing their customers. With Amazon in the food industry the endless ideas are just getting started. 

 

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