Alaskan halibut provides a glimpse of Amazon’s strategy with Whole Foods
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Re: Alaskan halibut provides a glimpse of Amazon’s strategy with Whole Foods
#2Seems like use the discounts to attract customers and convince them to join Amazon Prime. The Prime promotions and connection are everywhere in WF, and cashiers are always asking, even when the card-reader has a sticker(s) on it.
Re: Alaskan halibut provides a glimpse of Amazon’s strategy with Whole Foods
#3What is the difference between what they're doing & every other grocery store?
I'm not sure I understand the difference after skimming through the article except that they have a reputation for more expensive, organic foods.
Re: Alaskan halibut provides a glimpse of Amazon’s strategy with Whole Foods
#4.... in which the Seattle Times discovers that grocery stores use items at or below cost to lure in buyers to purchase other things at the store.
12 packs of coke were often sold at a loss at grocery stores. I'm not sure what they cost now, but cost use to be in the $3.50 range in 2007. Costco was usually about a bit more than the cost but they were selling 24 can flats, so probably still turning a profit. In 2007 it wasn't uncommon to do 4/$10 deals and even 5/$10 deals occasionally around the super bowl. 3/$10 was the average sale if they wanted to try to boost sales. Other examples include family packs of NY Strip/Ribeye.
Re: Alaskan halibut provides a glimpse of Amazon’s strategy with Whole Foods
#5What is the difference between what they're doing & every other grocery store? I'm not sure I understand the difference after skimming through the article except that they have a reputation for more expensive, organic foods.
Durable, nationwide discounts on low-margin, premium products aren't a norm in the grocery industry. It would be similarly noteworthy if Kroger started selling dry-aged prime ribeyes at $8/#. (Less so if Costco did it, but Costco isn't a normal grocer).
Re: Alaskan halibut provides a glimpse of Amazon’s strategy with Whole Foods
#6Seems like use the discounts to attract customers and convince them to join Amazon Prime. The Prime promotions and connection are everywhere in WF, and cashiers are always asking, even when the card-reader has a sticker(s) on it.
For an occasional shopper at WF who is just trying to pay and leave the store, whether or not you have prime the correct answer is "no" to get them to shut up so you can pay and leave.
Re: Alaskan halibut provides a glimpse of Amazon’s strategy with Whole Foods
#7What is the difference between what they're doing & every other grocery store? I'm not sure I understand the difference after skimming through the article except that they have a reputation for more expensive, organic foods.
From article
“They might be selling those at cost or as loss leaders just to get people into the stores,” Besecker said.
Re: Alaskan halibut provides a glimpse of Amazon’s strategy with Whole Foods
#8What is the difference between what they're doing & every other grocery store? I'm not sure I understand the difference after skimming through the article except that they have a reputation for more expensive, organic foods.
MSC ensures sustainable fishing practices, and this is costly.
https://fisheries.msc.org/en/fisheries/us-north-pacific-hali...
After Amazon acquired Whole Foods, many speculated that they would lower prices by reducing quality.
This is an example of lowering prices while maintaining standards.
Re: Alaskan halibut provides a glimpse of Amazon’s strategy with Whole Foods
#9What is the difference between what they're doing & every other grocery store? I'm not sure I understand the difference after skimming through the article except that they have a reputation for more expensive, organic foods.
From article “They might be selling those at cost or as loss leaders just to get people into the stores,” Besecker said.
Which grocery stores have been doing for years.
Re: Alaskan halibut provides a glimpse of Amazon’s strategy with Whole Foods
#10What is the difference between what they're doing & every other grocery store? I'm not sure I understand the difference after skimming through the article except that they have a reputation for more expensive, organic foods.
Durable, nationwide discounts on low-margin, premium products aren't a norm in the grocery industry. It would be similarly noteworthy if Kroger started selling dry-aged prime ribeyes at $8/#. (Less so if Costco did it, but Costco isn't a normal grocer).
Two minutes of searching tells me differently. Grocery stores have used loss leaders for decades to get people in the store. Why do you say the opposite?