CNBC reports that Amazon is preparing to roll out a series of Prime perks for Whole Foods customers, folding the bricks-and-mortar retailer “into a network other grocers will struggle to compete with.
“It will give Amazon vendors, many of which are niche and small, special access to Amazon's vast shopper base … Whole Foods will begin offering Prime members an additional 10 percent off of already discounted products, sources told CNBC. They requested anonymity because the information is confidential. It has already begun to roll out other perks: free delivery of Whole Foods products to Prime members in certain locations, 5 percent cash back when members use its Visa rewards card at Whole Foods stores and exclusive member deals. It tested the latter with roses on Valentine's Day and turkey on Thanksgiving.”
The story notes that “roughly 75 percent of Whole Foods shoppers are Amazon Prime members, but less than 20 percent of Amazon Prime members are Whole Foods shoppers, a source told CNBC.”
“It will give Amazon vendors, many of which are niche and small, special access to Amazon's vast shopper base … Whole Foods will begin offering Prime members an additional 10 percent off of already discounted products, sources told CNBC. They requested anonymity because the information is confidential. It has already begun to roll out other perks: free delivery of Whole Foods products to Prime members in certain locations, 5 percent cash back when members use its Visa rewards card at Whole Foods stores and exclusive member deals. It tested the latter with roses on Valentine's Day and turkey on Thanksgiving.”
The story notes that “roughly 75 percent of Whole Foods shoppers are Amazon Prime members, but less than 20 percent of Amazon Prime members are Whole Foods shoppers, a source told CNBC.”
- KC's View:
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Y’think that this could be one of the reasons that Amazon was willing to increase the Prime membership fee by 20 percent, from $99 to $119? Seems to me that I could easily make up that $20 with a visit or two to Whole Foods…
