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Selasa, 03 Juli 2018

The partnership we've been tracking for a year: Whole Foods launched Prime discounts

BI Intelligence
Hi,

As of last week, Amazon Prime members now have access to exclusive discounts at all Whole Foods locations across the US. These discounts come in addition to the free delivery available in some urban areas for Whole Foods orders over $35 placed through Amazon's "Prime Now" grocery delivery service.

Whole Foods has been getting aggressive with these promotions in the days since the full launch. Customers can find blue signage all over the stores highlighting Prime discounts, and cashiers now wear blue aprons with the Prime logo on them. Those same cashiers even ask if customers are Prime members at checkout.

Extending these discounts could help further grow traffic to Whole Foods. The number of shoppers who visit Whole Foods has grown 5.5% faster than traditional grocery chains since Amazon's acquisition of the chain, according to a report from inMarket.

 
Furthermore, Prime members have begun using their Whole Foods benefits at a rapid rate, Amazon Prime's vice president Cem Sibay told TechCrunch. If consumers start to recognize that Prime members can get huge savings on groceries by shopping at Whole Foods, the grocer may be able to win customers away from competitors

This news may be everywhere now, but Business Insider Intelligence subscribers have been aware of this story for more than a week. Our team of analysts wrote about this major development before it happened as part of our E-Commerce coverage area, which enabled our subscribers to get ahead of the news and take action on it for their businesses.

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But given the depth and breadth of this story, we've been highlighting it in our other coverage areas, as well.

Consider, for example, the payments aspect. The catch to the Whole Foods Prime discount is that shoppers must use the Whole Foods app to be able to claim the discounts. If the strategy works as intended, Whole Foods could follow in the footsteps of Starbucks as a company that dominates the mobile wallet space.

As we've noted in our previous payments coverage (such as our Mobile Payments Report), Starbucks is the only company that has been able to truly develop a thriving mobile payments ecosystem. But Whole Foods could become the second.

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Amazon will continue to extend its reach, both online and offline, through Whole Foods. The e-commerce giant shows no signs of slowing its expansion plans, which means all other players in the retail space (and the payments space and beyond) need to be ready with actionable insights and strategies to defend themselves.

That's why Business Insider Intelligence is continually staying ahead of the major developments in these industries to empower our clients to make informed decisions. In our E-Commerce and Payments coverage areas alone, we provide more than 100 research reports, two daily newsletters, and weekly charts and data to make sure our customers fully understand the developments affecting their industry.

Additionally, if you're interested in a Corporate membership for your team or company, we'd like you to know that last week we released our cornerstone Amazon Commerce Competitive Edge Report, which is available exclusively to our Corporate subscribers. This report segments three types of Amazon customers that e-tailers should be targeting, and shares strategies on how e-tailers can attract them at key moments in their purchase journey.

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