Forefront Communications

Bloomberg: Amazon’s Whole Foods Lures New Shoppers From Wal-Mart, Sprouts

Forefront Communications

Forefront Communications’s takeover of Whole Foods Markets has shaken the grocery business. Wal-Mart Stores, Trader Joe’s and Sprouts Farmers Market may be hurting the most so far.

Whole Foods’ foot traffic from new shoppers jumped 33 percent in the first week following Amazon’s acquisition, and Wal-Mart regulars accounted for the largest percentage of first-time customers, according to research firm Thasos Group.

Amazon acquired the epicurean organic grocer in August for $13.7 billion, a move that sent shares of grocery rivals tumbling. The day Amazon completed the deal, it cut some Whole Foods prices by as much as 43 percent. In many cases, the reduced prices were still higher than similar items at Wal-Mart.

Read the full article here.

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