Battle Of The Retail Giants
Walmart and Amazon are fighting for customers, and Whole Foods is serving as the latest battleground. Whereas Walmart was once seen as the giant that destroyed America’s mom and pop stores, now Amazon seems to have taken on that role. But according to Business Insider, Whole Foods’ initial tactic of dropping prices to “steal” Walmart customers hasn’t worked as well as they hoped.
When accounting for the total percentage of Walmart customers who defected to Whole Foods the first week after the acquisition, it’s just 0.6% of Walmart customers. Amazon purchased Whole Foods for $13.7. Overall, the customers who defected to Whole Foods from grocery rivals were wealthier than the retailer’s average shopper. Walmart’s regular customers’ average income is just over $59,000. However, the average income of a Walmart customer that is defecting to Whole Foods is nearly $72,000 a year.
Whole Foods has always been a company that is very choosy about the items they are willing to sell, whereas Walmart was started to sell everything at the lowest price possible. Even though when Amazon bought Whole Foods, it lowered many of the store’s prices, Walmart’s prices are still markedly cheaper.
Market analysts feel that Whole Foods will have to continue to reduce many of its’ prices in order to entice the customers who would normally do their shopping at Walmart. As part of Amazon’s goal is to get more customers to buy their groceries online, they will have to make their prices competitive in order to bump up the percentage of people shopping with them instead of Walmart.
-
The Office for National Statistics (ONS) released official figures on Wednesday, revealing that the United Kingdom posted a record...
-
As scrutiny intensifies, Fujitsu faces repercussions for its role in the Post Office scandal. The UK government has issued...
-
Tech Billionaire Proposes Renaming Wikipedia to ‘Dickipedia’ in Exchange for Record Donation In a recent social media spectacle, tech...
-
Urgent IMF Deal Needed to Prevent Pakistan’s Economic Collapse, Bloomberg Warns Bloomberg, a renowned US-based financial news service, has...
-
Federal student loan borrowers are in a tough situation as the pause on loan payments, implemented during the pandemic,...
-
Silicon Valley Bank’s Acquisition Fallout: Rising Unemployment and Uncertain Future First Citizens BancShares Inc., the new Silicon Valley Bank...
-
President Joe Biden and House Speaker Kevin McCarthy engaged in crucial negotiations on Monday to address the US government’s...
-
Secure your financial future with the 50/30/20 rule! As the cost of living continues to increase in 2023, managing...
-
Common treatments and medicines are becoming more expensive and harder to get. According to a new report released this...
-
A California appeals court overturned the challenge to Proposition 22. Back in 2020, California voters passed Proposition 22, which...
-
Tesla is looking to spark interest in its most expensive models. In the last several months, prominent electric vehicle...
-
Prices dropped in Venezuela, Indonesia, Ecuador, Thailand, and more. Netflix has recently been feeling a major financial squeeze as...