Whole Foods CEO Says Amazon Connection Was 'Love at First Sight'

Posted June 25, 2017

It's more costly and time consuming to deliver individual pieces of fruit to many customers.

Amazon has been longing for a piece of the action and despite the launch of AmazonFresh over a decade ago, it is an industry that Jeff Bezos has found hard to get into. Amazon invested in refrigerated distribution centers to hold items. The service, which is offered to the company's subscription Prime members for a monthly fee of $14.99, is available only in about 20 US cities.

"Amazon is taking over the world because that's a real big switch", says Ishmael McIntosh, from Baltimore, a former Whole Foods worker.

"Our culture is going to evolve", Mackey said. Analysts say other grocery stores will probably lower their prices and improve their loyalty programs to keep up with the acquisition.

"About a year and a half ago, I dreamed that we merged with Amazon."APFor the CEO of Whole Foods, being bought by Amazon was literally a "dream come true".

The deal could also make competing delivery services superfluous.

The company that's dominated mass retailing - now slides on to the next level. Now it's focusing on "logistics and fulfillment and the ability to get what you want when you want it", Witcher said.

He also noted that not all love ends well. Food and CPG manufacturers will now need to work more closely with Amazon and leverage their assets, including product innovation, sales/marketing, loyal customers, owned media, etc., and partner with all retailers in their initiatives to drive compelling shopping experience.

Wedbush Securities' analyst Aaron Turner reportedly said that an Amazon-GrubHub deal would be a "win-win" for both companies.

They have had the courage that nearly no other public company has had the courage to, basically, resist the drumbeat of short-term, quarterly earnings that have had us trapped here for a couple of years, as our same-store sales- came down. We're growing our business with UPS. And we will be, I hope, as excited as I am today.

Peter Arroyo, manager of Gristedes, had more on his mind regarding the Amazon-Whole Foods deal, which he predicted will "screw up the industry in all aspects", said Arroyo.

"Grubhub is the nation's leading online and mobile food-ordering company, and we're focused on innovating to make it easy for millions of diners to order from the broadest, best set of restaurants", she wrote in an email.

Amazon.com is still basking in the glow of its deal to take over Whole Foods Market, with shares for the e-commerce giant hitting a fresh intraday high on Monday.

Whole Foods' 63-year-old CEO, who has raised eyebrows in the past for his shoot-from-the-hip style, compared his new relationship to a romance.

"Look at companies in the sharing economy". But Parikh added that activist investors have a stake in Whole Foods. Amazon and Whole Foods have the combined power to engage in low cost pricing - something mom and pop shops certainly can't do.