Whole Foods Raising Prices

02/18/2019

After the acquisition of Whole Foods Market by Amazon, prices were apparently lowered to boost traffic and revenue. Research conducted by the Telsey Advisory Group has shown a steady increase in the cost of an index basket of 40 products from a level of 185 in the month of September 2018 to 193 in January 2019. The increase representing an annualized 10.3 percent rise, is attributed to higher prices from producers due to escalation in packaging, ingredient and transportation costs. Products subjected to a rise in price include Haagen-Dazs ice cream, Hain Celestial teas, Dr. Bronner's soaps and branded crackers and cookies among 550 products.

Since acquisition of Whole Foods Market, the chain has eliminated 700 products as contracts expired. Under Amazon ownership, Whole Foods Market has not lost its reputation for high prices despite the promotions extended to customers under the Prime membership program.














































































































































































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