The linked article below tells of Whole Foods’ campaign to let America know of their “cheaper” prices and is interesting news on a few fronts.
One, that the world’s leading natural and organic food store is sharing price comparisons and acknowledging the need to identify costs to their shoppers. Co-CEO Mackay says, “For a long time Whole Foods had the field to ourselves, pretty much. That was nice, but we don’t any longer,” he said on an earnings call with investors. “So we’re adapting to the reality of the marketplace.”
Secondly this: the chain is lowering its prices, particularly on produce.
This may be an indicator of the strength of the farmers market movement that has led WF to become more competitive on fresh produce. That may seem a far jump for some of my readers, but since it was not an issue when they competed only with other grocery stores, I am inclined to partly credit the energy of the increased number of farmers market outlets for fresh produce for one of the reasons for this.
Or, it may be that the chain feels that they can reduce their costs by reducing their waste in produce (reducing spoilage is an area that stores should always be working on to increase profits) or (sigh) maybe the chain feels it can ask for lower prices from farmers/producers more easily than companies from whom they buy value-added products.
I’d love to hear others thoughts on this news and how they think it affects farmers markets and other direct marketing outlets.