Is Whole Foods Being Turned Into a Hard Discounter?

 

Anyone else noticing how Whole Foods is getting a little ragtag since the Amazon purchase?

In all fairness, my location is in the midst of a revamp but all the signs point to a hard discounter aesthetic edging out any traces of its former glory days. I’m betting that the new Whole Foods will look more like an ALDI or a Lidl than an Eataly.

  • And it makes sense when you consider how much hard discounters are growing vs. regular supermarkets.
  • The Aldi/Lidl value proposition is gaining traction with consumers worldwide (Lidl is opening 100 stores in the U.S. thru 2018).
  • As of Q2 2017, Kantar data shows hard discounter sales, for the UK, are up 18.9% at Aldi and 17.2% at Lidl vs. supermarket sales up only 4.0% year over year.¬† (Source: Brick meets Clicks)

Here are a few other developments to consider since the Amazon deal went thru:

  • 25% jump in shoppers since Amazon instituted deep price cuts (Source: Foursquare)
  • 2000 products from the Whole Foods 365 Everyday Value brand were added¬† to the Amazon web site.
  • They sold out immediately – totaling $500,000 in the first week.

See photos below of Whole Foods, ALDI and Lidl.

WHOLE FOODS VS. ALDI VS. LIDL

Messy

Even Messier

Are we at Lidl yet? No, we’re still Whole Foods

ALDI

Lidl

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