Amazon cuts Whole Foods prices for Prime members

Amazon Prime Members Are Getting New Discounts at Whole Foods

Prime Perks: Amazon Dangles Discounts For Whole Foods Shoppers

Attention shoppers: Your Amazon Prime membership can now shave money off the groceries you buy at any Whole Foods location in Florida.

The discount program is starting in Florida this week and will roll out nationwide this summer, the company said Tuesday night. Prime members who use an Amazon-branded Visa card get 5 percent cash back on all their Whole Foods purchases, while also getting two-hour home delivery of Whole Foods groceries through the company's Prime Now service.

Items eligible for additional Prime member discounts will be designated by special signs in Whole Foods stores.

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Amazon appears set to open its second and third queue free grocery stores in Chicago and San Francisco, a sign that the e-commerce giant is ready to start scaling up its wildly successful supermarket concept.

The company said, however, that the integration of Whole Foods was among the fastest startups of a new Prime program. The app will also give customers exclusive deals and highlight the week's best offers.

The company announced on Wednesday that it's rolling out additional deals and discounts for members of its subscription service at the high-end grocer, which it acquired a year ago.

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Amazon had hoped to integrate Prime into all of its Whole Foods stores earlier this year, but the effort has been hindered by technical difficulties, some of which are related to the company's point of sale systems at checkout, according to an employee not authorized to speak publicly.

Co-founder and Chief Executive of Whole Foods, John Mackey told Reuters, "This brand new loyalty strategy will put into test whether Amazon's $13.7 billion deal with Whole Foods accompanies an intensified price war and disturbance to the USA grocery industry of $800 billion which is dominated by Kroger Co and Walmart Inc".

Customers need to download the Whole Foods Market smartphone app, link it to a Prime account, and swipe their phone at checkout, to receive the discounts, or use a linked phone number.

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