Shortly after buying Whole Foods nearly two years ago in a blockbuster $13.7 billion deal, Amazon delighted customers of the upscale grocery chain by saying it would cut prices on. That was then.
Now, Whole Foods is pushing prices back up on a range of products, according to a Wall Street Journal report. The food seller, which sells only organic products, this month reportedly upped prices on more than 500 different items, including soap, snacks, ice cream and home and skincare products.
Inflation — which has forced consumer-product suppliers to charge the grocer more for its products — was cited as the main culprit for the price hikes, which ranged from 10 cents to a few dollars, according to the Journal.
Whole Foods said it is doing its best to insulate customers from inflation.
“Like all grocers, Whole Foods Market has experienced increased costs from suppliers due to materials, labor and transportation, and we’ve absorbed much of the inflation,” the company said in a statement to CBS MoneyWatch. “We remain committed to continuing to lower prices with Amazon as we deliver on our mission to make high-quality, natural and organic food more affordable and accessible.”
Whole Foods said it has also cut prices on many products, but didn’t provide specifics.
After Whole Foods was acquired, Amazon Prime became the grocery chain’s customer rewards program, offering members more savings and deals.