Canadian grocers are unlikely to wage a price war with Whole Foods
Cheaper avocados at Whole Foods might get fans of the organic grocery chain salivating over savings, but retail analysts say it probably won’t launch price wars at most Canadian supermarkets.
The country’s biggest grocers are unlikely to play along with deep cuts by Whole Foods’ new owner Amazon in the produce aisles of its 13 locations across Canada. That’s partly because the imminent threat of the high-end chain wouldn’t justify the financial hit of reacting with deep food discounts, suggested Brynn Winegard, a marketing expert at Winegard and Company.
“Places like Loblaws, Sobeys and Longo’s won’t necessarily be able to afford that,” she said.
“But what you will be looking at is a huge market play towards loyalty.”