Potential Impact Of 'Game Changing' Move As Amazon Buys Whole Foods
BALTIMORE (WJZ) -- The deal is being called a "game changer," as Amazon takes over Whole Foods, for nearly $14 billion dollars.
It's just the latest bold move by the online shopping giant. Rick Ritter breaks down the deal and what it means moving forward.
Amazon will scoop up more than 400 Whole Foods stores across the country, instantly making them a major player in the grocery industry.
It's a deal that rattles the grocery industry. Amazon swallows up whole foods in a monster move, that will cost close to 14 billion dollars.
The company that's dominated mass retailing - now slides on to the next level.
"Amazon is taking over the world because that's a real big switch," says Ishmael McIntosh, from Baltimore, a former Whole Foods worker. The online shopping giant will have at least 460 physical stores to try out new methods with its Amazon delivery service.
"Imagine when you want to buy something from Amazon. You can order them and pick them up right at whole foods in Amazon locker," says supermarket expert Phil Lempert.
Supermarket gurus call it a game changer.
"This will only help Amazon, whole foods consumers, this is a win-win for everyone," says Lempert.
Some say the goal for Amazon is shed whole foods pricey image - and with that could mean job cuts - so far Amazon has denied that there will be any layoffs."
The news is generating mixed reaction outside of Harbor East.
"I think it will be great for all parties, for them, for Amazon, for us," says Teneek Stanley, from Baltimore.
"Different corporation taking over can hurt, it can help, we'll see," says s Ishmael McIntosh.
Experts note that most Whole Foods shoppers are already familiar with Amazon and are lining up for what could be a smooth transition.
"Whole Foods customers who buy in large, are also Amazon users, Amazon Prime, and are very open to online way of buying," says retail expert with Magid Consultants, Matt Sargent.
The sale still needs approval from whole foods shareholders but the deal is expected to be wrapped up later this year.
Amazon's acquisition of Whole Foods sent stock prices plummeting for other grocers.
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