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5 Lessons Learned From Amazon's First Week With Whole Foods

Alexa has suddenly developed a taste for organic quinoa.

On Monday, Amazon closed on its $13.7 billion acquisition of Whole Foods Market— much earlier than many expected — and immediately slashed prices on staple items in a savvy bit of marketing that had been announced a few days prior. Headlines blared the news. Competitor stock prices tumbled.

Here are five takeaways from week one of Amazon-owned Whole Foods.

Amazon knows how to make an entrance

When was the last time a grocery retailer was able to stir up this much excitement?

Amazon effectively cannonballed into the placid waters of the grocery industry by grabbing headlines with price cuts. But the longer-term potential of Amazon-owned Whole Foods — and what worries competitors — is that it could fundamentally transform how shoppers buy groceries through data insights and e-commerce options, forcing massive change throughout the industry, some experts say.

"It's brilliant marketing from day one — lower prices, more to come. ... It's exciting and it's probably the most excitement we've seen in a pretty staid industry," said Phil Lempert, a grocery store analyst who runs the Supermarket Guru website.

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