Amazon Prime members can now get 5% back at Whole Foods

Amazon Squeezes More Benefits Out of Whole Foods

Amazon.com, Inc. (NASDAQ:AMZN) has added a new perk that will encourage Prime subscribers to head over to Whole Foods for all their grocery needs. Prime members with the Amazon Rewards Visa card will now get 5% back on Whole Foods purchases, in addition to the 5% back they already get on Amazon.com purchases. Non-Prime members aren't left out in the cold, however. The new offer was announced Tuesday and is available right away, according to USA Today.

When the e-tailer took over Whole Foods previous year, it made lowering prices a main goal.

The card now earns 5% back on Whole Foods purchases, the first time it has extended a rate this high on purchases beyond Amazon. For example, to use the recent Prime Valentine's Day rose promotion, Whole Foods customers had to present a printed bar code.

Note that the rewards can be redeemed only at Amazon, which works well for frequent Amazon customers, but may be frustrating for shoppers who compare prices across multiple retailers. By covering all of Whole Foods and Amazon, the namesake Rewards Visa card is making a serious bid to get you 5% back on a majority of your purchases - the catch being that all your purchases are made from Amazon. There is also now a Whole Foods online storefront on Amazon's website. The Prime fast-shipping program will be at the heart of it. Whole Foods Market and Amazon will together continue innovating to provide customers with a great shopping experience, in-store offerings, and lower prices. The e-commerce giant announced last week that it will offer free two-hour delivery of Whole Foods groceries in four US cities.

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