Bloomberg: Amazon’s Price Cuts on Food Leave Rivals Bracing for Impact

“Up until a couple of years ago, the grocery price war had largely been fought over mainstream products like soda, soup and cereal, leaving higher-end organics to compete on quality. Organic products still have fatter margins, giving Amazon more room to experiment on pricing.

‘When you think about Amazon’s dynamic pricing, it is taking a 21st-century technology and putting it in front of consumers in a new venue,’ said Ken Harris, managing partner at Cadent Consulting Group. ‘Consumers have come to expect it in other places but not their neighborhood supermarket. So it’s profound, and other retailers have to take notice.'”

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