Whole Foods is cutting prices — and it's hitting Trader Joe's hard

Amazon's acquisition of Whole Foods is rocking the grocery industry. 

As soon as the e-commerce giant's $13.7 billion acquisition of Whole Foods formally went through in August, the changes began, from cutting costs to internal restructuring. 

According to a report by alternative data intelligence firm Thasos Group, which analyzed mobile phone location data, Whole Foods' foot traffic climbed 17% year-over-year the week of price cuts.

Three weeks later, traffic was still up 4% year-over-year. 

These new customers seem to be coming from other grocery chains. 

Almost 10% of regular Trader Joe's customers defected to Whole Foods each day the first week after the Amazon acquisition, when the price cuts went into effect. While the figure dropped after the first week, Trader Joe's still had a 6% defection rate three weeks after the acquisition. 

The defection rate shows customers ditching a competitor for Whole Foods as a percentage of the total regular customer base. It's calculated by taking the percentage of regular Trader Joe's customers — people who visit the chain at least twice a month — that go to Whole Foods instead of Trader Joe's or another grocery rival on a given day.

The first week after the acquisition, for example, almost one in 10 regular Trader Joe's shoppers went to Whole Foods instead of going to Trader Joe's. 

Other retailers that were hit hard by Trader Joe's price cuts include Target and the organic supermarket chain Sprouts. 

RELATED: 11 ways to save at Whole Foods

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11 ways to save at whole foods

Be wary of dairy in glass containers

If you grab milk or cream from a glass bottle, you'll be charged for the price of the bottle in addition to its contents. If you must purchase the glass bottle version of the product, be sure to bring it back to Whole Foods next time you're shopping and customer service will give you a voucher.

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Bring your own bags

Whole Foods will offer you a five to 10 cent discount from your total for bringing your own bag.

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Don’t buy Whole Foods pre-packaged containers of fruits and veggies

You'll end up paying way more and receiving way less. Always opt for the full version of the fruit or vegetable and prepare it yourself.

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Take advantage of bulk meat deals

Deals on bulk amounts of certain meats vary from location to location. Ask the butcher about what bulk meat deals your local Whole Foods is offering.

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Look for bright yellow tags

Special deals (that only last for a few days or a week) are unadvertised outside of the store but can be found while shopping by their bright yellow tags.

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Check out specialty online coupons

You can enter your local Whole Foods store online and print off coupons and deals that are specific to your local Whole Foods--some coupons are valid for up to three months. 

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Buy cases of products you like and save 10 percent

Whether it's protein bars or wine, Whole Foods will discount a case-sized version of your product for 10 percent, a well worth it investment if it's a product your consuming often.

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Shop the Friday-only sales

Stores will offer specialty Friday-only sales that can offer you major one-day savings.

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Shop the Whole Foods 365 value brand

The store's value brand is extremely well-priced and will offer you the healthiest version of discounted products, as there will be a significantly lower amount of preservatives than other discount brands, according to Whole Foods.

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"Like" your local Whole Foods' Facebook page for news on special deals and discounts

Deals will vary from store to store and are always advertised through social media.

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Bring your own containers when shopping the bulk section

When weighing your bulk purchase at checkout, Whole Foods will subtract the price of the weight of your container if you bring your own from home instead of using the ones provided in the store.

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SEE ALSO: Here are all the changes Amazon is making to Whole Foods

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