Whole Foods is copying Walmart to try and get rid of its 'whole paycheck' image

Business Insider

Whole Foods is taking some cues from Walmart in its latest effort to shed its "whole paycheck" image.

The grocery chain is now stamping its paper shopping bags with a familiar tagline: "great everyday low prices."

The tagline is familiar because it's nearly identical to the famous "everyday low prices" slogan that has been at the center of Walmart's marketing strategy for the last 50 years.

The concept behind the strategy and tagline is this: Customers don't need to wait for coupons or sales to shop at Walmart, because Walmart always offers the lowest prices.

Many retailers have attempted to copy that concept over the years, but few have been successful.

Most retailers resort to the more commonly used promotional strategy known as "high-low" marketing that's marked by frequent sales and coupons.

Reuters

Every price sign in Walmart stores is tagged with the "everyday low price" tagline.

Whole Foods first started referring to "everyday low prices" last year when it announced the rollout of its cheaper chain of stores, called 365 by Whole Foods Market.

In a press release, the company said "the new stores will offer convenience and everyday low prices on natural and organic products."

Whole Foods launched the 365 chain, in part, to enable the company to reach more lower-income, urban markets where a traditional Whole Foods store is less likely to succeed.

AP

The company has dropped prices to try and better compete with the growing number of retailers now offering natural and organic foods.

But sales at stores open at least a year are still falling. Whole Foods' same-store sales dropped 2.6% in the most recent quarter.