Whole Foods Market Inc.’s digital push seems to be paying off.
The retailer of organic and natural foods and merchandise launched its first digital couponing program on January 28 with version 7.0 of its online app, and so far, the numbers look very good.
Since the company’s formal announcement last month 10, daily downloads surged from approximately 1,000 to 5,000 on Apple’s iOS, based on RBC Capital Markets.
“While digital coupling is just one initiative to revive comparable sales growth, we are encouraged by consumers’ engagement using the new program,” analyst William Kirk told clients.
Not only is Whole Foods’ new app being downloaded more, but clients are passing on higher scores.
Based on a five-star rating scale, the typical version 7.0 score is four, and two-thirds of users give it a five. That comparison to all previous versions from the app, that have received an average rating of three stars, based on nearly 17,000 total reviews.
While increased paying for programs such as this will put a dent in Whole Foods’ earnings, Kirk believes it’s the best way to combat competitive headwinds in the grocery space.
