Think shopping at Whole Foods is the ultimate luxury? The company is courting you as a customer -- especially if you’re a millennial.
On Wednesday, the organic grocer announced the launch of a yet-unnamed new store concept at a less expensive price point than current Whole Foods Markets. According to the company, the new chain will feature a “modern, streamlined design” and make innovative use of tech.
“It will deliver a convenient, transparent, and values-oriented experience geared toward millennial shoppers, while appealing to anyone looking for high-quality fresh food at great prices,” Walter Robb, co-chief executive officer of Whole Foods Market, said in a statement.
Whole Foods announced the news yesterday when it revealed its disappointing second-quarter results. Same-store sales rose 3.6 percent during the quarter, down from 4.5 percent in the first quarter and lower than the 5.3 percent analysts were expecting. Total sales increased 10 percent to $3.65 billion, but also missed expectations.
Whole Foods shares were down about 10 percent as of 11 a.m. ET today.
The new stores are scheduled to begin opening next year, with Whole Foods currently building a team to focus on the new concept and negotiating leases. After the concept launches, the company expects it will rapidly expand. More details will be revealed sometime this summer, prior to Labor Day.
This isn’t Whole Foods’ first attempt to upend its reputation as organic but extraordinarily pricey. In February, the company announced it had successfully increased sales by cutting prices on offerings shoppers consider staples.