They're downsizing; taking out nine of their stores. Sales are stagnant, the novelty's worn off, and places like Kroger (Fred Meyer, around here) are offering most of the same products for considerably less cash.
Foot traffic has dipped once again, Barclays analysts note, straight-up describing the magnitude this time as “staggering.”
Yes, Whole Foods has lost some 14 million customers, who on average spent between $30 and $50 per trip. Kroger and its other stores under various different names now have whole sections devoted to "natural foods", and they've been siphoning off those customers. Even smaller guys like Thriftway (locally) have adopted the format; taking away even more from Whole foods. And once a customer's migrated, according to the folks who keep track of this sort of thing, they stay gone. No question about it, Whole Foods is in trouble. I visited one of their stores, once, and found the prices too much. I can see why they're losing.