Amazon's push into Australia could intensify pressure on local supermarkets to slash prices. Credit:Dallas Kilponen The move suggests that Amazon is ready to do what it has done in so many other corners of the retail business: Hustle after market share and worry about profit later. Two of Amazon's immediate techniques with Whole Foods show the online giant's particular brand of ruthless genius. The low price halo Amazon employs a clever trick with its online shopping mall that it seems to be bringing to supermarkets, too. The company's prices aren't necessarily the lowest across the board. But Amazon carefully picks and chooses some popular or highly visible products and cuts their prices to the bone. That gives Amazon the reputation of having the lowest prices around.

The company's overnight announcement said that it would cut prices on a "selection of best-selling staples" at Whole Foods, including bananas, organic avocados and ground beef. Again, Amazon doesn't need to have the lowest prices on everything, just the items that grocery shoppers are most likely to plop into their carts. That will make Whole Foods seem like a better bargain, even if it's not. Amazon had set buying terms with suppliers and placed first orders in recent weeks, Citi said. Credit:AP Supermarkets have long done this, of course, by offering cheap prices on milk or bread to bring people into their stores. Amazon is likely to take this to the next level, and the price chopping no doubt will force other grocers to follow when prices are already ultra-low. Members of Amazon's Prime shopping club will also have new reasons to shop at Whole Foods. The company plans to make Prime the de facto loyalty program for Whole Foods, too. That instantly gives the grocer the mother of all store-loyalty programs. The war to the door

Amazon has already shown signs of using its growing number of bricks-and-mortar book shops, university stores and grocery kiosks in the US to solve the tricky and expensive problem of delivering packages. Whole Foods is now part of the strategy, too. The company's announcement said that it would install lockers in "select" Whole Foods stores, turning them into mini package pickup centres so Amazon online customers can pick up orders at Whole Foods or return merchandise there. These self-delivery options are particularly important in cities where people can't have packages left on their doorsteps while they're away. The same motivation was behind Amazon's announcement last week that it would begin using some of its existing storefronts -- starting with five Amazon locations on or near college campuses -- into package pickup spots for orders customers need in a matter of minutes. Amazon is catching onto something traditional store retailers noticed long ago: Consumers want choices. Yes, sometimes they want to buy something from their sofa and wait for it to be delivered to their homes. But sometimes they like to order online and then pick it up whenever they want. And turning people into their own FedEx delivery person is cheaper for the company, too. As Amazon rolls out these grocery plans, some traditional sellers look better suited to absorb the shock than others: Wal-Mart has been girding itself to play defense in the food business for some time now, investing in programs such as online grocery pickup and working to improve its assortment of fresh produce and vegetables. Earlier this week, it announced a partnership with Google, offering Wal-Mart products to people who shop on Google Express, the search site's online shopping mall.

German-owned supermarket chains Aldi and Lidl have plenty of experience fighting in the low-price trenches. However, some other retailers don't seem to have a clearly defined plan to help fend off this new pressure. Loading Regardless of their preparedness, all of these grocers should buckle up: Amazon clearly has put market share on its shopping list, and it could come at any of their expense. ​Bloomberg, with BusinessDay