Whole Foods, the fancy supermarket that sells overpriced produce to people who buy organic agave nectar, launched a newer, cheaper chain targeted at millennials on Wednesday. The company opened the first store in Los Angles’ Silverlake neighborhood, replacing a Ralph’s.
The new chain, “365 by Whole Foods Market,” hopes to brand itself with cheaper prices and newer technology. 365 aims to help Whole Foods compete with lower priced, healthy grocery stores, such as Sprouts Farmers Market and Trader Joe’s, while not stealing Whole Food’s own customers.
Unlike Whole Foods, 365 will not sell as much organic produce, and stores will be a third smaller. 365 will also only sell about one-fourth of the products found at Whole Foods. Labor will also be cut, so instead of wine experts, butchers or fishmongers, a tablet assists customers, giving them information about each item. Grab-and-go packages of food replace deli and cheese counters. At the new LA location, there is a teaBOT that blends different teas and brews them at different temperatures, depending on the user’s preferences. Customers can also order food through a touchscreen.
The 28,000-square-foot store is the first of 19 other 365 stores that Whole Foods plans to open. A second location, according to BuzzFeed News, is planned to open in Lake Oswego, Oregon on July 14.