Looking at every aspect of the business to eliminate costs that do not produce value for shoppers. Whole Foods announced a plan to reduce expenses by a $300 million run rate by fiscal year 2017. Already, they have eliminated more than 2,000 positions this year and have introduced a new labor scheduling tool that should help in this effort.

Innovating through exclusive brands and prepared and bakery foods. Whole Foods does almost one-third of its sales in these categories, and they’re parts of the store that are becoming increasingly important as a differentiator, Mackey said. A global vice president of culinary and hospitality position was recently created and will be filled in the coming months.

Improving value perception through strategic price reductions and promotions, as well as external marketing efforts. While Mackey acknowledged that price is a critical part of the conversation, he noted that Whole Foods is “not participating in a race to the bottom.”

Investing in digital strategies to convert website traffic into sales. Last quarter, the retailer integrated Instacart into its app. In the near future, it plans to launch a national sales flyer and continue testing its loyalty program pilot.

Launching a new growth vehicle, 365 by Whole Foods. Three new leases were signed last quarter for locations in San Francisco, Cincinnati and Cedar Park, Texas. Simultaneously, the retailer plans to grow its square footage at a more moderate pace in 2016.