This is a major reason I don't do delivery. Agree with you OP, the packaging is excessive. In person at WF I can skip produce bags and select based on minimal plastic packaging. Farmers' markets are even better.
We sometimes order Whole Foods grocery delivery (via Prime). The packaging is obscene (like one item per bag, numerous ice packs, pieces of cardboard, etc). Does anywhere delivery groceries with just typical bagging? How about Costco? We've never used them, but would those groceries come in big boxes without all the ice packs and extra bags and plastic? Delivery is so convenient, but I can't bear to throw that amount of trash away weekly for the covenience of it.