Costco revenue exceeds $170B annually. They offer items from health and beauty to hardware and household. Their sales are driven by treasure hunt buying; focusing on purchasing items in mass quantity and distributing to hundreds of stores to be sold as quickly as possible. Items found typically have no competitive product, causing sales to be successful and resulting in a sellout. Members know to buy NOW or the item is likely to be sold out on the next visit. Sales are driven on perceived and experienced demand. The next item, likely new but similar, is then brought in with the same result. This phenomenon is what drives vendors to source seasoned Costco brokers. VendorCo can help-visit www.vendorco.com or email [email protected].
To help alleviate the stress of life, March 6th has been designated as the National Day of Unplugging. With life being so demanding, it seems appropriate that a day should be set aside to unplug from electronics. We at VendorCo suggest on this very special day to enjoy your day…perhaps while pondering what electronic items you may need on March 7th or in the near future. Costco offers a wide variety of electronic items such as cell phones, air fryers, lamps, saws, plug in air fresheners, TVs, hair dryers, grooming kits, treadmills and humidifiers.
Costco prides themselves on working with great vendors who supply top quality electronic and non-electronic goods. If you offer a fun, exciting and successful item to retailers across the United States and would like to see your item sold at Costco.com or in their stores, consider VendorCo to be your product broker. Contact [email protected] or visit our website for more information at www.vendorco.com.
In celebration of National Read Across America Day on March 2, 2021, it’s the perfect time to appreciate Costco’s book selection for readers of all ages. Costco’s members (all 98.5M of them!) shop and enjoy new top selling books by their favorite authors at a nice savings.
Like books, Costco prides itself on offering new and exciting items to their members. If you are a manufacturer or supplier of a new and exciting product that has been well received at other retailers, perhaps you should consider Costco. Contact [email protected] or visit our website www.vendorco.com to learn more about VendorCo and how we may be able to be of value to your company and its goals.
A step above the Gold Star Membership is Costco’s Business Member option. Business identification is required when applying for this kind of Costco membership. For $60.00 you can purchase the regular business member or for $120.00 you can be part of the Executive club and earn annual 2% rewards. Licensed businesses, nonprofit organizations, government agencies, farmers, and ranchers can all join as a business member. Both options include a free household card. Affiliate cardholders can be added to the Business Membership for $60.00 each.
Prices are subject to change and may vary by region, check your local warehouse for exact cost. If you are a supplier who is seeking to bring your product into a Costco warehouse or is interested to begin the process, VendorCo can help. Call us at 949-326-8909 or email [email protected].
The benefits of becoming a member quickly outweigh the price of a club card. Members will appreciate the quality and value of products they will find at Costco. Costco also promises torefund your membership fee in full at any time if you are dissatisfied. They guarantee satisfaction on every product they sell with a full refund. Despite popular belief, you don’t need a big family to enjoy all the value Costco has to offer. You can expect to save on electronics, designer jeans, home décor, tires, books, DVDs, gasoline, prescriptions, seasonal items, and more. Members receive coupons exclusive to Costco for everyday items to provide discounts on-top of already low prices. Another top reason to become a member is due to Costco’s outstanding customer service, offering a call center and concierge services for free technical support on set-up help and warranty assistance on any of Costco’s electronic products.
In 1988, Robert Price, President of Price Club said, “We thought of it as a speak-easy. We tried to create a mystique.” At that time, the idea that you could charge people to shop was unimaginable and originally limited to businesses and members of select groups. However, Costco has created a business model that other retailers have since followed.
This month we will discuss Costco Membership, and shed light on the groundbreaking business model that no other retailer has quite been able to match. Included this month will be the following topics:
- Gold Star Memberships
- Business Memberships
- Executive Cardholders
- Rates and Retention
- Added Benefits
- More Reasons to be a Member
The look of Costco warehouses are simple yet rather complex at times; the concrete floors and high ceilings averages up to 100,000 square feet. The decor of the average warehouse is little to none, with minimum fittings and fixtures. Unlike other retailers, Costco stores are rarely located in malls or highly crowded shopping centers. Furthermore, the overhead is kept low and allocates savings passed onto Costco members.
VendorCo is dedicated to help manufacturers sell their product into Costco warehouses. We work with Costco buying staff on a daily basis and provide expertise and knowledge to vendors, so they do not have to figure it out through trial and error. There are thousands of products that reach the buyer’s desk each day, we ensure your steps to achieve. Call one of our experts at 949-326-8909
In all retail establishments, items found on the sales floor will be accompanied by a price sign. Costco signs include the same basic information: a description, an internal identification number, a price, and supportive details about the item. However, Costco signage can often give away secret clues that can add to a shopper’s experience, but may be easily overlooked if you don’t know how to identify them.
Important to note, prices typically ending in “.97″ have been marked down. Other non-standard prices — such as items ending in .49, .79, .89 — are a sign that this is a special deal from the manufacturer. Sometimes there will be an asterisk (*) on the upper right-hand of the price tag, this indicates Costco does not have plans to re-order that product once the stock is sold out, so it’s important to move fast!
It is important for vendors to understand how Costco establishes pricing. If you are interested in submitting your product into Costco, it is vital to calculate all of the costs associated with your product. Contact one of our experts at [email protected] for more details about how we can best serve you.
When shopping at Costco, you will notice a code that is listed above the item name. Item numbers can be up to 7 digits in length. This code, or item number, identifies the specific item, size, color, etc. and is used by the warehouse, buying staff, vendor, and the member to identify the item and for categorization purposes. Early in Costco’s history when the warehouse had not yet merged with Price Club, it offered a different style of numbering system. You would hear employees unloading a cart and yelling out the digits to the cashier, who would key in the item number into the system.
Today, Costco’s system has evolved with technology, but some of these original items numbers are still visible when you buy milk, some tobacco items, and eggs. Costco uses item numbers as a tracking number associated with UPC codes. It is the UPC codes that have sped up the Costco process.
Costco categorizes their products differently than other retail stores, it is important to learn how Costco uses item numbers and other techniques to identify their products. If you are interested in partnering with a manufacturer representative, and starting out your Costco program precisely, then contact VendorCo today at [email protected].
Not all of Costco’s demonstrations are related to food products. In fact, there are several non-food items that can be demonstrated at Costco Warehouses as well. These stations would be set-up in alignment with the appropriate department you are selling to. Non-Food items demonstrations are a different approach than food items. Unlike food items, customers will not always have the “hands-on” approach and instant gratification to sample. Because of this, not all non-foods items would benefit from a demonstration, and those that do should be navigated carefully.
If you have a non-foods product and you are unsure whether a demo would be the best fit for you, then you may benefit from expert Costco representation through VendorCo. We become an extension of your sales team and help you make the best decisions for your company. To get started or for more information, contact us today at [email protected].