Tag: Sell to Costco

Inside Costco Warehouses: Paper or Plastic?

By vendorco

“Paper or Plastic?” is not something you will hear at Costco checkout line. More often than not you will be asked “Box or No Box”. Costco received thousands of boxed products which creates a box overage. Instead of throwing these boxes away, Costco protects our environment by using these boxes in place of shopping bags. Besides, how else can paper or plastic bags store large packaged products that can hold the 40lb bag of dog food or a 10 pack of baby wipes?  The box offers a sturdy solution for the shopper and a great outlet for Costco to reduce is box inventory each day.

If you are a supplier preparing to work with Costco or is looking to begin the process, VendorCo can help.  Call us at 949-326-8909 or email [email protected].

How to Get Product Into Costco

By vendorco

Wondering why you cannot seem to find clear instructions regarding how to get product into Costco? There are two main reasons for this shortage of information.

First, not many people truly know and understand how to get product into Costco. Other than directly from the source itself, few companies or individuals have the knowledge to successfully educate others about this topic. Even those who have worked with Costco once or twice are not likely to be knowledgeable about how to get product into each individual Costco department.

Second, much of this information is considered to be “trade secrets”, and is simply not accessible for public access. Unfortunately, this makes it very difficult for companies to gain access to pertinent information regarding how to get product into Costco.

However, all is certainly not lost for hopeful Costco vendors. Affordable resources are available to any company looking for information about how to get product into Costco. For instance, VendorCo has access to a wealth of information related to how to get product into Costco. After 20 years of experience and daily interactions with the Costco buying staff, we can answer most questions about Costco’s processes at the drop of a hat. This information is openly available to any of our clients, or through consultations.

Though it may be difficult to find, information about how to get product into Costco is available. All you have to do is call us! Whether you are looking for long term representation and a commitment to service throughout your Costco program, or if you just want to clear up a few loose ends before proceeding, you can find exactly what you are looking for through one of our services.

Contact us at [email protected] to find out if a partnership is right for you, or visit our services page here for more information about a personalized consultation.

Selling Products to Costco

By vendorco

Selling products to Costco requires patience, dedication, knowledge, and plenty of hard work in order to succeed. Specifically, selling products to Costco requires a nuanced understanding of the demographic, market opportunities, and unique processes and procedures. Failing to understand the inner workings of Costco may result in a loss of revenue, a failed program, and/or damaged relationships.

Don’t take the risk! Be sure that you are properly informed before attempting to sell products to Costco. Not sure where to begin? Fortunately, VendorCo can help. We are experts in Costco product placement and program development, and can help you prepare and plan for a successful relationship with Costco.

You can try to do it all on your own, guessing and struggling to figure out what Costco requires, or you can come to the professionals who understand Costco. We can perfect your product presentation and mold it into what is most desirable to the Costco buyer. The choice is yours, but taking the guesswork out of a stressful situation like working with Costco is well worth the time and effort for a better chance of success.

Selling products to Costco tarts with a phone call! Contact VendorCo today, at (949) 326-8909. We look forward to hearing from you.

Costco Advertising

By vendorco

Costco Advertising – what opportunities are available for Costco vendors? What methods does Costco utilize to advertise, both internally to its members and externally for potential members?

If you are interested in learning more about Costco Advertising, follow this month’s blog posts with the following titles:

  • Costco External Advertising
  • Costco Advertising: In-store Options
  • Costco Advertising: Costco.com Options
  • Costco Advertising: General Options
  • Costco Advertising: Buyer Picks
  • Costco Advertising: Road Show Options
  • Costco Advertising: More Information

If you are interested in selling your product or service Costco, and wish to account for advertising opportunities, call VendorCo today to find out what options you have that would be specific to your product and company. VendorCo is a third party manufacturer representative that has helped countless of Costco potentials become Costco vendors.

Contact VendorCo at (949) 326-8909 or via e-mail at [email protected]

Doing Business with Costco

By vendorco

Doing Business with Costco has the potential to help your business grow in many ways. Costco serves millions of members throughout the United States from a high end demographic. These members continually renew their memberships from year-to-year (with a renewal rate of over 85%!), and their shopping habits are generally resilient to the changing economy. For these, and many more reasons, doing business with Costco can be extremely beneficial and lucrative.

However, you cannot simply walk into Costco and ask to sell your product. You have to know who to talk to, how to talk to them, and you must have a valuable product that is in high demand. Equally as important, you must understand the Costco business model and follow appropriate guidelines. But this is not always so easy to do. Information about doing business with Costco is not readily available for research as many important pieces are considered to be trade secrets. Information that IS available may not always be completely reliable or accurate.

So how do you do business with Costco? There are several ways to deal with Costco. You may plan on spending hours upon hours researching information that may not be available regarding Costco’s procedures, and hoping that your product is Costco material, OR you can seek help through a Costco professional. This is where VendorCo comes in. Having VendorCo on your side gives you a better chance at Costco placement. If your product is not appropriate for Costco, then we can steer you in the right direction rather than letting you waste your precious time.

Give one of our representatives a call today and get start your business relationship with Costco.

Contact VendorCo: [email protected] or (949) 326-8909.

Costco New Vendors

By vendorco

Costco Wholesale is a $75 Billion dollar success story! Their huge success in retail is a reflection of the brands their vendors offer.  No matter if you are one of Costco’s New Vendors or an existing well established vendor, the same holds true: brand, value and volume contribute to the quality Costco Members have grown to expect.

Becoming a New Costco Vendor offers a huge boost to sales and helps drive brand recognition to over 55 Million Costco Members.  Whether Costco shoppers are looking to buy a ½ sheet cake for $17.99, a gazebo for $1,999, or stock up for their business or personal needs, they are confident that Costco products are high quality and reasonably priced, every day.

Which New Costco Vendor will the seasoned Costco buyers purchase from next?  Could it be you? Call VendorCo to find out at (949) 326-8909. We look forward to hearing from you!

How do I sell to Costco?

By vendorco

Selling products to Costco is a dream of many (if not most) manufacturers and service providers. With the potential to place your products in hundreds of stores nationwide, with millions of members to view on monthly basis, who wouldn’t want to partner with this retail/wholesale giant?

However, only a select number of manufacturers and service providers actually succeed at selling products to Costco. This is partially due to Costco’s limited SKU count of approximately 4,000 items per store (compared to WalMart and Target with upwards of 100,000 SKU’s!). But for most vendors, this is because the processes and procedures required to navigate Costco Wholesale can be vastly distinct from other retail avenues. Most executives and administrative personnel, even those who are avid Costco shoppers, are unaware of the unique buying strategies utilized by Costco’s corporate contacts. Obtaining this information can prove to be exceptionally difficult, if not impossible, and the sales techniques you are accustomed to using may actually serve to undercut your potential relationship.

So how do you sell to Costco? How do you sell to Costco.com?

This month, we will provide you with essential information to best prepare for your Costco program, including information pertaining to how VendorCo can help you. VendorCo is a full service manufacturer representative company specializing exclusively in Costco Wholesale programs. With over a decade of Costco specific experience, our Senior Account Managers can be an invaluable asset to your Costco program. You can read just a sample of our success stories, and imagine the success your product or service can have with a global retailer like Costco.

Ready to get started now? Contact VendorCo to speak with a Costco expert at [email protected]

Rejected Programs: lack of POTENTIAL

By vendorco

Becoming a Costco vendor certainly has its benefits, one of which is the potential for a long term relationship with Costco, the number one warehouse chain in the United States. In fact, Costco appreciates and places a higher value on manufacturers and service providers that offer the potential for multiple placements down the road. So, if your company currently offers only one product, then your chances of becoming a Costco vendor are significantly more difficult than a competitor offering multiple products. Sure, you can make the argument that you will continue to transition the same product in and out of Costco for a long period of time, but the scope of your relationship remains limited.

If you are a company with only one product or if you have been turned down because your potential relationship is perceived as limited or temporary, there may still be an opportunity to gain a relationship with Costco. VendorCo is constantly researching unique ways to assist hopeful Costco vendors, and we have developed a unique program specific to smaller companies, or companies with a limited scope. If your company falls in this category, contact us today for more information on how we can help you.

What NOT to do: Exaggerate Your Ability to Deliver

By vendorco

It is extremely important to be completely honest with Costco regarding your ability to deliver what is promised to the Costco members. A large marketing firm with top names in the sports industry was hoping to move forward with Event Tickets that would be sold through several avenues within Costco, including Costco Travel, Costco in-store, and Costco.com. The company assured Costco that they had the appropriate clearance to move forward with multiple programs if it was approved, and Costco was thrilled to begin. However, the company was dishonest about their rights to sell the program, and they were unable to gain approval to sell the program to Costco. The dishonesty and irresponsible actions of this company resulted in a complete loss of any potential relationship with Costco. Not only was there a loss of the programs pitched to Costco, but the buyers refused to consider any additional items for the duration of their term as buyer.

What NOT to do with Costco? Never overstate or exaggerate your companies capabilities and rights. Costco only wishes to partner with established, honest vendors that will serve their members diligently. If you have an honest program offer and need help pitching your product to Costco, contact a VendorCo representative today.

What NOT to do: Underestimate Costco’s Demographic

By vendorco

An energy drink company was able to secure regional sales at Costco’s warehouses. After performing a sales analysis of their current distribution, which was largely to C-Stores, the company found that diet energy drinks were 30% of their sales volume, while regular energy drinks were 70% of sales volume. The company chose to base their Costco test on this sales data, providing 70% regular and 30% diet energy drinks to Costco. However, the company failed to take into account Costco’s demographic data provided to them, and they experienced a lack of inventory for diet drinks, and a surplus of regular energy drinks. Due to this miscalculation, the test failed.

What NOT to do with Costco? Never underestimate Costco’s demographic. It is extremely important to be cognizant of who you will see your product on Costco’s sales floor. VendorCo can help your company avoid costly miscalculations like this that can result in a failed test, as well as damage to your reputation and relationships with the buyers. Find out if your product qualifies as a Costco ready item, and contact VendorCo today for expert representation.

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