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    Costco Enjoys A 5% Year-On-Year Increase In Popularity Among Young People.

    2017/1/12 13:16:00 39

    CostcoShoppingMillennial Generation

     Costco

    With the overall decline of retail trade, the largest chain member in the United States reserves supermarkets.

    Costco

    Recent sales performance is good, especially young people's favorite.

    Costco's latest report pointed out that the turnover in December last year was $13 billion. By the end of the 5 week of the new year's day, the revenue grew by 5% over the same period last year, and the revenue last year was 12 billion 460 million dollars.

    Holiday

    Shopping

    The impact of the frenzy is also evident. By the end of the 18 week of the new year's day, Costco's overall sales increased by 2%, the US region grew by 1%, the Canadian region grew by 5%, and the rest of the region grew by 1%.

    RichardGalanti, CFO and executive vice president of Costco, said

    Millennials

    The number of members of the post millennial generation is increasing, and the average age of the members has been reduced by two years, which is only two years higher than the average age of the United States (around 36 years old).

    Young consumers are very happy with the Costco's high quality and low price principle.

    Costco streamlined the brand of goods sold, so that many consumers who have difficulty in choosing problems are free from torture.

    Costco stock unit is less than 4000, and each commodity category only selects several brands. It is likely that a product line corresponds to a brand or a private brand Kirkland of Costco, which is claimed to be top quality products, and this streamlined mode also makes the shelf space more efficient.

    As demand for organic food grows, Costco has begun to compete for this market.

    According to the world clothing and shoe net, Costco's sales of organic food reached US $4 billion, exceeding the total food market and becoming the largest supplier of organic food in the United States.

    Along with the quality products, the price of Costco is not high, of course, this may be related to their wholesale sales of large packaged goods.

    But their computer system does not allow the price of anything to be raised by 14%, but not less than 1%, which is relatively rare compared with other supermarkets.

    For example, a CK jeans, probably the general store priced at about 50 dollars, Costco will sell for about 30 dollars.

    It also lets consumers feel the value of their membership fees.

    Costco annual membership fees are divided into 55 US dollars and 110 US dollars two price points. Customers need to show membership cards when checking out.

    Another reason why young people favor Costco is that membership cards have a wide range of preferences, including booking travel packages, renting cars, dispensing, etc.

    The senior membership card can also enjoy a 2% cash rebate discount.

    Costco also wants to bring young ways to China.

    In 2014, Costco announced the opening of its official flagship store in Tmall, introducing food and health products and other superior commodities (Tmall does not need to do cards). The current sales are higher among young people's favorite snacks.

    Salt baked nuts sell best and sales reach about 500000.

    However, Costco has no entity stores in mainland China.

    Costco now has 723 stores, 506 of which are in the United States, and 49 in Asia. It only deals with Japan, Korea and Taiwan.

    More interesting reports, please pay attention to the world clothing shoes and hats net.

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