One of the most commonly uttered phrases in the United States and Mexico, and one that is increasingly present in the society of other countries, go Costco. Since its founding in 1976, the U.S. hypermarket chain has achieved almost unparalleled success in a very short period. It began in a store in Seattle (Washington, USA), but today it has more than 800 stores around the world.
How has he been able to achieve the status he has in such a short time? That’s what some people wonder when they discover that Costco stores have opened in their countries. This question makes perfect sense, and in this article, we are going to answer it. Discover the key to the company’s success. I’m sure you will find it interesting.
What explains Costco’s success? We tell you
First, the U.S. chain follows or has a strategy or business model that has amazed its customers. Costco has a limited number of items or products, and always keep prices low, so it can sell in high volume. As a result, it can pay its employees well and can count on first-class affiliated clients, especially owners of small and medium-sized companies.
As you will know, if you shop at Costco, this company works with a system of annual memberships, with an approximate cost of 30 euros per year in Spain. This system, far from scaring consumers away, has attracted them, as there is no need to pay such a high amount each year, and the membership allows access to a wide catalog of first-class products offered at uniquely low prices. The U.S. company is very focused on the quality of what it sells and therefore limits the number of products it buys. Among other things, it prioritizes models, sizes, and colors that allow it to sell fast, and its customers buy them. All this explains Costco’s success not only in North America but also in other countries.
Where Costco has succeeded the most
The hypermarket chain has established itself mainly in North American countries, as is only logical. There are 579 in the United States and Puerto Rico, 107 in Canada, and 40 in Mexico. However, it has reached distant countries like New Zealand and Sweden. It is clear then that Costco will not stop growing and establishing itself in more and more parts of the world.