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Costco Wholesale Membership Essay

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Costco Wholesale Membership is one of the biggest membership warehouse club chains not only in America but across the world. While I personally have fallen prey to the sticker shock while checking out, I always ask myself why do I continue to shop here, what makes shopping here so special for me and everyone else in this 10-person deep check-out line, and what makes Costco one of the largest retailers in the world? The lack of advertising outside of the monthly Costco Connection magazine and coupons to existing members cannot be mistaken for lack of marketing since Costco is thriving. While I ask myself the above questions inevitably when someone inquires where I have purchased x, y or z or when I am talking about x, y, or z product 100% of the time I have purchased it from Costco. Co-workers and I exchange weekly our recent Costco finds. These Costco finds have expanded beyond the warehouse. We have discovered the world of…show more content…
From a financial standpoint, Costco does not make its money by selling products. It makes most of its profit from the yearly membership fees. The annual fees range from $60 for either a Goldstar or Business member to $120 for a Gold Star Executive or Business Executive membership. The various levels of memberships come with their own set of benefits. With Costco’s operating philosophy “Keep costs down and pass the savings on to our members” and the commitment “to offering the best value to our members, with a risk-free 100% satisfaction guarantee on both your membership and merchandise” it is no wonder why Costco has high membership retention. In addition, unlike other wholesale membership warehouses, you do not have to pay a membership fee for the privilege to shop at Costco. Costco does allow non-members who have a Costco gift card to shop in the
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