Doug Stephens

Consumers Go (Warehouse) Clubbing

March 4, 2010

FROM RETAILWIRE:
Wall Street may have had problems with earnings per share coming in lower than predicted for Costco and BJ's yesterday, but the numbers suggest those two chains along with Sam's are in a pretty good shape compared to many others in the grocery business. Are warehouse clubs fully exploiting the advantages they have over retail food competitors?      [more...]

One really interesting point that will be revealed when the 2010 US census data is captured and compiled will be the rise in the number of multi-generational households in America. The number should come in at approximately 10 million and due to a host of employment and economic factors facing young people, we expect this number to rise significantly over the next 10-20 years.

I see these households as perfect candidates for club offerings given their high household consumption levels but have yet to see Sam's, BJ's or Costco recognize them as a segment.