Costco Reports Another Big Increase In Sales

Namnews, 9th July 2021

Global warehouse club giant Costco has posted another set of robust sales figures despite lapping big increases at the start of the pandemic a year ago.

With shopper numbers increasing as restrictions eased in key markets, the retailer’s total sales jumped 16.9% to $18.92bn over the five weeks ended 4 July. However, comparable sales growth (excl. the impact of fuel and currency fluctuations) slowed to 7.9% compared to the 14.7% rise the month before.

Costco did highlight that June month had one fewer shopping day versus last year, due to the calendar shift of Memorial Day. This negatively impacted sales by approximately one and one-half to two percent.

Comparable sales increased by 7.8% in its US business and were up 8.9% in Canada. Sales in its international division climbed 6.8%, whilst growth in the group’s e-commerce unit slowed again to 18% having almost doubling during the peak of the pandemic.

Costco currently operates 810 warehouses, including 559 in the US and Puerto Rico, 105 in Canada, 39 in Mexico, 30 in Japan, 29 in the UK, 16 in Korea, 14 in Taiwan, 12 in Australia, three in Spain, and one each in Iceland, France, and China.

NAM Implications:

• Right place, right time?
• ‘June month had one fewer shopping day versus last year, due to the calendar shift of Memorial Day.
• This negatively impacted sales by approximately one and one-half to two percent’
• Can you imagine this degree of sensitivity to access/availability…?
• A thought: 105 warehouses in Canada (population 38m) vs 29 in the UK…
• Some way to go for Costco in the UK?