In a bid to compete with rival warehouse club chain Costco, Sam’s Club plans to open eight to 10 new clubs annually, starting this year, in more affluent communities, as part of what CEO Rosalind Brewer told Fortune magazine “is absolutely a reset for our business.” The goal, according to Brewer, is for Sam’s Club to attract shoppers with a higher household income.
The Walmart division will also remodel 50 to 60 clubs this year to feature new technology enabling it to expand its curbside pickup service and otherwise enhance its e-commerce offerings, which will include mobile check-in and prepayment.
Aside from courting more affluent customers, Sam’s is working on its food offering, streamlining its 21 private brands to one, Member’s Mark, and hiring product developers and quality testers to improve its products. Further, the retailer is tasking regional buying teams with sourcing specialty foods for the stores in their respective area, hoping to appeal to consumers interested in buying and eating locally.
Bentonville, Ark.-based Sam’s Club currently operates about 650 clubs.