Club Stores represent over $431 billion in combined annual sales at the major warehouse clubs—Costco, Sam’s Club, BJ’s Wholesale, and PriceSmart. It is a unique retail platform because it requires customers to pay an annual membership fee. Once a customer has paid the fee and becomes a member, Club stores offer lower gross margins and larger quantities than traditional grocery stores. This membership-based model has proven remarkably successful: Costco maintains a 92% renewal rate in the U.S., while BJ’s achieves a 90% tenured member renewal rate, demonstrating exceptional customer loyalty.
The warehouse club channel is dominated by three major players. Costco leads with net sales of $249.6 billion in fiscal year 2024 and approximately 617 warehouse locations in the United States and Puerto Rico, serving nearly 137 million cardholders worldwide with an approximately 76 million paid member base. Sam’s Club, a division of Walmart, generated $90.2 billion in net sales in fiscal year 2025, operating 600 membership warehouse clubs across 44 U.S. states and Puerto Rico. BJ’s Wholesale Club posted revenues of $20.5 billion in fiscal year 2025, operating approximately 244 stores primarily in the Eastern United States with a membership base of 8 million.
In terms of market share, Costco commands approximately 62% of the U.S. warehouse club market, with Sam’s Club holding roughly 31% and BJ’s at approximately 7%. This concentration creates significant opportunities for brands that can successfully navigate the channel.
Club stores are high-volume retailers, and NPI has the expertise and relationships to help integrate new manufacturers into this channel. Because Club stores carry a much smaller number of products than a typical grocery store—Costco curates approximately 4,000 SKUs compared to 30,000 SKUs at an average supermarket, while Sam’s Club and BJ’s each carry between 6,000 and 7,000 SKUs—marketing and sales efforts must be tailored toward the club model, which specifically values quality, value, and supply chain efficiency.
The warehouse club industry continues to expand, with all three major players announcing aggressive growth plans. Costco plans to open 25 to 30 new stores globally per year over the next decade, Sam’s Club is targeting 15 new locations annually with plans to double its membership over the next 8-10 years, and BJ’s is expanding into new markets including the Midwest and Southeast with its strongest real estate pipeline in 20 years. Foot traffic continues to grow, with Q2 2025 visits to Costco, BJ’s, and Sam’s Club increasing 3.2%, 5.0%, and 1.6% respectively compared to the prior year.
The channel is also attracting younger consumers—just under half of Costco’s new members who sign up each year are now under age 40, and customers between ages 25 and 34 represent the fastest-growing spending segment at warehouse clubs for general merchandise.
NPI has the necessary experience, relationships, and nationwide reach to ensure your brand is well represented in this key retail channel.
Contact the NPI team today to learn how we can assist you with the Club Store retail market.