The U.S. warehouse club industry, which includes Costco, Sam’s Club and BJ’s Wholesale, is worth more than $320 billion, according to an estimate from ResearchAndMarkets.com . The format is simple. Members pay a fee to shop. In return, they get access to cheap goods and services in a warehouse environment. With more than 65 million paying members, Costco commands the lion’s share of the market. But Sam’s Club, owned by Walmart, is tweaking the formula, betting that investments in robotics and technology can help it better connect with budget-conscious shoppers and compete against its competitors. Walmart CEO Doug McMillon called Sam’s Club an “innovation engine for the company” during an August 2021 earnings call. So how do warehouse clubs like Sam’s get members to pay to shop? And what impact will new technology have on the future of the retailer and its rivalry with Costco?

Chapters:
00:00 — Introduction
01:49 — History
06:13 — Inventory Robots
09:06 — House brands

Produced by: Shawn Baldwin
Edited by: Darren Geeter
Graphic design: Jason Reginato
Supervising Producer: Jeniece Pettitt

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Sam's Club Takes on Costco for Market Dominance

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