Costco, the warehouse wholesaler that everybody knows and loves. Nowadays, it's not too difficult to find somebody with a membership. And according to its latest Q4 2019 results call, membership is at an all-time high.
"In terms of renewal rates, at Q4 end, our U.S. and Canada membership renewal rate came in at 90.9 percent, up 0.2 percent from 90.7 percent as of the end of the last quarter," said CFO Richard Galanti during the call. “And worldwide, the renewal rate was 88.4 percent, up from 88.3 percent a quarter ago, both of these figures all-time highs."
According to Galanti, the company ended its fourth quarter with 20.8 million executive memberships—an uptick of 362,000 over last quarter. Costco also saw increases in the use of its digital membership card, which it debuted in July of this year, as we reported on our sister site AndNowUKnow. Since then, Costco has experienced 2.5 million activations.
As membership counts tick up, so do store locations; Galanti teased the opening of 20 or more units in the next year. With the possible new openings, will there be enough retail landscape? Stick with Deli Market News for the latest updates.