Costco is braving the great Australian outback as the latest frontier to house a few new shops. The Sydney Morning Herald reports this expansion plan comes on the tails of last year's double-digit sales and profit growth and is a way to keep the pressure on a few of its local competitors, like Coles and Woolworths.
Costco currently operates 10 warehouses in Australia, and plans to add two more brick-and-mortar locations and one online shop to that list. Specifically, Costco plans to open a Brisbane-based location by February and is starting construction on a Perth-based location, slated to open by December of 2019.
While Costco declined to provide any information on its online offering, The Sydney Morning Herald notes the roll-out plan for the mysterious online store will hit every capital city in the new year.
“The U.S. has a very successful online business, and it’s part of retail now that you have omni-channel rollouts. But we’re concentrating on brick and mortar at the moment,” said Costco’s Country Manager Patrick Noone.
Will Costco's new brick-and-mortar locations and online offering place it at the top of the retail food chain in Australia's booming market? Deli Market News will continue to report.