Loading...
Answers
MenuWhat are the demographics for people who shop at Costco and other wholesale clubs?
I've heard generally that Costco's shoppers tend to be more affluent and skew toward business owners. What are some more specific demographic details on Costco's shoppers? What about other wholesale clubs?
Answers
COSTCO AFFLUENCE: You might be surprised to know that 54% of CostCo's Wholesale Club (CWC) members are considered wealthy, or "affluent", with only 15% just "getting by" or "poor".
BUSINESS VS CONSUMER: Approximately 24% businesses, 76% individual consumers. Even though business customers drive about 60% of CostCo's revenue, about half of that is for home use, so it's about 30% business revenue and 70% individual consumer revenue.
HOUSEHOLD: 35% of CWC members have 2 person households. 56% have three or more in their home.
I have a ton of paid tools at my disposal for market research. For much more detail on other demographic data for CWC, along with info from BJs and other wholesale clubs, set up a call with me on Clarity.
Think Al Bundy. Use him as your demographic, you will not go to far off track. No insults intended, but you need to have a physical character that represents your target audience. If you can't find one, make one up. But you can usually find one on TV.
Don't stop taking massive action.
Best of Luck,
Michael T. Irvin
michaelirvin.net
My books are available exclusively through Amazon Books. Check out my book "Copywriting Blackbook of Secrets"
Copywriting, Startups, Internet Entrepreneur, Online Marketing, Making Money
My extended family and most of their neighbors are Costco shoppers. So, while I cannot point to statistical studies, I can speak from first-hand "annecdotal" experience.
Yes, from what I've seen, Costco shoppers tend to range from middle class all the way up to the very wealthy, believe it or not, depending on region and culture.
The region I'd point to in this case is the state of Utah, including both LDS and non-LDS individuals. Households would often be affluent. Professions include doctors, dentists, senior engineers, business owners, heads of hospitals. Education would usually be a bachelor's degree but including many MDs and PhDs.
Often the women do the shopping, but some of the female Costco shoppers I know personally have advanced degrees and high paying full-time jobs. Men also shop at Costco -- especially when preparing for large events that feed multiple families. Typically Costco is not the only place people shop -- but the most time-efficient. Cost is actually not the primary motivation, from what I've seen. Time is. People are seeking a single, simpler bulk solution.
"Families" is the most important word here, I suspect, when defining the Costco demographic. At one point years ago, I inherited a Costco member card; but I found it unwieldy to shop for just 1-3 people there. Generally, from what I've seen, Costco shoppers represent families with at least 2 children over the age of 8.
For what it's worth, that's my unscientific answer.
Related Questions
-
I have an idea for a simple household kitchen product (under $5). Where can I get good advice on the process of bringing it to market?
Hi! The quick answer is that simple invention ideas are great as they are the fastest and least expensive to develop, yet can still be highly profitable. I run a consumer product firm which has developed hundreds of inventions for home-based inventors or small product firms - Essentially we take it from Idea to Store Shelves. The best advice I can give is to ONLY do what is absolutely required to sell product... There are lots of great services out there that are beneficial; however, if you're on a limited budget, stick to only what is necessary to make a sale, which is: 1. Industrial Design / Engineering, 2. A manufactured sample and a manufacturer who can produce product, and 3. A provisional patent. Essentially what you need is a real, physical, and fully functioning unit of your product, the prices to manufacture that product and a manufacturer who is ready to produce units, and intellectual property protection so that your idea is not stolen. Once you have these 3 items, you can start to present your product to wholesalers, retails, distributors, etc. If someone likes it and the price is reasonable, they can place an order, and your business and dream product starts to grow. From there, there is a whole world of possibilities, but the most important thing for now is to develop your product from 'idea' into 'real'. Whatever you do, do not get caught up in the idea of 'licencing' your idea. An idea is almost impossible to licence unless it is CURRENTLY being manufactured AND being SOLD through stores. If someone or a company says that they will help licence your product idea for royalties, etc., then they should be willing to do that for FREE, no charge, no fees. Many people attempt to charge fees to licence a product idea; however, if you aren't currently selling in stores, it will almost be impossible to get any form of monetary payment, so they usually are just trying to get your fees for their 'marketing' services, which are almost useless for an undeveloped product, and they know this. If you would like more information on some of the details of product development, we have a free Invention Guide on our website, check it out here: http://www.makoinvent.com/free-invention-kit/ Cheers, Kevin Mako President, Mako Invent www.makoinvent.com www.facebook.com/makoinvent www.twitter.com/makoinventKM
-
What first steps do I need to take in order to start my own fast food company?
My assumption is that fast-food chains begin as restaurants in a single location. Then, if they're successful, they expand – with or without franchising. Honestly, I know next to nothing about running a business in the food industry. But I can help you with 1 important first step: creating your brand, choosing a name, and obtaining the matching domain. A single-location restaurant might get by with a clunky domain or a brand name that isn't unique at a national level, as long as customers can find their building. However, if your goal is to expand beyond that 1 shop, then branding and the internet will be especially important.JP
-
Want to start my business in the food delivery industry!
The online food delivery industry is at its growth stage, especially after lockdown. There is a surge in demand due to the COVID-19 outbreak as the customers were unable to visit their favorite restaurants and opted for ordering food online. As a precaution, even the restaurants have reduced the sitting capacity in the restaurants, which is one big reason for the increase in online orders. Apps like Uber Eats, GrubHub, Deliveroo are high in demand with an increasing number of downloads each day. This is because consumer behavior has changed, people now feel it safe and more convenient to order food online during the pandemic to avoid crowded places. Even the restaurants that earlier did not have the online services available have started investing to digitize their food ordering and delivery system. However, the entrepreneurs demand platforms similar to top players like Uber Eats. Here is a blog that has explained in detail “How to build an app like Uber Eats”: https://www.fatbit.com/fab/how-to-build-an-app-like-ubereats/ To build an online food ordering and delivery platform you can either opt for a ready-made solution that is a cost-efficient investment or build the website/app from scratch. Food Delivery Solution like YoYumm is suggested based on the features they offer to their customers and the after-sales services provided by the Yoyumm team to build an app like Deliveroo and Just Eat. For more information, you may visit: https://www.fatbit.com/online-food-ordering-software.html For entrepreneurs who are planning to invest or start their online food ordering and delivery business, this is the right time as the demand in the market is high for food delivery services. On the other hand, if we talk about the offline food business, they too are finding their way back. Offline food joints and restaurants have resumed their services after lockdown with more safety and sanitization precautions for both their customers as well as staff. Although the footfall is comparatively less still the business owners are looking for a better solution to cope up with the new norms and change in customer behavior. Take Away The online food delivery marketplace provides customers with the choice & convenience of getting food delivered at their doorsteps with a few taps on their mobile phones. To deal with the change in norm due to the pandemic online service for food ordering and delivery is in demand and entrepreneurs/restaurant owners should pay attention to online food delivery services. You can either create your own platform to receive the order and deliver food or register your restaurant/food joint on platforms such as Uber Eats, Just Eats, and Deliveroo to make the best use of the new digital opportunities. Suggested read: Looking To Start an Online Food Delivery Platform? Take a Look at These Key Features (https://www.fatbit.com/fab/depth-feature-analysis-create-successful-online-food-delivery-platform/ )PC
-
What are some key considerations to generate QR codes that are compatible with stores' POS systems? Is this relatively complicated for an MVP?
QRs are simple links, typically URLs. To perform any kind of interaction with a 3rd-party system, you need to understand what parameters this system can take as part of a URL and see if it performs the expected use case well. My suggestion is that if you can generate the right use case by typing a URL in a browser, you can also support the same use case via a QR. The QR is not where the challenge is. I hope it helpsYS
-
I had an idea that I presented at the Startup weekend two years ago. And now I see couple of companies already working on it. What should I do?
If you have no team or your team is lacking what they have it could be a great reason to reach out to them. On the other hand, if you have or can build the right team there is little to gain from partnering with starups like this. Remember that it takes a team to build a successful business and they are not the first or second to try this. My caution would be to make sure you have someone with food safety/regulation experience on your team. This business model has safety concerns which must be addressed to make it viable. Having started, worked with and consulted for food startups, as large as $1B, I can assure you there is a significant public health risk associated with this business model. Sorry to be the voice of reason here, but it is better to hear it from me than someone who is suing you due to a case of food poisoning or worse. As the purveyor of food - or even if acting as a conduit - you have an obligation to consider the public's health and safety. There is an assumption that the product will be safe, just as you assume your Uber will not be a 1971 Ford Pinto with bald tires and an unlicensed driver. Disrupting an industry by challenging the regulations is a great way to go, think Uber or airbnb. Even with the disruption you must still be able to service the customers in a safe way. The FDA states that there are "about 48 million cases of foodborne illness annually...these illnesses result in an estimated 128,000 hospitalizations and 3,000 deaths." Food industry regulations, both local and federal, have evolved as a necessity. If you would like to talk through options which begin to address the safety concerns I would be more than happy to talk with you.RC
the startups.com platform
Copyright © 2025 Startups.com. All rights reserved.