Sam's Club Essay

896 Words4 Pages

Sam’s Club On April 7, 1983 Sam Walton in Midwest California founded Sam’s Club. It was previously known as Sam’s West Inc. Sam’s club became one of the top leading bulk sellers in the United States. A change from Walmart, Sam’s Club soon took the hold of the market for getting the most products for the least amount of money. Sam’s Club invented technology and ideas that gave it a competitive advantage over Costco, Past recent years Sam’s Club digress from a top leading competitor to a struggling competitor to keep its edge. This happened due to the most recent economy recession that the United States faced, which caused Sam’s Club customer to have a big disadvantage. In order to combat the negative effects due to the recession had on Sam’s …show more content…

The idea was to attract customers from big wholesale such as Costco & BJ’s including wall-mart. As mentioned in one of the article, the Sam’s Club main aim was to attract customer from small business to whom they sell product with best bargain they cannot resists while offering membership, and with membership there comes rewards. Although the membership did comes with yearly fee, but in return they offer more products with reasonable prices and expand its branch to more open offers. First they started out with grocery store to attract the local business and later expand branch in order to attract small business and now Sam’s Club offering cheapest gas to the members only. In this economy, the gas is overhyped topic that concerns many people and everybody is affected by it. The Sam’s Club selling cheapest gas has its perk because in order to get gas they have to get membership and with membership, they may not only get the gas but also the weekly grocery, furniture, tobacco, etc. that could help both the customer and the wholesale itself. In today’s era Sam’s Club became the biggest wholesale club that offer almost everything that a person can ask for. Starting out with the fresh grocery, tobacco, cigarette, wine, beer, office supplies, furniture and clothes. Everything is done online and can be purchased with …show more content…

According to an article, it stated that Costco started offering free stuff such as $20 gift card, toilet paper, apple pie with a new membership for $55.But now Sam’s club is offering their own version for holiday purchases for new members. The deal is $45 for 1 year Sam’s plus membership, which is a $100 value membership, and this is the premium membership with $20 gift card as appreciation. Not only that, but also allowing spouse or household member to have the same membership free” (Startribune). This offer is more likely to attract customer because it gives the best bargain for product that are expensive. (http://www.startribune.com/blogs/280810212.html took from that source and wrote) In order to boost the business even more. The Sam’s Club also launches the travel app for members only. This method will allow the customer to get the reasonable travel package for members as appreciation of being loyal customer. This strategy allow Sam’s Club to have advantage over Costco and BJ’s because this travel expansion allow the whole sale to have upper hand on almost everything such as customer satisfaction, Bargain product, etc. (http://www.travelpulse.com/news/travel-agents/sams-club-travel-targets-50-million-members.html I got this from this source and

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