Sam's Club Challenges Costco's Kirkland Brand with New Private Label Initiatives

Money | June 27, 2024, 6:55 a.m.

During the Covid pandemic, Sam's Club Chief Merchant Megan Crozier turned a personal disappointment into a business opportunity. After a leaking inflatable pool purchase for her children, Crozier spearheaded a revitalization of Sam's Club private brand, Member's Mark, to compete with rival Costco's Kirkland Signature. Sam's Club, under CEO Chris Nicholas, aims to close the revenue gap with Costco as it expands its store locations. The success of Member's Mark will be critical to Sam's Club's future growth, especially as it opens new stores in regions with existing Costco memberships. While overtaking Costco won't be easy, retail analysts believe Sam's Club can follow Costco's success with Kirkland Signature to drive membership and sales. The competition between the two mega retailers will ultimately shape the future landscape of the retail club industry.