Costco (NASDAQ:COST)’s Ever Increasing Sales See a Rise of 13% in Single Month
Costco (NASDAQ:COST) is one of the main big box retailers. The strong sales and profits production can be attributed to the fact that Costco (NASDAQ:COST) uses creative methods and marketing techniques to keep the sales and profits rising. apart from using its pricing just to increase sales and profits, Costco (NASDAQ:COST) also offers its customers annual membership and offers even lower prices to its members, along with rewards and discounts so the customers retain their membership. It seems to have proven successful for Costco (NASDAQ:COST) as now, even investors have shown an interest in the company’s shares increasing its share prices by 13% since mid-October.
Costco (NASDAQ:COST) revenues rose by 9% as reported in the company’s fiscal fourth quarter earnings report issued in October. Walmart (NYSE:WMT) and Target (NYSE:TGT) are the biggest competitors of Costco (NASDAQ:COST) but even these two were not close to the same store growth shown by Costco (NASDAQ:COST). Another great achievement for the company is the fact that Costco (NASDAQ:COST) has decided to venture in the international market. A month ago it was announced that they would be entering the Chinese retail market. The company has planned to enter the market through a small third party e-commerce company. The only setback of starting out through a third party would be that Chinese customers and investors won’t be able to see a visceral impact of the stores own business and marketing format. But it will allow the company to gradually increase its market share in China and introduce its products to Chinese consumers and make it a known brand there.
The retailer has also increased its customers in the recent years, as now it is targeting not only a specific age group of older consumers but also focusing on its younger shoppers and consumers. It has used social media as its marketing strategy and is offering benefits to its customers.
This will prove fruitful for Costco Wholesale (NASDAQ:COST) as it seems that the investors have shown an interest in the company’s financial state as earlier this year, the retailer sales had depreciated and investors are concerned, if this would have a long term effect on the company’s growth and profit margins. But seeing the sudden upsurge in the company’s growth and sales has instilled the investors’ confidence again in the company. And now with the retailer planning to venture out in the international market, there would be an increase the number of potential investors.
Costco Wholesale (NASDAQ:COST) shares have seen a rise during the last 5 years since the 2008s recession period. The retailer has seen a 13% rise in its profits just in the last month
As company plans to venture in the global market and increase its target market, one can see that the marketing strategy of the company is in harmony with the global economic trends which will lead to further growth of the company. Costco Wholesale (NASDAQ:COST) is utilizing all the major opportunities available in order to increase its market presence, profits and revenue.