Sam‘s Club: 15 Essential Facts, Statistics and Trends in 2024
Sam‘s Club has transformed warehouse bulk shopping for millions thanks to rock-bottom pricing across an ever-expanding assortment of categories. How exactly has this retail giant continued accelerating growth even after 40 years?
As consumer shopping habits and economic landscapes keep evolving, a closer look at the past and present sheds light on what‘s ahead. Here are 15 vital facts showcasing this company‘s incredible track record and trajectory.
1. Global Empire of 800+ Warehouse Stores
Since opening its first location back in 1983, Sam‘s Club has methodically expanded its footprint across 44 U.S. states and several international markets:
Sam‘s Club Store Count
| Country | 2022 Locations |
|---|---|
| United States | 599 |
| Mexico | 165 |
| Brazil | 22 |
| China | 29 |
| Puerto Rico | 12 |
| Other | 2 |
Total Stores Globally: 829 (and counting)
Sam‘s Club reportedly plans to open 30 to 45 new stores per year in promising markets to make bulk shopping more convenient for more households.
2. 1990s Era Stagnation Now Long Gone
It hasn‘t always been smooth sailing growth for Sam‘s Club in terms of sales and store openings. The company hit some bumps during the 1990s as warehouse clubs entered maturity. Revenue declined year-over-year a few times as they closed some underperforming locations.
Cut to today however, and Sam‘s Club is firing on all cylinders with relentless expansion plans backed by best-in-class performance among discount retailers.
They‘ve achieved positive comp sales growth every fiscal year since 2010 along with consistent membership expansion. 2023 looks to continue this momentum.
3. $64 Billion in Revenue, 8%+ Growth in 2022
Sam‘s Club generated $64.5 billion in total revenue in fiscal 2022 on top of an impressive 17.5% surge from 2020 to 2021 at the height of pandemic stock-up purchasing.
2022‘s roughly 8.7% climb built on this grocery and household essentials fueled rise as inflation also pushed shoppers toward bulk value. Note this figure encompasses online revenue too, which now makes up about 5% of sales.
I forecast low double digit gains continuing in 2024 between lingering inflation benefits and the growth of higher income shoppers.
4. Now Over 110 Million Members Strong
Warehouse clubs depend on loyalty and renewal rates from paid members to drive consistent foot traffic. Here‘s a snapshot of how Sam‘s Club‘s membership base has swelled over the past decade:
Sam‘s Club Member Households
| Year | Members | Growth |
|---|---|---|
| 2012 | 47 million | – |
| 2017 | 59 million | 25% increase |
| 2022 | 110 million | 86% increase from 2017 |
Pretty soon a quarter of the U.S. population will be card-carrying Sam‘s Club members!
5. Sam‘s Club VS Costco: #2 In Warehouse Retail
The warehouse giant everyone wants to compare Sam‘s Club against is industry leader Costco. While Costco continues dominating top spot across metrics from sales to store size, Sam‘s Club maintains a strong second place position:
- 20%+ market share
- Approaching Costco‘s industry leading 88% membership renewal rate
With around 800 global locations currently, Sam‘s Club also has a broader geographic presence than Costco‘s almost 800 North American warehouse stores.
6. Leveraging Walmart Synergies and Scale
As a Walmart company, Sam‘s Club reaps major advantages from its corporate parent when it comes to real estate, logistics, merchandising, and of course – legendary buying power. They target small business owners heavily with B2B programs thanks to this infrastructure.
Associates also benefit from better employment packages and opportunities to transfer between Walmart and Sam‘s Club.
Fun fact: over 75% of Sam‘s Club management started as hourly store employees.
7. Member‘s Mark = Success of Own Brands
Similar to Kirkland Signature at Costco or Good & Gather from Target, Member‘s Mark is the Sam‘s Club private label covering everything from fresh food to furniture that‘s earned member trust.
It now drives $10+ billion annually and accounts for close to 30% of Sam‘s Club‘s overall sales figures. That‘s exceptional penetration nearing many top national brands.
House-made brands boost margins too – Member‘s Mark wins all around. No wonder they keep expanding this signature line!
8. Service Business Within a Retail Box
In addition to traditional big box bulk shopping, Sam‘s Club stores morph into healthcare clinics, mechanic shops, travel agents, bakeries, cafes, and more via specialized departments.
82% of clubs have a Pharmacy, 94% operate a Tire & Battery Center, while Optical, Hearing Aid, Floral, and Fuel Centers round things out further.
Several higher volume locations even offer add-ons like event venues for parties or garment alteration services catering specifically to small tailoring businesses.
9. Tech and Ecommerce Acceleration
Despite mostly operating traditional 135,000 square foot stores for that beloved "treasure hunt" warehouse atmosphere, Sam‘s Club realizes adapting to ecommerce and consumer tech is mission critical going forward.
- A redesigned website and mobile app make getting essentials delivered fast and frictionless
- Click and collect curbside pickup grew over 300% recently
- Scan & Go mobile checkout timesavers up to 8x faster than cashier lines
- 12 former store sites turned into dedicated ecommerce fulfillment centers
Leveraging physical proximity to members for online order access proves a smart omnichannel play.
10. Lonely Ghost Town warehouses No More
Remember those stunning drone videos of empty Sam‘s Club aisles when pandemic panic buying hit early 2020?
What a difference 24 months makes – foot traffic bounced back fiercely as reopenings unleashed pent up shopping demand further fueled by stimulus checks and inflation sticker shock across essentials from paper towels to pork.
2022‘s resilient mid-high single digit comp store gains indicate bulk value is here to stay in shopper‘s minds and budgets. Bet on bustling Sam‘s Club stores ahead.
11. Locations in 44 States, Puerto Rico…and China?
Domestically Sam‘s Club blankets the lower 48 states with added coverage in Hawaii and Alaska. It further penetrated the Caribbean market establishing 12 clubs in Puerto Rico.
But China represents the most intriguing frontier for ongoing international expansion.
There are currently 29 Sam‘s Club stores located in major Chinese cities like Shenzhen and Shanghai through a partnership with ecommerce group JD.com.
This market could eventually rival the 165 stores currently serving Mexico for revenue impact if the model gains traction across China‘s enormous consumer class.
12. Doubled Down on Supply Chain and Logistics
From port backups causing shortages to overwhelmed last mile delivery, supply chain struggles industrywide influenced Sam‘s Club investment strategy recently.
They expanded distribution center capacity including an extra cold storage site to handle surging grocery ecommerce demand.
Twelve small format distribution centers embedded inside metropolitan regions also help enable next day curbside and two day delivery speeds.
13. An Employer of Over 200,000 Associates
With 180,000 employees across U.S. stores plus additional corporate staff and international club workers, Sam‘s Club remains a major job creator.
They employee over 30,000 more people than Target despite lower annual revenue. Careers span cashiers to forklift drivers, accountants to cake decorators, marketers to refrigeration mechanics.
Hourly wages have also increased above competitors lately boosting retention. I expect this talent gap to widen further against retailers struggling filling openings.
14. Recent Sustainability and Community Support
Being a responsible community partner goes hand in hand with running stores supporting millions locally. Recent Sam‘s Club efforts include:
- Food donations equaling over 1 billion meals since 2015
- Plastic waste reduction initiatives
- Pollinator gardens supporting vital bee populations
- USDA certified organic produce programs
- Disaster relief response teams
They also connect small businesses to society improvement organizations and match employee charitable contributions.
15. The Outlook for 2030 and Beyond
I foresee Sam‘s Club crossing that magical 1,000 global store mark within this decade as they tailor clubs to the needs of emerging markets like Brazil and China.
They will also continue chasing Costco‘s coattails domestically – albeit likely still in second place, but with both succeeding wildly.
If they maintain impressive member renewal rates thanks to exclusive brands and sharp pricing, while accelerating ecommerce mixing online convenience with in-store immediacy, Sam‘s Club carries incredible momentum for the next 40 years transforming warehouse bulk retail.
