Sam's Club
From Wikipedia, the free encyclopedia
| Sam's Club | |
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| Type | Subsidiary of Wal-Mart |
| Founded | 1983 (Midwest City, Oklahoma) |
| Headquarters | Bentonville, Arkansas |
| Industry | Retail (Warehouse Club) |
| Products | Produce, meat, seafood, fresh baked goods, flowers, clothing, books, software, home electronics, clothing jewelry, art, optical and furniture |
| Website | http://www.samsclub.com |
Sam's Club is a membership-only warehouse club owned and operated by Wal-Mart Stores, Inc.
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[edit] History
At January 31, 2008, Sam's Club operated 713 membership warehouse clubs in 48 U.S. states (Oregon and Vermont are the only states without a Sam’s Club presence), as well as Puerto Rico and four other territories. Locations typically range in size from 70,000 – 190,000 square feet, with an average club size of approximately 132,000 square feet.[1]
The first Sam's Club opened in April 1983 in Midwest City, Oklahoma in the United States.[2]
Sam's Club is named after Sam Walton. To purchase items from Sam's Club, one must purchase a membership. Many Sam's Club customers are small businesses that wish to offer customers a limited selection of food without the expense of having it delivered.
In 1993, Wal-Mart acquired PACE Membership Warehouse from Kmart and converted many (but not all) PACE locations into Sam's Clubs.
Sam’s Club serves more than 47 million U.S. members.[3]
Membership is required to purchase at Sam's Club (except for prescription drugs where federal law prohibits sales to members only, and liquor and gasoline in some states); however, a one time day pass may be obtained from many Wal-Mart newspaper ads. A 10% surcharge is added to the prices for non-members, except for optical, pharmacy, cafe, or alcohol items where available. However the surcharge can be applied to a membership (which is currently $35 for Business members, $40 for Advantage members, and $100 for the Plus membership). All memberships are 100% refundable at any time for any reason, even on the date that it is to be renewed.
Renewal of memberships can be done via the internet, through the mail, in-club at the Membership Services desk, any cash register, and also at the new ATM/Membership kiosks (the latter only available in select locations).
The latest flagship store opening as of September 13, 2007 was in Fayetteville, Arkansas. It is the second largest Sam's Club store; its largest is located in Utica, Michigan, with over 145,000 sq ft (13,500 m²). of retail space.
Sam's Club ranks second in sales volume among warehouse clubs behind Costco Wholesale, despite the fact that Sam's has more retail locations.[4]
After Costco's announcement on its change of return policy for consumer electronics (now within 90 days) beginning on February 26, 2007, Sam's Club finds itself now to be tied with Nordstrom for having best, most liberal return/refund policy in the retail business.[citation needed]
In 2006, Wal-Mart acquired The Central American Retail Holding Company (CARHO), which operates ClubCo stores, similar in concept to Sam's Club, although with a smaller footprint.
In September 24, 2006, Sam's Club received a new logo. The new logo has an updated serif font and features a green and blue diamond inside the big blue diamond, found above the word 'Sam's'.
Sam's Club's previous slogan was "We Are In Business For Small Business" until 2006, Sam's Club had no slogan after the redesign of the new logo. The decision to remove the slogan comes as Sam's Club attempts to remove itself from serving just small businesses and open up to more individual customers. In December, 2007. Sam's Club launched a new slogan, "Enjoy the Possibilities". Since then it became an official advertising slogan, mentioned in TV & Radio Ads, but it is not mentioned on its website.
[edit] Design
Like other warehouse clubs, most merchandise sold at Sam's Club is sold in bulk and directly off pallets. Clubs are arranged much like a warehouse, with merchandise stocked in warehouse-style steel bins. There are currently over 580 Sam's Clubs in the United States. Products sold include jewelry, designer goods, sunglasses, crystal and collectibles, electronics, floral, apparel, food and meats. Most locations have Pharmacy, Tire and Battery, Photo, Bakery, Optical, Café and Floral departments. Sam's Club markets items under the private labels Member's Mark, Bakers & Chefs, and Sam's Club. It does not sell the Sam's Choice or Great Value brands, which are available in Wal-Mart stores.
Today, Sam’s Club has more than 47 million U.S. Members and operates more than 580 Clubs nationwide, as well as more than 100 international locations in Brazil, Canada, China, Mexico and Puerto Rico.
A typical Sam’s Club stands between 110,000 and 130,000 square feet (12,000 m²). The Sam's Club division of Wal-Mart Stores, Inc. had total sales revenue of US$37.1 billion for fiscal year ending 31 January 2005. Sam's primary competitor is Costco Wholesale, and many Sam's warehouses closely emulate the design and product selection found at Costco.
[edit] Payment options
Sam's Club stores accept Sam's Club Credit Card, Discover Card, MasterCard, debit cards, Wal-Mart/Sam's Club Shopping Cards, cash or checks [1]. MasterCard is a recent addition - up until 9 November 2006, it was not an option, because of the high processing fees. Visa is still not accepted, because of the high processing fees, although in the past it was accepted during testing periods. American Express is not accepted, likely because rival Costco has an exclusive acceptance agreement.
The online store accepts a Sam's Club Credit Account, Wal-Mart/Sam's Club Shopping Card, Check, Discover, Visa, MasterCard and American Express.
[edit] Rumored Sale or spinoff
Starting in April 2007 there was speculation of a possible sale or spinoff of Sam's Club from parent company Wal-Mart.[5] [6] At Wal-Mart's 2007 annual shareholder's meeting in June, management said that Sam's Club is not for sale, although they didn't say they are not considering a spinoff. [7]
[edit] Avoiding Membership Fees
It is possible to shop for any item at Sam's Club without paying the membership fee. Sam's parent company, Wal-Mart, sells giftcards in their stores which can be redeemed by non-members at Sam's, albeit with a 10% surcharge on most items in most Sam's Club locations.
[edit] Rationing
In April 2008, Sam's Club instituted a limit on how much rice restaurant and retail customers could purchase, due to shortages. [8]
[edit] Logos
 The Sam's Club logo used from the 1990s until 2001. |
 The current Sam's Club logo used since 2006. |
[edit] See also
- Costco - Competitor
- BJ's Wholesale Club - Competitor
[edit] References
- ^ F&D Reports-Customer & Market Insights
- ^ Wal-Mart Stores—Sam's Club
- ^ F&D Reports-Customer & Market Insights
- ^ Costco Wholesale - Company Overview - Hoover's
- ^ Spinoff in Bentonville Revisited
- ^ A Spinoff in Bentonville?
- ^ Wal-Mart cuts expansion plans, focuses on existing stores | Dallas Morning News | News for Dallas, Texas | Dallas Business News
- ^ "Rationing of rice in US food shock", Irish Independent, 2008-04-24. Retrieved on [[2008-04-24]].
[edit] External links
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