Walmart Sam's Club to hike membership fees for first time in years
Reuters
Published Aug 31, 2022 02:21PM ET
(Reuters) - Walmart (NYSE:WMT) Inc-owned Sam's Club will raise its membership fees for the first time in at least nine years, the warehouse club chain said on Wednesday, as it seeks to shore up its margins.
U.S. retailers have been looking for ways to bump up their profits following a slump in demand for high-margin discretionary products as inflation-hit consumers rein in spending.
Starting Oct. 17, annual membership fees will increase to $50 from $45 for entry-level "Club" members and to $110 from $100 for "Plus" customers who receive more perks including free shipping.
This is the first time Sam's Club is raising the fee for "Plus" customers since introducing the offering in 1999, while "Club" fees are being hiked for the first time in nine years.
Sam's Club also said it would give $5 to "Club" members and $10 to "Plus" customers, as a one-time offer, in digital cash shortly after membership renewals this year.
Sam's Club's bigger rival Costco Wholesale Corp (NASDAQ:COST) last raised its fee in 2017 and analysts have said the company, which typically increases its fee every 5-1/2 years, could delay it this time as consumers cut spending.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.