Costco can be a great environment to grow a brand through access to their members who have bigger families, more disposable income and a love for finding new products during their “treasure hunt” shopping trips.
Finding the right recipe to properly expose your products in this warehouse environment can be a significant challenge. The failure to get this merchandising recipe correct has caused significant agitation for many a vendor.
I have great respect for vendors that come up with new and innovative ways to have their brand stand out in this channel.
Offering multiple sizes and colors of women’s shirts is a not easy in a shopping mall. In Club the products often end up on a table and are usually a messy mound of twisted product by noon on a Saturday.
I recently came across this example of great merchandising of a complex offer at Costco in California.
Using clear signage and simple packaging as part of their four pallet program this vendor has created a “shop-in-shop” environment that is easy to shop and easy for Costco staff to execute and maintain.
Each pallet offers one size of product with this communicated clearly in bold black on white letters on the pallet. The brand also offers a range of colors and styles (communicated with attractive header cards) placed into standardized packaging that clearly communicates about the product and is easy for shoppers to re-shelve.
I think this idea is one that could be easily stolen and adapted for a wide range of products from DVDs to frozen pizzas.
A great example of starting with a blank page in order to find a winning merchandising solution.