Five years after Costco launched an online store for the Chinese market, the American wholesale giant is set to open their first actual store in the country on August 27.
Set to be located in Shanghai’s Minhang district, the store will offer two types of membership for customers. Both priced at RMB299 per year, the fees will be for families and for corporations, with shoppers having been able to apply for memberships since April.
With Costco’s successful modern model seeing products bought in bulk, the chain faces a challenge to appeal to the Chinese market where most customers tend to shop more frequently and purchase smaller amounts of goods.
The emergence of these two multinational brands into China is further sign of western supermarkets being keen to get a foothold in one of the most lucrative markets in the world.
[Cover image via Pixabay]