Many of you reading this have been inside a Costco Warehouse and are loyal members.
Although, most of our customers during an initial engagement don't step back and appreciate the differences of a Costco Warehouse vs other retailers.
There are two main reasons why the Costco Warehouse environment is different than traditional big box retail environment. Understanding and managing both are critical to ensuring your product has a winning packaging formula.
1) Size
The immense scale of a Costco Warehouse makes it a different retail sensory experience. We love that the huge open space is very appropriate for pushing oversized carts filled with large packages, but it makes it easy for product and packaging to get lost in this cavernous space.
Ensuring your packaging graphics are simple, easily seen and quickly communicate your product message inside the warehouse is critical. Value statements need to be prominent and stay away from repeating messaging across Unit Packaging and Trays/Skirts.
2) No frills
Without the frills of a normal retail environment, customers are met with the feeling that Costco is providing real savings on the products being purchased. On the flip side, no frills also means that there is essentially no specific attention paid to your product. Your product is on the same 48x40 pallet along with everyone else with everyone competing for attention.
The details of size and no frills Costco Warehouses:
Up to 200,000 square feet
60 foot ceilings
Concrete floors
Industrial pallet racking
Natural and LED light
No shelves
No signage
No sales personnel
In this stark, no frills environment of a Costco Warehouse, what brings the experience to life? Your packaging!
Without great branding, great printing and great packaging on a great pallet display which sells itself on the warehouse floor, Costco is just, well, just a big warehouse. Together, we bring this warehouse experience to life while engaging the over 95 million Costco members.
We see every product as a blank slate and fantastic opportunity to design packaging which works for both your product and the unique Costco Warehouse environment.
Whether you are in Costco already or have a product you are working to introduce, we love a conversation. So, whether you have questions or need advice, reach out to us.
Until next time.
Cheers,
TCPG
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