1. From Humble Beginnings to Retail Titan

Costco’s meteoric rise from the ashes of a small venture named “Price Club” to the retail behemoth we know today is nothing short of a testament to its grit and vision. Unlike competitors, it started as a business-to-business retailer, a unique history that has grounded its success.

2. Ruling the Wine Kingdom

Costco doesn’t just participate in the wine industry—it dominates it. Standing proudly as the largest fine wine retailer in the United States, it has conquered this niche by consistently offering high-quality wines that are as affordable as they are delightful. It’s a blend of quality and value competitors can only aspire to match.

3. Kirkland Signature: A Brand Above the Rest

There’s nothing random about the Kirkland Signature label—it’s a symbol of premium quality at unbeatable prices. Named after Kirkland, Washington, where Costco was headquartered, this in-house brand has redefined consumer expectations and set a high bar for competitors.

4. Hot Dog Supremacy

How can you measure Costco’s commitment to value? Look no further than its hot dog and soda combo. Maintaining its $1.50 price since 1985, it’s an unbeatable deal that surpasses the sales of all Major League Baseball stadiums combined! This commitment to value leaves competitors in the dust.

5. Master of the Supply Chain

When Costco realized it needed to take drastic measures to keep its rotisserie chicken price at $4.99, it didn’t hesitate. It built its own chicken farm in a strategic move that cost an estimated $1 million. This innovative control of the supply chain has cemented Costco’s position as a fierce competitor in the industry.

6. Diamonds at Your Fingertips

Beneath the surface of bulk products, Costco gleams as one of the largest diamond sellers globally. With high-quality gems offered at shockingly affordable prices, Costco outshines competitors and brings the world of fine jewelry to a wider audience.

7. Membership: The Game-Changer

Costco’s unique membership-based business model is the ace up its sleeve. While membership fees account for about 2% of total revenue, they contributed to nearly 88% of the company’s operating income in fiscal year 2020. This unique strategy bolsters customer loyalty, enables low product prices, and fundamentally sets Costco leagues ahead of its competition.

By continually focusing on delivering quality, value, and satisfaction, Costco doesn’t just beat the competition—it creates a league of its own.

Is Costco (COST) a great add to your portfolio right now?  LikeFolio members will soon find out!