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Costco wholesale. Amanda McIntosh Tiffany Ceragoli Ryan Davis Aaron Broadsworth. a Fortune 500 company. The Start-Up. The humble beginnings of a massive enterprise. Jim Sinegal and Jeffrey Brotman opened their first Costco location in 1976 with personal savings and credit cards.

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costco wholesale


Amanda McIntosh

Tiffany Ceragoli

Ryan Davis

Aaron Broadsworth

a Fortune 500 company

the start up

The humble beginnings of a massive enterprise


Jim Sinegal


Jeffrey Brotman opened their first Costco location in 1976 with personal savings and credit cards

* The Founders of Costco

the original business plan

Concentrate in northwest United States

  • 12 warehouse locations
  • Profits of $80 million from each location
The Original Business Plan
current costco locations
457 locations serving 43 U.S. states and Puerto Rico
  • Locations in 7 other countries
  • Net sales of $87 billion in 2011
Current Costco Locations
a good business
A Good Business

The benefits of being employed with Costco

benefits made available to all employees

Health Care

  • Dental Care
  • Pharmacy Program
  • Vision Program
  • 401(k) Plan
  • Dependent Care Plan
  • Health Care Reimbursement Account
  • Care Network
  • Short Term Disability
  • Long Term Disability
  • Life Insurance
  • Employee Stock Purchase Plan
  • Long Term Care Insurance
Benefits made available to all employees
additional benefits
Additional Benefits

Hourly workers on average are paid $20.89

Compared to Walmart's average hourly wage: $12.67

Employees receive company matching 401 (k) plan

Every 400 hours worked a pay raise is implemented

aca costco

ACA & Costco

Implications & Impact


No Cost Services

As of 2013, for the first time in the company’s history, all preventative care done in network will be 100% covered.
medical benefits i ncluded as of 2013




Smoking cessation



  • Wellness Exams
  • Mammograms
  • Immunizations
  • Health Screenings
  • Sterilization
Medical Benefits included as of 2013
keeping customers happy
Keeping Customers Happy

Expanding the business to meet the needs of consumers

membership types
Membership Types
  • Up to 6 cardholders
  • For business products & services
  • For individuals & households
  • Good at 590+ locations and Online!

2% Annual Reward

Up to $750/year

Highest Level Member

Over 50 million worldwide!

renewal rate growth
Renewal Rate Growth

*Overall memberships continue to increase quarterly

* Executive members makeup one-third of the customer base and two-thirds of the revenue!

* New incentives offered to entice exec. Members hence increasing revenue growth

* Focus on private-label

focus on the base
Focus on the Base

Maintain exponential customer-base growth with key focus on:

Limitless connectivity thru Mobile Apps & Virtual Magazine - Industry trends suggest online growth likely to drive Costco online sales to over $370 by 2017

Focus on Private-label goods which offer competitive prices & comparable quality to the national brands – these brands account for 20% -30% of overall merchandise


A summary of profits and income

continual increase in profits
19% increase over last quarter
  • $459 million in sales last reported quarter in 2013
Continual Increase in Profits