Wednesday, July 13, 2011
Costco update - Sydney
Costco is planning to open this week in Auburn, Sydney.
Yai!!! Clap, clap, cheer, cheer!
This Australian Financial Review article highlights that while this new store is 10% smaller than the Melbourne (Docklands) store, the catchment area is greater - hence greater sales in the long run.
Some recent studies have found that this store is not expected to cause major havoc with local grocery & hardware retailers unless there is a price war or spending patterns change permanently. This is because most Australians are planning to reduce discretionary spending, not to increase it and Costco sells bulk quantities.
Costco is also looking for locations in Qld and SA.