Shopping In A Traditional Retail Store, Loblaws, Versus A Box Store, Costco/Club Price

844 words - 4 pages

Costco vs. LoblawsIn this paper, I shall be providing my personal observations between shopping in a traditional retail store, Loblaws, versus that of a box store, Costco/Club Price. During the last ten years, the overall nature of retailing has changed significantly. There are now an increased number of mass merchandisers such as Costco, who are changing the outlook of retailing at the expense of traditional grocery stores such as Loblaws. There are a number of reasons why a consumer would choose a specific retail store over the wide selection of competitors out there on the market, those being; inventory, selection, variety, quality, pricing strategy, in store merchandising, promotions, ...view middle of the document...

However, customers are required to pay a privilege membership fee on a yearly basis. As a Costco member myself, I find that the membership fee is well worth the expense because of the types of products and prices that they offer which I cannot find elsewhere. Most manufacturers will develop exclusive products specifically for Costco so that they don't compete with the other retailers.The only negative aspect of their operation is that because they have a 15-30 day product turn over time, sometimes their selection is limited and you don't know from one day to the next if they are going to have a specific product in stock or not. If you see it there one day you feel that you have to buy it immediately or it might not be there tomorrow.Loblaws, being are one of the largest retail chain grocery stores has a different setup than Costco. They are mostly targeted towards the personal, family and household users. Opposed to the no-frills, square box layout at Costco, Loblaws offers a more eye-pleasing layout. They display their products in a more eye-catching way, have more promotional and advertising expenditures and their customer service is above par. Unlike Costco, where you can hardly ever find an employee to help you, Loblaws prides itself and providing efficient and pleasant customer service. Although Costco does occasionally (several times a year) provide coupons or promotional items, they pale in comparison to Loblaws,...

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