Home / Knowledge / News / Retail / Costco tops Amazon as new king of internet retail

Costco tops Amazon as new king of internet retail

04
Mar '19
Pic: ACSI
Pic: ACSI
After leading customer satisfaction in the e-commerce space since 2010, Amazon dropped 4 per cent to an American Customer Satisfaction Index (ACSI) score of 82 (out of 100), according to ACSI’s latest Retail and Consumer Shipping Report. By posting an ACSI score of 83, Costco, in its first year in the internet retail category, has overtaken Amazon.

Costco offers 10,000 products on its website and app. It lets customers buy expensive items online, including furniture not previously sold in stores, and gives the option to pick up online purchases in the store. The result of Costco’s expanded online offerings has been a 21 per cent increase in online sales since July 2018.

“In a world where most customers are choosing to shop online, Costco has managed to keep its customers coming back to the warehouse. And yet, that hasn’t prevented it from dabbling in the e-commerce space. From the looks of it, Costco is clearly succeeding there as well,” ACSI said on its website.

According to the ACSI report, Costco wasn’t the only newcomer to score high in its first year in the internet retail category. Among the 21 new companies, Etsy, Kohl’s, Nike, and Nordstrom each debuted with an ACSI score of 81. Apple, HP Store, Macy’s, Target, and Wayfair also made strong impressions, each scoring 80.

“The expansion of this (internet retail) category makes Costco’s top-ranking performance all the more impressive. Costco has historically succeeded in categories linked to the in-store experience – especially when you consider the popularity of its pizza – so when you factor in the e-commerce experience, the results seem almost inevitable,” ACSI said.

Membership-based warehouse stores were the real winners in the retail trade sector in 2018, and none shined quite like Costco. Explaining Costco’s recipe for success, the report says brick-and-mortar stores are the company’s bread and butter, and that’s unlikely to change. “Customers enjoy the experience of shopping at Costco, they remain unwaveringly loyal – 90 per cent of Costco members renew their subscriptions – and perhaps most importantly, they appreciate the value they receive.” (RKS)

Fibre2Fashion News Desk – India


Must ReadView All

Pic: Shutterstock

Textiles | On 8th Mar 2021

Vietnam-UK FTA triggers two-way trade

After a month of Vietnam signing a free trade agreement (FTA) with...

Pic: Shutterstock

Retail | On 8th Mar 2021

2021 may see record retail sales in US, economy hinges on virus: NRF

A wide array of economic indicators point toward potentially record...

Pic: Lund University

Textiles | On 8th Mar 2021

Swedish scientists convert cotton into sugar, to make textiles

In a major step towards recycling, scientists at Sweden’s Lund...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

Blockchain is not a silver bullet for each and every problem in supply...

Textile Industry, Head honchos

Textile Industry
Head honchos

Opportunity now to reimagine processes & systems in a digital environment

Textile Industry, Head honchos

Textile Industry
Head honchos

Main challenges are breakdown of supply chain and shrinkage of manpower

Zillur Rehman,

Zillur Rehman

Cornerstone Systems offers consultancy to businesses for enhancing their...

Harleen Kaur,

Harleen Kaur

Established in 2017 and headquartered New York, the label Harleen Kaur...

Tolga Ozkurt,

Tolga Ozkurt

Çalik Denim is among the world's top 10 premium denim manufacturers...

Andreas Lukas, Andritz Nonwoven

Andreas Lukas
Andritz Nonwoven

With forces in engineering and process development, Andritz Nonwoven...

Daniel Roxbury, University of Rhode Island

Daniel Roxbury
University of Rhode Island

Assistant professor Daniel Roxbury and former URI graduate student...

Sachin Pendharkar, Dieffenbacher India Pvt Ltd

Sachin Pendharkar
Dieffenbacher India Pvt Ltd

Germany-based Dieffenbacher Group is a producer of high-quality composites ...

Sweta Tantia, Tahweave & Garo

Sweta Tantia
Tahweave & Garo

Designer Sweta Tantia owns Garo, a couture indutva or ethnicwear brand,...

Sailesh Singhania, Sailesh Singhania Label

Sailesh Singhania
Sailesh Singhania Label

The Sailesh Singhania label was created to promote handwoven sarees and...

Anjali Bhaskar, Samatvam

Anjali Bhaskar
Samatvam

Anjali Bhaskar has an experience of 12 years in the fashion industry. She...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


March 2021

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Advanced Search