ALTERNATIVE FORMAT Costco Wholesale

The club channel has been a favorite of the natural and organic set for some time as an alternative to mainstream supermarkets. Though club stores carry fewer SKUs, the top brands are often there. Issaquah, Wash.-based Costco goes a step further by actively seeking out new untested products. They've followed the discount philosophy of, Heavy on the best, and the heck with the rest, said Eugene Fram,

The club channel has been a favorite of the natural and organic set for some time as an alternative to mainstream supermarkets. Though club stores carry fewer SKUs, the top brands are often there. Issaquah, Wash.-based Costco goes a step further by actively seeking out new untested products.

“They've followed the discount philosophy of, ‘Heavy on the best, and the heck with the rest,’” said Eugene Fram, a research professor of marketing at the Rochester Institute of Technology's Saund

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TAGS: Marketing