It's Official... Shanghai Will Soon Be Home to 2nd Costco

[Hamartia Antidote]

https://www.thatsmags.com/shanghai/post/30818/shanghai-open-second-costco

On Wednesday, Costco announced that they are all set to open their second store in China, Xinhua reports.

The new location will also be located in Shanghai. On Tuesday, the American wholesale giant purchased a 47,319-square-meter space in Pudong New Area for RMB898 million (USD128 million).

After months of anticipation, Costco officially opened the doors to their first-ever China location in Shangahi's Minhang district in August of last year.

Costco proved to be so popular, the store was forced to close up shop around 2pm on opening day based on the sheer number of shoppers who flocked to the store.


The Minhang branch currently attracts roughly 11,000 visitors every day. Before the coronavirus (COVID-19) outbreak, the store saw 16,000 shoppers a day.

Image via The Paper

Costco came under fire last week after photos showing thousands of shoppers – including many unmasked customers – circulated on Weibo. Shanghai authorities proceeded to issue a warning to the chain on Saturday, demanding that the number of visitors be limited to 1,000 at a time. Additional customers must now wait in line outside of the store.

Costco has since implemented more safety measures. Customers are asked to wear masks and have their temperatures taken before they enter the store. Business hours have also been shortened to cut down on crowds. The store now closes at 7pm, instead of 9.30pm. Popular items including croissants and roasted chicken are no longer offered to deter people from flocking to the store. Additionally, customers have also been ordered to maintain a distance of one meter from other shoppers while standing in line.

Costco has yet to announce when the new store will open, but we'll keep you updated as we learn more.

 

[Paul2]

I always found it surprising that most people who shop in Costcos and Walmarts in China are really high income people.

I was somewhat close to launching of BestBuy in China. The company tried to lure Chinese customer with "cheap electronics," and surprise! It didn't work out for them!

 

[That Guy]

I always found it surprising that most people who shop in Costcos and Walmarts in China are really high income people.

I was somewhat close to launching of BestBuy in China. The company tried to lure Chinese customer with "cheap electronics," and surprise! It didn't work out for them!

I don't know how it is in China, but here in Canada, you need to be a paid member to shop there. That automatically cuts out a huge portion of people who can't afford long term subscriptions.

 

[Baba_Yaga]

I don't know how it is in China, but here in Canada, you need to be a paid member to shop there. That automatically cuts out a huge portion of people who can't afford long term subscriptions.

I highly doubt affordability is an issue here in Canada. At $60 for the year, it is chump change. I've never heard of a family say they don't have costco membership because its too expensive. You can recover your cost in less than 10 visits, now that's if you are not enticed by all sorts of things they have offers on and only keep to things that you came there to buy. The most common reasons for not having costco membership are 1) There's no costco near your place, so much more convenient going to whatever is near you, even if you have to pay more and 2) You are a bachelor and you neither have a vehicle, nor any requirement for costco membership. Costco is more suited towards families who live in the suburbs, who need to do more grocery shopping than a person living alone.

 

[PeacefulWar]

I've never visited Costco before.
What's the magic of Costco to make it so popular?
Costco is indeed unbelievablely loved in Shanghai.

 

[8888888888888]

If the store is doing well in China it will get expanded.

 

[Han Patriot]

I've never visited Costco before.
What's the magic of Costco to make it so popular?
Costco is indeed unbelievablely loved in Shanghai.

Anybody can come and do business in China, we love investments and business. Come come

 

[FairAndUnbiased]

Anybody can come and do business in China, we love investments and business. Come come

A nation is more than just an economy - Steve Bannon

 

[大汉奸柳传志]

no Costco here in my city. but there is an IKEA which does that kind of warehouse retailing

 

[That Guy]

I highly doubt affordability is an issue here in Canada. At $60 for the year, it is chump change. I've never heard of a family say they don't have costco membership because its too expensive. You can recover your cost in less than 10 visits, now that's if you are not enticed by all sorts of things they have offers on and only keep to things that you came there to buy. The most common reasons for not having costco membership are 1) There's no costco near your place, so much more convenient going to whatever is near you, even if you have to pay more and 2) You are a bachelor and you neither have a vehicle, nor any requirement for costco membership. Costco is more suited towards families who live in the suburbs, who need to do more grocery shopping than a person living alone.

$60 seems like chump change, but a lot of families are living paycheck to paycheck, so even if it's cheaper in the long run, it's more expensive in the beginning. That's not even getting to the problem of buying in bulk, which is another issue altogether.