Costco Has Big Plans to Expand in Coming Years

December 15th, 2009 · 11 Comments

In the recent conference call at the end of their 2010 Q1, Costco’s CFO Richard Galanti talked about Costco’s big plans for expansion in 2010 and beyond. So, all of you that have been posting about getting a new Costco in your area might just be in luck in coming years.

Currently, Costco operates 566 warehouses, including 413 in the United States and Puerto Rico, 77 in Canada, 21 in the United Kingdom, 7 in Korea, 6 in Taiwan, 9 in Japan, 1 in Australia and 32 in Mexico.  Beginning in 2010 Costco has plans to open 16 to 18 new stores, with 13 to 14 of them in the United States.  According to Galanti, the number of new locations will grow to the low-20s by 2011 or 2012, and the high-20s in subsequent years.

And even though Costco did open a smaller-sized location just recently in Manhattan, other urban areas might not want to hold their breath on getting one too.  It’s costly to build in those areas, especially when you consider the parking situation.  Recently, Costco turned down an opportunity to build a smaller store in Atlanta because of the added expense of building a double-decker parking structure.

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11 Responses so far ↓

  1. 1 anna // 2010.08.27 at 6:17 pm

    WE want Costco to open in Sarasota we need better food and better prices Thank u.

  2. 2 D // 2010.07.18 at 4:25 pm

    I work for costco, and let me tell ya , that sarasota store is not opening. Due to the recent gulf disaster amongst other issues , I have heard it will not be happening any time soon. Also another rumor was Panama City Beach, is the same issue the Sarasota one had.

  3. 3 casey // 2009.12.29 at 1:23 pm

    Desiree,
    I have heard the same and glad to hear it is not just my family that drives there about once a month as well. PLEASE build one in fort O!

  4. 4 Desiree // 2009.12.22 at 2:33 pm

    We’ve been hearing rumors for about a year and a half now about a Costco coming to Fort Oglethorpe, Georgia (just a few minutes drive from TN). We’ve heard confirmations from Costco employees in Atlanta GA as well. Coming from California where we had a pick of at least 5 different nearby Costcos, it’s been torture for our addiction ;o) We drive the 2 hours to Atlanta Georgia at least once a month to get our fix.

    Now announcements have been made about “Project Hilltop” happening in Fort Oglethorpe – http://catwalkchatt.com/bookmark/5194578 Here’s hoping it really is our wish fulfillment and our Friday evenings will again include a Costco hotdog and pizza (the kids are addicts too) :o)

  5. 5 Kimberly // 2009.12.18 at 4:16 pm

    TS, it’s funny how my sort of strange obsession is shared and enforced by so many other people. And I’m glad that people from Costco keep an eye on what everyone says here in comments. I think there is a lot of terrific feedback for them, both positive and not so positive.

    Really, I appreciate that other people share my love for Costco because it used to be a source of shame jokes at my expense, but I feel I’m amongst my people here. 😀

  6. 6 Kimberly // 2009.12.18 at 4:14 pm

    I like the idea of something like a ‘Costco Express’ quite a bit actually. I definitely agree with you that not every area needs the full-fledged Costco. Especially those areas that are more urban, where I’m sure it is much much more difficult to find space to build an full on Costco location. It might also be good to supplement areas where there is a Costco location that is like an hour or two away, which isn’t convenient for frequent shopping, but would be worth it for bigger and less routine purchases like tires and glasses.

    I wish that they would work on making the pharmacy a little easier to get in and out of. I switched to using the Costco pharmacy from the evil blue empire (LOL) but it’s hard to near impossible to quickly run in and pick up a prescription. And honestly, while I’m on the subject, they could put the reordering process for the warehouses online too.

  7. 7 Tampa Slim // 2009.12.18 at 4:03 pm

    I know a guy who works for Safeway and they underwent a massive upgrade of existing stores. He told me that Safeway has three different sizes of stores and it led me to think about how Costco could “evolve” in the face of increased costs to open stores.

    Perhaps they could open something called a “Costco Express” which is basically a smaller version of their main store. Carry items that are best sellers and move quickly. Build the stores with expansion in mind so they could increase the size if the local market calls for it. Not every Costco needs a Tire Center, Gas Station, Optical, Clothing, etc.etc. Just give us items that most people look for when they go into a Costco, food and staples being the most purchased items.

    I don’t know just thinking out loud because I KNOW they read this blog.

    TS

    PS – Kimberly did you know you were this important?

  8. 8 Kimberly // 2009.12.18 at 2:38 pm

    I’ll keep my fingers crossed for you, Nan. I know that the southern part of the country in general, seems to really have a lack of Costco locations but from the comments on my Locations page, it seems everyone living there would like a Costco. I’ve heard a lot from people in Florida and North and South Carolina too.

    By the way, I just updated my Locations page with the current Costco information. So far just two new locations that they are giving dates for at this point: Pacoima, CA and St. John NB. Obviously, I’ll keep that page updated as I hear things.

  9. 9 Nan // 2009.12.18 at 8:27 am

    We keep hearing rumors Costco is coming to Sarasota/Bradenton. Employees at the Brandon store said there’s one opening in Sarasota, perhaps as early as February 2010. I sure hope so.

  10. 10 Kimberly // 2009.12.17 at 9:32 am

    I haven’t seen a list and Costco always plays it very close to the vest with new locations, I’ve found.

  11. 11 Tampa Slim // 2009.12.16 at 12:36 pm

    There still are communities that would benefit from having a Costco nearby. I’m sure Costco has different size stores (Class A, B C) and those smaller communities could have smaller size stores. Not sure if they have a list of potentials in 2010/2011.

    Has anyone seen such a list?

    TS

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