My Letter to Costco CEO Jim Sinegal

July 11th, 2009

categories: business, User Experience

tags: Costco, ecommerce, UX

Hello,

My name is Andy Ford and I have been a satisfied Costco member since 2005. I send you this letter in good faith and with the context of “opportunity for improvement”. I was compelled to write this out of surprised disappointment – not anger or bitterness.

Since Costco does not issue new cards upon membership renewal, my card still says “02/2005″. I hadn’t shopped at Costco in quite a few months and could not remember when I last renewed, so I did not know if my membership was still active.

Unfortunately, I could not locate any documentation regarding my most recent renewal. Admittedly, this lack of good record keeping is my fault (but the situation would still be the same if one had kept good records, but was not able to physically retrieve them – ie. out of town). I was left with no idea of whether or not I was still an active Costco member.

So I created an account on costco.com and entered my personal information including my Costco membership number (xxxxxxxxxxxx). I reasoned that now costco.com would surely be able to inform me if my membership status was current or expired. After all, the site now had my personal information and my membership number.

To my surprise, I could not find my membership status in the “my account” page or anywhere on costco.com. I double checked that I was indeed still logged in. Yes, I was still logged in. I spent at least 15 minutes looking over the FAQ page and clicking on what I thought were pages that might lead me to my membership status info. Then – out of desperation – I began clicking on pages that I really didn’t think would have my membership status, but I tried them anyway.

I finally gave up searching costo.com for my membership status and called the 800 number listed on the site (800-774-2678). After waiting at least 5 minutes to speak to a representative, I was greeted by a very pleasant and helpful woman (who’s name I regret I cannot remember. the call was at 10:11am PST and lasted ~11 minutes including hold time).

I explained my situation to her and she mentioned that the Costco mainframes don’t talk to the website. She informed me that my membership had expired in February of 2009. I asked her if she could relay a request to Costco management and to the CEO for me: please show members logged into costco.com their membership status (past/upcoming renewal date).

I spent at least 15 minutes searching costco.com for my membership status. Then I spent at least 5 minutes on hold. My conversation with the rep must have lasted anywhere from 5 to 7 minutes (based on the total 11 minute call time). As I told the phone representative, this was time that both of us could have spent better if costco.com would show membership status on the site. Between the two of us, almost half an hour was spent on just this one simple piece of data (not to mention another half hour or so for me to draft this letter). I can’t imagine I’m the only person who’s ever had to make this phone call.

I am a professional web developer and I understand that there may be technological barriers and security concerns involved in getting two disparate systems communicating. And I realize that my seemingly simple request may or may not be simple to implement.

However, displaying membership status on the site could potentially save countless hours of costco staff time and increase internal efficiency and productivity.

For costco members and costco.com users it would help reinforce the Costco brand of “value”. Personally, I enjoy shopping at Costco because it saves me time and money and I am happy with what I know about Costco’s business practices (and because I think WalMart/Sam’s Club is evil – but that’s a separate topic). This experience made me feel that my time was being wasted – eroding away at my positive perception of the Costco brand.

Respecting a customer’s time is incredibly important – especially online. If a customer feels that their time is being wasted, they will take their business elsewhere.

I don’t know if implementing my request will have the same affect as “The $300 Million Button” – http://www.uie.com/articles/three_hund_million_button – but I think it will be more than worth the effort.

Ironically, the very “Questions & Comments” form that I am using to send you my feedback asked me for my:

First Name
Last Name
Email
Contact Phone #
Costco Membership #
Order #

I was already logged in to the costco.com website! I should not have to enter any of this information (except “Order #” if applicable). At the very least, the first 5 fields should have been auto-populated with this information that costco.com already has!

Also, the first time I submitted the form, I got an error and had to re-submit the form:
“Error:The page you are trying to access is not available. Please contact the administrator for more details.”

I did notice that the URL for the Questions & Comments form was not on the costco.com domain but rather egain.net – https://costco.egain.net/system/selfservice.controller?CONFIGURATION=1000&PARTITION_ID=1&CMD=STARTPAGE&USERTYPE=1&LANGUAGE=en&COUNTRY=us
So this may be a limitation of some third party service, but it is another missed opportunity to show respect for the user’s time. Don’t make your users “take the shit with the sugar”!

Thank you,
Andy Ford

Edit (September 2nd, 2009):

I’ve had a few people contact me asking how I got in touch with Mr. Sinegal and if I got a response.

I used their “Contact Us” form on their website and put “Please forward to Jim Sinegal” at the top. I never heard back from anyone.

I’d post the link to the Contact Us form here, but it’s probably the world’s longest URL with so many query strings that I’m not confident that the URL would be the same tomorrow. But, you can get there by clicking the “Customer Service” link (at the very top or bottom of the page), then click on the “Contact Us” link, then click on the “Member Questions & Comments” link to launch another window with the contact form… Only 3 clicks away – usability at its finest!

Comments, Quips & Protestations

1 November 23, 2009 7:58 pm Rene

Thanks for this Andy. I ran into the same frustration tonight and ran into your post after a frsutrating search of the Costco site then eventually a Google search for answers.

Because of your post and the obvious disregard for something so obviously needed, I am cancelling my membership and asking my family to do the same.

It always amazes me how some companies never seem to understand customer service or even attempt to care.

Thanks again Andy.

RZ
2 December 22, 2009 11:49 pm Chris

I was gonna comment: “They sound like a bunch of pooh-butt freaks” but I decided not to. Tell them to give you the job as cosco.com’s website manager- or you’re gonna build a site called “CoscoDotComSucks.com”
3 January 23, 2010 8:52 pm Sara

Happening to me right now! The call center is closed though right now. So stupid.
4 March 10, 2010 7:12 pm Matt

I know some websites can be difficult to use sometimes. But all in all I would say that Costco is one of the few outstanding companies. I have shopped there for several years now and always appreciate the great selection of electronics, clothes, produce and many other items. They have always tried to help whenever there was a problem. They try to make it as convenient as possible and reduce waste by not having an expiration date on the members cards. You don’t have to get a new one unless you want to. One of the few companies trying to lessen their impact on the environment. I do find it odd that people would cancel their membership over something so small. Anyone call a costco store and get an answer in less than 30 seconds during business hours. The store nearest you will gladly tell you when it expires. If you ever go into the store and your membership has expired they will ask you at the register if you would like to renew and its done right there. No waiting in another line or waiting for the new card to come in the mail. Our family has truly been blessed by Costco, I hope yours is too.
5 April 29, 2010 1:52 pm Steve Allen

This is truely amazing that an individual like yourself trys to sound so hesitant to leave a complaint to Costco, like as if at any point in your life you were ever a loyal customer. People like you, your bad bookkeeping and finger pointing at other people in a feeble attempt to cover up your own stupidity and ignorance are the reason why there is the competitor “Sams Club”. If your so dissatisfied then request your membership refund and go to Walmart or Sams then, they wont hesitate bottom line. Then you start a frezie of all of these bottom feeders that run into the same unheard of situation and turn to blaming Costco for your own ignorance. Costco has a reputation of attracting classy individuals which clearly you are not. You truely disgust those that are proud to shop at Costco by taking this frivilous stab at the companies reputation for customer service, truely sick.
6 April 29, 2010 2:51 pm Andy Ford

Wow. Steve gets the dickhead award. The “classy individuals” bit is hilarious.
7 April 29, 2010 4:03 pm Evan

A quote from “Idiocracy” —
Frito: Yah I know this place pretty good, I went to law school here.
Pvt. Joe Bowers: In Costco?
Frito: Yah I couldn’t believe it myself, luckily my dad was an alumnus and pulled some strings.
8 April 30, 2010 3:01 pm Mark

Steve sounds like one of those Costco execs who has a bonus payout tied to online reputation management. Since I found this site after my own negative experience with the company, I must also be one of those so-called “bottom feeders”. I can proudly accept that label after abandoning my purchase and walking across the street to get the exact same thing for less money at Sam’s Club. Companies who don’t view complaints as opportunities can assign negative labels to customers all the way into bankruptcy for all I care.
9 May 4, 2010 11:47 am Steve "Classy Guy" Allen

First off Andy, what a stellar display of class I must say with that “dickhead” comment of yours. You write this blog welcoming “Comments, Quips & Protestations”, then when someone expresses their distaste in your blog you resort to a trashly response like that? Its amazing that that was the only response you could come up with, maybe you should have given it some time and formulated a response so your didnt further diminish what little credibility you had from your fellow Costco members.
As for Mark, good job on getting your refund and going to Walmart and contributing to the problem in Corporate America today. Also to clear up whether I am some Corporate Exec for Costco, just because someone objects to some amateur complaint from an individual that is completely out of line; DOES NOT mean that I have any further vesting in the company other than that fact that I am an extremely loyal custome and have been for many years.
10 July 6, 2010 11:22 am dale

My observations of Costco, as a customer for many years, have mostly been positive. That changed recently when I was attacked in the store by a disturbed customer. Managements response was completely unacceptable; they refused to document the crime, refused to take the names of witnesses, and have failed to follow up with me. The sheriff here had never experienced a situation where any retail store management had passively thwarted the investigation of a crime before. I observe that Mr Fords comments were appropriate and polite; Mr Allen injects an op-ed alleging third party defense for a situation he has no involvement in. Impolite, ill-advised, and curious. Sometimes people with low self esteem act out in peculiar ways.
11 September 23, 2010 8:07 pm David S.

I am disappointed in the way that you portray this company in your letter to Jim. He runs a flaw-less company and one little mistake shouldnt even be reviewed. Save your pathetic letter for a CEO who actuslly is doing a bad job running his company.
12 September 23, 2010 9:06 pm Andy Ford

I’m sorry to disappoint you with my pathetic letter, David. Oh wait, no I’m not.
13 September 24, 2010 6:12 pm David S.

Andy, i think you took my comment the wrong way. Jim Sinegal and his co-founder Jeff Brotman have made one of the greatest corporations in the world, in my opinion. And it makes me a bit mad that you would disrespect such a great man and company with your letter. Your response was beyond defensive as well.
14 September 25, 2010 9:46 am David S.

I would appreciate a response Mr. Ford.
15 November 5, 2010 5:55 am alan springer

think costco is a bargin ?? I bought 3 karcher pressure washers there –and all 3 broke down after 2-3 uses !! so now i see costco is selling Honda PW model GCV 160 OHC for $390 +++ shipping.
BUT why dont i go to my local Home Depot & buy exactlly the same PW “off the shelf” for $ 299 !!!!!!!!!! this is only one example–
16 November 26, 2010 10:21 pm Mr Mike

Are you talking about KIRKLAND Costco’s Mothership. Are they trying to prove an American MONOPOLY can exist?
17 November 26, 2010 10:22 pm Mr Mike

Go SAM’s Club.
18 November 29, 2010 4:47 am titilayomi

please i am a cutomer of costco every time i visit us,however i would like to have a business proposal to the costco management and need to know how to go about that.
19 December 11, 2010 9:05 am Dennis

I have sent a couple of emails to Mr. Sinegal and also mailed a letter, have not received a comment. Here is the letter I sent:
==================================
*I just wanted to comment on what just happened to me in your Costco in **St. George**, **UT.***

*I am a senior and have to ride a cart when shopping in your store. The only problem is that your store has had only 6 carts for a long while. I asked the Manager BOB about this and was told they were to expensive to maintain and if I needed a cart I should bring my own, wow, is this Costco’s idea of being customer friendly? I have spoken to some of the employees who over the years the ones that have stayed I feel like they are friends. They told me it is worthless for them to speak to management and told me to talk to Bob. As you can see Bob thinks it is my fault I am handicapped and I should get my own cart.*

*Walmart has 2 stores within 10 miles of Costco and each store probably has 15 to 20 carts per store. Linn’s grocery store has 3, Blvd Furniture has 3. All of the stores Bob told me use the same repair service out of **Las Vegas** and hence the cost to repair. You would think with a 100 plus carts in town that the stores should arrange for a monthly time for repair to come to town and service the carts, hence saving all money.*

*You also have to realize that St. George is a retirement area and the older out number the young.*

*Well that’s about all I can say except if this is Costco Corporate way of treating the senior crowd maybe the older crowd needs to picket and get some TV stations involved and let everyone know this is Costco. If this is just ONE store then YOU need to do something.*

*Thanks so much for your time.*
20 December 23, 2010 11:33 pm William Tann

Costco apologist Dennis Said should consider the following:

* Location of incident: Beaverton, Oregon.
* Description of incident: I accompanied my father’s 91-year-old neighbor to physically assist with her purchase of a large flat screen Sony TV. The neighbor’s name is Karen Taylor. Karen suffers from diagnosed Alzheimers Disease which has become so marked within the last two months that she was permanently committed to a specialized care facility by social work personnel at St. Vincent’s Hospital, Portland. Karen has lived by herself for many years as a widow and had approximately $35 in Costco purchases during 2009. A Costco employee approached Karen and suggested in my presence that she apply for an American Express card. He stated that her TV warranty would be extended if she did so that that American Express has other advantages as well. I offered to assist Karen with the application process. The Costco employee stated that there was “…nothing to the application” and that I should wait near the TV to be sure that it was saved for her purchase. I did so.

91-Year-Old, very obviously incapacitated Karen came back with a temporary American Express Card AND a $100 per year executive membership,
which is totally useless to someone with $35 in annual purchases excepting the TV this year.

The employee was male, 40-45 years old and of Indian or Pakistani ancestry. He was very friendly, much in the manner of a “con-man”.

* Kindly be advised that I patronize ethical businesses and try not to patronize unethical businesses. Unless you can provide some kind of satisfactory assurance that your so-called “executive membership” hustlers are being subjected to strict training and controls, I will stop shopping at Costco January 1st, will cancel my Costco membership after the February bonus comes out, and will contact the attorney administering Mrs. Taylor’s affairs to inquire about the feasibility of a minor lawsuit on her behalf but seeking certification as a class action on behalf of others as well. Litigation progress will be posted on the internet at http://fordinteractive.com/2009/07/my-letter-to-costco-ceo-jim-sinegal/ as well, if not amicably resolved by credible assurances of necessary changes. Corporate drivel from a PR rep will not be deemed as sufficient.
21 December 23, 2010 11:35 pm William Tann

Correction: The Costco apologist is David Said, not Dennis Said.
22 January 10, 2011 11:53 am Tim Sanders

Costco is run by a bunch of losers. These are GROCERY PEOPLE, not some kind of humanity lovers. They get rich by selling you toilet paper and almonds.
But they have the social skills of jackasses. Sinegal is a misfit, Brotman is a fake, oh well, the rich will one day lose it all, and these two clowns will rot in hell.
23 January 13, 2011 8:10 pm Lena

I found this website by goggling “how do I check my Costco Membership” And behold, I find that I am not the only one that is having trouble. I Love Costco, I have been a member since 1988, at least that is what the card says. It has been several months since I have gone and before I drove there I wanted to check my status. We live in a world of convenience today. You can order groceries on line, read downloaded books, heck I did all my Christmas shopping online this year. I am amazed that I cannot get on the computer and check my membership status. Costco should listen and care about a customer’s opinion regarding convenience of a website. Websites save business’s millions of dollars a year. I like your letter Mr. Ford. It is honest and fair. It is too bad Mr. Sinegal did not have time to read it or respond to it. Then again, maybe he has a bad employee that should have been fired for not forwarding your letter. My guess is that employee has moved on to answering phones for a large credit card company that really does not care about us little guys.
24 January 17, 2011 11:47 pm Lani

I find it ludicrous that there are people willing to waste so much of their time bitching about a website’s accessibility, or lack thereof. Are we that lazy that we can’t pick up a phone and ask someone…and so neurotic that we have to write a blog about it? While I am certain there are plenty of Costco members out there that have had beyond frustrating or appropriate experiences, I am incredibly shocked that someone would go through the lengths of such to express their “disappointments” about something so minute. I googled “Costco CEO Jim Sinegal” and this is the hilarity that pops up. Wow.
25 January 18, 2011 7:53 am Andy Ford

@Lani – is it not equally ludicrous that you would waste your time by commenting on this neurotic blog post? By the way, welcome to the internet where people bitch about things.

The irony in your waste-of-time argument is that the topic of costco.com not showing membership status is a huge waste of time for their customers who must call to check their status, and for their employees who must field those calls.

Perhaps I didn’t make it clear, but this post is just a copy of the letter that I sent to Costco (a year and a half ago with no response to date). And if you weren’t too lazy to read it, you’d know that I did pick up the phone and ask someone.

My phone call took at least 5 minutes of a Costco employee’s time. How many times a day do their people field this kind of call? 100 times (8.3 hours)? 1000 times (83.3 hours)? I don’t know the answer but I’d imagine it’s hundreds of times a day.

You’re certainly entitled to believe that not being able to check your membership status is a minute detail just as much as I’m entitled to believe that it is a huge time waster for the company and for their customers. A lose-lose proposition.
26 January 18, 2011 9:09 pm Lani

I was definitely not too lazy to read it. I read your blog. Hence – why I posted on it. My response was out of pure amusement. I couldn’t believe that this was worth the time. It took me 2 minutes to write my post. I’m sure it took you much longer to draft a letter. You indeed did pick up the phone but only because (God forbid) you could not find it on the internet. Okay – differences of opinions? Fine. I just think it crazy that the internet has caused our society to be so lazy.
27 January 24, 2011 6:40 pm Jim

If you actually write a letter and send it via US Mail, you would greatly increase the chance Jim Sinegal might see it. Sending a personal communication via a customer comment space is a joke.
28 January 24, 2011 6:56 pm Andy Ford

@Jim – You’re probably right. In which case it’s a joke to offer a communication medium only to ignore it.
29 January 25, 2011 6:37 pm David S.

Tim you are oblivious to what a great man Mr. Sinegal and Mr. Brotman are. They have changed and helped many peoples lives. Jim was brought up in a orphangage and is COMMITTED to giving back, rethink your comment and you are the one who is being a jackass.
30 February 11, 2011 9:11 am Terry Miller

Costco sold some people I know contaminated meat. They said that Sinegal and Brotman have no morals and would not even investigate it. I will never renew my membership because of this.
31 March 20, 2011 7:44 pm regina whitehead

This is first time I’ve read these conment..I’m so sorry you weren’t pleased for I’m a employee of the greatest company ever and it is because of Jim he aims to please.There are some me me people that can’t be satfied.Thank you Jim & Brotman…MAY GOD BLESS!!
32 April 9, 2011 1:54 am mattio

Wow- lots of Costco lovers. I think Andy is right in simply pointing out that Costco fails at providing the most basic information in regards to membership with any efficiency…..whether I have one. I came across this blog like many others- looking to view my membership status. After reading all the pro-Costco comments, I’ve decided not to even pursue as I don’t want to be associated with any of these people that “bless owners” and “thank god” for Costco- I think I would rather support small local business- I am going to the local farmers market- ciao
33 April 23, 2011 9:57 am Jerry

Sadly, like all large corporations, Costco has become interested in profit only. For years I have shopped Costco. TV, computers, printers, clothing, food, etc. You name it, I bought it. I have never had a problem. But I have never had to return anything. This March, I bought tires at Costco. Huge mistake. The tires I wanted were out of stock. The sales man suggested another tire, that met the specifications of my car. I bought the tires. A couple of days later, I found the tires were inappropriate for my vehicle. Michelin will not honor my warranty or roadside assistance, because of this. I went back to Costco, they promised to fix the problem and ordered the appropriate tires. Would call in a week. Never heard form them. When I talked to the manager of the tire department (the salesman). He told me: “No way”, its my problem. I immediately went to the service desk and requested the store manger. I was told I would have to talk to the the manger of the tire department. I asked again for the store manager. The customer service rep told me he was not in. I asked, when he would be in. I was told, they do not give their manager’s schedule out. She gave me the general phone # of the Lake Zurich Costco and told me to call until I got a hold of him. Company policy. Confirmed to me by several Costco employees. Simple solution. Called American Express and disputed my charge. As soon as the matter is resolved, I am canceling my membership.

Would David S. Said explain to me how this is considered customer service? Or should I ask the inventors of the policy, Sinegal and Brotman.
34 April 26, 2011 7:55 am Shimo

Perhaps the reason why you never received a response from the CEO of Costco is because he is busy running a company and your complaint is not worth his time and you didn’t send the information directly to him. If you wanted to know when your membership had expired then all you had to do was call Costco customer service @ 1-800-774-2678 since you were too lazy to go to the Costco store to find out.
In regards to Jerrys comment “like all large corporations, Costco has become interested in profit only”…have you ever called Costco and asked what their mark-up is on merchandise? You should try it because it beats all other companies. The reason why “sometimes” the price isn’t “better” then wal-mart or other stores is because of Costco’s return and warranty policy. Trust me they care more for their members then they do about profit. If all they cared about was profit then they wouldn’t provide a 100% guaranteed satisfaction policy and they would definetely charge re-stocking fee’s once something is returned.
I myself have called Costco asking why the site “doesn’t have this and doesn’t have that” and the agents are extremely polite and have informed me that they have a specific dept working on new things everyday. BUT this doesn’t mean that what you want you will get, I understand what she says. I wish EBAY and AMAZON changed some things online…have you ever tried calling their customer service haha what a joke!
What I have noticed with people is that they expect the world out of Costco because they are a member and have been for sooo long. Costcos employees are only human they are not robots and they will admit to not being perfect, just like every other company!
I think people need to stop complaining about all the bad things…if you don’t like the company they will glady reimburse you for your membership with no questions asked.
I have heard some terrible stories about what members do to the Costco staff and how members take complete advantage of the company and Costco takes it because they don’t want to lose their members, this is the only thing that makes me sick. If anything Costco should block/cancel peoples memberships after so many returns or problems have occurred.
A friend of mine us to work their and he told me the funniest return story possible…more then 1 actually, let me explain to you how out of control Costcos customers are:
Member bought grapes (advertised to be seedless), the member came back a few days later with a piece of cardboard and “seeds” glued to the cardboard and informed the Customer service desk that the grapes weren’t seedless and wanted a refund…..THEY PROVIDED HIM WITH A REFUND!!!! This makes me sick!
Anyway…everyone has their own opinion, but instead of wasting your breathe complaining on a blog…drive over to Costco and ask for your money back for the membership card you bought, they will glady reimburse you. Once done then you can go over to walmart or Sams and continue your shopping.
35 May 23, 2011 9:01 pm Tim Palton

By the way, Sinegal is taking his family on a yacht this summer that cost $500,000 yes you heard that right $500,000 a week to charter. He is taking it with his family for I think 2-3 weeks!!!!!! I was talking to this guy, and he said that have been on it already once before!! Apparently his makes “so little”. But he can spend $1,000,000+ on a 2 week yacht cruise!!!! I can only wonder where there going….!
36 June 29, 2011 10:07 am Christine Gallo

Thank you, Andy for creating this blog, attempting to communicate with Costco management via email, or snail mail and receiving no reply, has long been one of my complaints about the company. Isn’t that what “customer service” is for, if management deems the communique too insignificant to handle?
I find it very strange for any corporation, in this day and age, to completely ignore its customer base. Unless it thinks itself so highly successful, and necessary to human existence, that the opinions and concerns of the customer are of no concern?
It appears the only thing that would get a reaction from management would be a sharp drop in membership/earnings; something I had anticipated this Depression would necessitate (Costco being one of the more expensive bulk merchandizers). The last I read, though, Costco earnings were up! Go figure.
37 July 23, 2011 8:36 am ex-employee

Hi Andy. I wanted to let you and anyone else reading to know that you are absolutely correct about what you have said about Costco. I worked for Costco and know first hand that they are running this business with others’ leftover technology from the era before internet. Everything, the cash registers, inventory programs, as well as Costco’s pharmacy software is OLDER THAN GOD and extremely frustrating to work with. Costco is not doing their reputation or the shareholders any good choosing to be so cheap and not investing in running a company the way it should be in 2011. They claim to make huge profits, so why wouldn’t they take the obvious business expense tax deduction and get better equipment and software?
38 July 23, 2011 8:50 am ex-employee

Continued… On the subject of getting through to upper management; Costco claims to have an open door policy for employees too. Simply stated, that doesn’t really exist. Costco is a whole-lot-a self proclaimed B.S.! Costco is full of good-ol-boy mentality, nepatistical employment practices, and greedy, dishonest store managers.
39 July 23, 2011 9:11 am ex-employee

Also, if you are an employee that actually “works” at Costco (80% are managers that stand around doing “?” and taking all the credit, or lame a–es constantly milking short-term dissability, etc…)be prepared to be passed up while some store manager’s kid gets the promotion, and never ever think you should get any resolution or justice from management, you won’t.
40 July 23, 2011 9:23 am ex-employee

If your experience, suggestion or complaint makes a store manager look bad, keep it to yourself if you want to keep the job. It seems to be Costco’s way to corner, threaten, and “get rid of” employees that threaten a manager’s ability to sweep issues under the rug. I suggest filing a real complaint with the E.E.O.C. !!
41 July 23, 2011 11:23 am ex-employee

In response to comment left by Steve Allen 4/29/10; Costco doesn’t attract “classy” people! Costco takes food stamps! They don’t give a sh-t where the $ comes from, or who’s membership anyone shops under. Costco is just another double-standard, side-stepping co. pushing their product line. Steve, you should do some research before you stuff your foot in your mouth next time you decide to have an opinion.
42 July 30, 2011 8:20 am Bonnie

I understand the complaint about not having enough electric carts available. However, people really do not seem to understand how expensive those carts are!!! Yes, your local grocery store has more than Costco does but you pay for it with the higher prices you pay there!! Costco has to keep costs down in order to keep prices down. If all the fat lazy people would actually walk the warehouse there would be more carts available for the elderly!!!! (not to mention they might loose a pound or two)

What did people do 20 years ago when the only people who had electric carts were the people who bought them for themselves????

Andy, PLEASE get a life!!!! By all means go to Sams Club, pay more, get crappy service and don’t forget, it you want to return something you only have a limited time to do it, unlike Costco!!!
43 August 11, 2011 7:11 pm Anonymous

I work at Costco and I can tell you Jim runs a GREAT company. It will be so sad when he retires in Jan.This company is In GREAT HANDS
44 October 24, 2011 2:52 pm Darla

On line trying to verify my membership. Instead I found this site. In this day and time I can’t believe I can renew my membership on line but can’t find out if my membership is still in effect. All of my other memberships give me this information on line. Come on Costco!
45 November 3, 2011 9:42 pm Mikey Son

I found this blog looking for a mailing address to send an improvement suggestion to Senegal personally; however, I realize it is probably rather foolish to think that he has time to read my one letter among the thousands he probably gets every month.

I am an operations manager and own a business, have a family, go to school, etc… As much as I would like to respond to everyone as the owner of my company, it is unrealistic to do so. I have to trust others to do so and, like we have seen in many posts above, people fail. My employees blow and I train them and they get better. If not, they move on. Unfortunately, some managers become managers with very few skills, especially in a big company. It is disappointing they didn’t respond at all to Andy’s letter with at least thanks for the observation and suggestion. A simple response goes a long way to keep customers and I would have to say it is probably the exception at Costco, not the rule, since they had over 58 million members in fiscal 2010 (Costco Audit, 2010).

Whether people agree or not, Costo is a decent company in the sea of corporate America. I have done a lot of research on Costco and written several papers on their business strategy. Public record supports the fact (not emotion) that Senegal cares about his employees overall, even though he can never please them all. When you stack up their track record against the competition, they compensate their employees well; yet, senior leaders have comparably lower compensation packages than the industry standard. This is by Jim’s own choice even though he started the company and could demand more. The average stock crew member appears to make over 40K per year plus excellent benefits. You will be hard to beat that for comparable jobs elsewhere. Costco also caps their profit margins at 14-15% across the board; whereas the average retailer is 20-50% (Thompson, Strickland, & Gamble, 2010).

I will forward my suggestion to corporate anyway and hope they will consider it even though I am not a member. I like their business model and strategy and would like to see them continue their success at providing family-wage jobs in our country and abroad.

References
Costco Audit. (2010, August 30). Retrieved October 22, 2011, from Gale Database (DC321146): http://galenet.galegroup.com.www.library.oit.edu:2048/servlet/BCRC?rsic=PK&rcp=CO&vrsn=unknown&locID=s8375154&srchtp=cmp&cc=1&c=1&SW=1&mode=c&ste=60&tab=1&tbst=tsCM&ccmp=Costco+Wholesale+Corp.&tcp=costco&docNum=DC321146&bConts=1
Thompson, J. A., Strickland, I. A., & Gamble, J. E. (2010). Crafting and executing strategy. New York: McGraw-Hill/Irwin.
46 November 3, 2011 9:45 pm Mikey Son

Correction to my post above:

My employees blow it and I help them to get better at customer service. If they don’t get better over time, then they move on.
47 January 14, 2012 1:33 pm Jack Mehoff

Why didn’t you pick up the phone and call Jim? Internet blogs are for wimpy MoFo’s to hide behind, because they don’t have the social skills to function in the real world. Why do you need to know your membership status? If you actually shopped their on a regular basis you could ask. Instead you jackin it in front of your computer, wondering the ultimate question and clocking wait
Times on a phone call. Get a life! Jim’s probably wondering why you don’t have the common sense to call someone instead of dicking around on a website for 20 minutes and timing it. You weren’t wasting an employees time when they actually get paid to answer questions on the phone. But you have wasted a few years with this dumbass blog. Did you write one about how long it takes you to poop and the emptiness you feel after?
48 January 14, 2012 1:41 pm Mike Hunt

I wrote a letter to the Keebler Elves asking for directions to their tree house and never got a response! I also sent one to Trojan Man because the instructions didn’t tell me when I could take off the condom and now it is glued to my privates, but he was too busy to write. So I am thinking about a blog . . .
49 March 31, 2012 7:18 pm D

I have the same problem as you did with their website, the “Error:The page you are trying to access is not available. Please contact the administrator for more details.”

My problem with Costco is that they insist that I purchase a membership to use the Cash Cards my wife bought me while she’s out of the country visiting family. She took our Costco membership card with her, so she could shop at Costco in Taiwan, and she bought me some Cash Cards. Now Costco is trying to tell me that we have to purchase *another* membership so I can use the Cash Cards!

Bad thing is, this is the SECOND time this has happened! Same exact circumstances, a few years ago. Costco Corporate issued an apology last time, this time, I can’t even contact them!

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