Last updated on December 12th, 2024
BJ’s Wholesale Club has released its third quarter results and shared several updates, including an increase for membership fees.
The membership hike, BJ’s first in seven years, will take effect Jan. 1. The club membership fee will increase by $5 to $60 a year, while the club+ membership fee will rise by $10 to $120 a year.
The company also announced a new benefit for Club+ members, including BJ’s One+ Mastercard cardholders. Effective Jan. 1, these members will receive two free same-day deliveries on eligible orders of $50 or more during each annual membership period.
Since the last fee increase, the company has transformed its business with a focus on delivering value to members. The company said the move will allow it to invest in a stronger value proposition for its 7.5 million member base.
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Several of the highlights from the report include:
- Comparable club sales increased by 1.5 percent year over year;
- Comparable club sales, excluding gasoline sales, increased by 3.8 percent year over year, led by strong traffic;
- The company reached a milestone of 7.5 million members; and
- It opened three new clubs and four new gas stations.
Membership fee income increased to $115 million in the third quarter of fiscal 2024 from $106.1 million in the third quarter of fiscal 2023. Membership fee income increased to $339.5 million in the first nine months of fiscal 2024 from $312.3 million in the first nine months of fiscal 2023. The increase in both comparative periods was driven by strength in membership acquisition, retention and higher tier membership penetration across both new and current clubs.
“Our third quarter results demonstrate the combination of great value and strong execution. We delivered robust membership growth and hit a milestone of 7.5 million members. Our value proposition continues to resonate in new and existing markets,” said Bob Eddy, chairman and CEO, BJ’s Wholesale Club.
“I want to thank our team members for their commitment to our purpose of ‘taking care of the families who depend on us’. We are excited about our future.”
