Costco Topples Amazon

Costco topples Amazon

According to the ACSI Retail and Consumer Shipping Report 2018-2019, Costco has overtaken Amazon as the leader in internet retailing in the US.

The American Customer Satisfaction Index (ACSI) survey interviewed over 60,000 customers and found that Costco is the value leader among online retailers. Its Kirkland brand may be part of the reason, it appears, as it offers quality products at a lower price.

After holding the top spot since 2010, Amazon fell 4% to a score of 82 on the ACSI scale of 0-100, while Costco pipped the online giant to the post with a score of 83. Although the internet remains the most preferred method of shopping – against department and discount stores, health and personal care stores, specialty retail stores, supermarkets, and gas stations – it fell 2.4% to a score of 80.

ACSI also revealed that despite the industry downturn, membership-based warehouse stores are finding success, with Costco again leading the category, followed by Sam’s Club.

However, customer satisfaction with retail across the board is down for the second straight year as the sector fell 0.9% to a score of 77.4.

ACSI Managing Director David VanAmburg commented: “Internet retail versus bricks-and-mortar retail, department stores versus specialty stores, it’s all down. Considering the importance of retail to overall consumer spending, this decline is a big deal.” - (OPI)