BJ’s Wholesale, one of the top warehouse clubs in the United States, continues to promote consumer awareness in its stores. With high competition from Costco, Walmart, Sam’s Club and other competitors, BJ’s boldly doubles down on strategy to attract more customers.
In the fourth quarter of 2025, BJ’s saw its comparable club sales (excluding gas sales) increase 2.6% year-over-year, while its operating income fell 0.2%, according to its latest earnings report.
Its sales performance during the quarter lagged behind top competitors Costco and Sam’s Club. Excluding gas sales, Costco’s US comparable sales increased 5.9% year-over-year, while Sam’s Club increased 4% during the period.
During the March 5 earnings call, BJ’s Wholesale CEO Bob Eddy said the company “navigated through 2025 in a dynamic environment marked by a more cautious, value-seeking consumer, tariff-related and geopolitical uncertainty, and widespread macroeconomic instability”.
“Value remains fundamental to how we serve our members, and we see that emerging at all income levels, especially in an era where many consumers are becoming more selective with their spending,” said Eddy.
BJ’s sales increased 2.6% year-over-year in the fourth quarter of 2025. Shutterstock / Jeremy Land ยทShutterstock/Jeremy Land
While sales of groceries, perishables, consumer electronics and apparel increased during the fourth quarter after the start of shopping, BJ’s saw sales decline in its home and seasonal categories.
“We had a tough quarter in our home and our seasonal business,” Eddy said. “It was subject to tariffs. That’s where most of our inventory depletion happened.”
The continued trend of consumers being more cautious about their spending comes amid economic pressures, such as higher prices than tariffs, which have led to lower consumer sentiment. According to a recent EY-Parthenon survey, many Americans are cutting back on their spending in key areas as their financial situation worsens.
approx 1 in 4 US consumers felt worse Financially in December compared to the previous month.
regarding to 70% Flagged feeling Moderate or severe anxiety About the high cost of living, especially around food.
of the Three above Areas where consumers are Cut costs Tours, restaurants and entertainment. Source: EY-Parthenon
Consumers will be more value conscious and selective “through 2026,” which will “continue to shape the competitive landscape for retailers and brands,” EY-Parthenon Americas retail sector leader Will Auchinclos warned in a press release.
“Consumers are increasingly choosy, with everyday essentials taking priority as households reevaluate where they are returning,” added Auchenclos. “The compressed budget is pushing retailers to double down on value, pricing discipline and everyday relevance to win in 2026.”
To attract customers in this challenging retail environment, BJ’s is focusing not only on providing value but also on convenience by expanding its retail footprint across the country.
By 2025, BJ’s has opened 14 new clubs in eight different states, a move that has yielded positive results for the company.
“These clubs are delivering overall sales, membership and profitability that are better than expected,” Eddy said during the call.
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He said that the level of membership in these clubs has increased by 30 percent from the initial expectations of the company. On-time renewal rates at these locations are also about 9% higher than the company’s chain average.
“This new class of clubs is the best class of clubs we’ve opened in any year since we’ve gone public,” Eddy said. Eddie said.
BJ’s plans to accelerate that growth over the next few years, a strategy that threatens its top competitors, Costco and Sam’s Club.
“We remain on track to deliver commitments from 25 to 30 new clubs in 2025 and 2026,” Eddy said. “As we look at the club’s new pipeline, we expect this pace of openings to continue in the coming years.”
Next month, BJ’s plans to enter the Dallas-Fort Worth market with the opening of a new club, an area Eddie claims is growing rapidly.
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“We heard this week that there are more homes being built in the Dallas-Fort Worth market than in the entire state of California,” he said. “Definitely a place with very, very high growth.”
Currently, Costco has about 634 locations in the United States, while Sam’s Club has more than 600. BJ’s comes close behind with about 280 stores.
The move from BJ’s comes as its main competitor also plans to rapidly expand its retail footprint.
Costco CEO Ron Wickres said during the earnings call last week that the company plans to open about 30 new clubs worldwide each year. Also, Sam’s Club has already announced plans to open 15 new clubs worldwide annually.
As BJ’s looks ahead to store expansion, it expects comparable club sales (excluding gas) to increase 2% to 3% annually in fiscal 2026.
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This story was originally published by The Street on March 8, 2026, where it first appeared in the Retail section. Add TheStreet as a Favorite Source by clicking here.
