Another wholesale retailer is planning to raise its membership fees.
BJ’s Wholesale said Thursday that it would raise the cost of its memberships starting on January 1.
The new cost of a Club membership will be $60 annually, up $5 from the current rate, and a Club+ membership will cost $120, up $10. The company announced the changes in its third-quarter earnings report.
Club+ members will also get two free same-day deliveries per year on orders of at least $50, the chain said.
The higher fees will take effect seven years after the last time BJ’s hiked its membership costs. CEO Robert Eddy said on BJ’s earnings call Thursday that the company will use the extra income from the increase to fund the expansion of its delivery business and better staff its stores, especially as it tries to sell more fresh produce.
“Since our last fee increase in 2018, we have invested heavily in the value of BJ’s membership,” he said.
BJ’s increase comes after rival Costco raised membership fees in September. Gold Star and Business memberships at the warehouse chain now run $65 each, while Executive memberships are now $130 each.
Sam’s Club, Walmart’s wholesale retail chain, is not following suit for now.
“We have no plans to raise membership fees at this time and remain committed to delivering the most value to our members,” a company spokesperson told Business Insider on Friday.
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