Sam's Club has always set its niche as the small business owner. That is about to change.
Greg Spragg, executive vice president of merchandising and replenishment for Sam's Club, told an audience at Citigroup retail conference in Orlando, Fla., "We are going to have to broaden our appeal beyond small business owners. We have to be more relevant to the mom."
According to an Associated Press report, being "more relevant to mom" and other consumers will include Sam's upgrading its wine, electronics and jewelry departments.
The chain is looking to alter its advertising messages to keep its place with its business customers while reaching out to female shoppers. Sam's is also working on club prototypes that the company believes will be more female friendly.
Charles Holley, executive vice president of finance and treasurer at Wal-Mart, addressed some of the changes taking place in the company's discount store and Supercenter businesses.
The company is once again emphasizing price, but that does not mean it has given up on transforming its reputation in clothing. "We are not going to be able to change apparel overnight," he said.
Discussion Questions: Will Sam's small business customers remain convinced they are the club's primary focus as it places greater emphasis on recruiting and keeping female shoppers? How will this refined positioning affect the nature of the Sam's Club and Costco competition?