Inflation is increasing the cost of living in America. Brands are shrinking the packages of everyday items. Meanwhile, other firms are raising the price of new products. All these measures help corporations cope with the high costs of production. To mitigate costs, Sam's Club is hiking the cost of its membership. This move has caused people to look into ways of shopping without being a member.
Walmart is raising the cost of Sam Club's membership. The company said both tiers of the annual fees are to face the fee hike. The change will take effect on October 17. This price update is historic. For the first tier, the increase is the first in 9 years. For the Plus membership, the price has not gone up since 1999. (source)
Walmart said the price hikes come for several reasons. New brands are entering the club. There are also improvements and technology investments in all 600 facilities. The brand has added new rewards, as well. (source)
The annual membership will increase to $50 from $45 for Club members and $110 from $100 for Plus members. (source)
The company informed members about the new price via letters. The President and CEO, Kath McLay, noted the inflation pressures facing shoppers. McLay said, "We are mindful of the financial pressure on wallets right now." Thus, the company will take on the tab for the extra cost of this year's renewal. It will give $5 in Sam’s Cash to Club members and $10 in Sam’s Cash to Plus members. Its competitor, Costco, has an annual fee of $60 for its first-tier membership. And $120 for its upgraded "Gold" membership. (source)
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*Disclaimer: This article is for informational purposes only. This article got written using accredited media reports. *Advice Disclaimer: This article should not be considered professional financial, business, shopping, or legal advice. The ideas, numbers, and strategies should never be used without first assessing your own personal and financial situation, or without consulting the store website or other professional.