The branding is an umbrella for private and large chain labels.
Author’s Note
This article is based on corporate postings and accredited media reports. Linked information within this article is attributed to the following outlets: TheFool.com, Facebook.com, and Reddit.com.
Introduction
I write extensively about the Costco superchain for NewsBreak. The company remains a financially healthy entity; in response, most of my recent articles have detailed new or upcoming store openings.
This piece, however, is different.
Now comes word that the company’s acclaimed Kirkland Signature line of products is not a standalone brand that manufactures its own wares, as many have believed.
Let us explore further.
Costco, 2023
According to a March 25th report from The Motley Fool, entitled “Who Really Makes Costco’s Kirkland Products? You May be Surprised,” the company’s branded Kirkland Signature line of products is, in fact, manufactured by well-known existing brands who simply have deals with Costco to produce their usual wares under the Kirkland umbrella.
As an example, Kirkland Signature batteries are really Duracell. Its tuna is Bumble Bee. And so on.
As excerpted from the report: Kirkland Signature is the private label of Costco that brought in close to $60 billion in sales for the warehouse giant in 2021, about a quarter of its sales during its last fiscal year. Since its launch in 1995, Kirkland has expanded from 30 to 351 products. Named after the company's original Washington State headquarters, Kirkland was created as an umbrella for Costco's different private labels. Since then, it has become one of the most recognizable brands in the U.S.
For a larger but partial list, Costco’s lucrative Kirkland-brand items reportedly are manufactured by the following entities:
- Starbucks coffee
- Diamond Naturals dog food
- Jelly Belly candy
- Duracell batteries
- Chinet cups
- Bumble Bee tuna
- Huggies diapers
- Reynolds aluminum foil
- Green Mountain Coffee Keurig K-Cups
- Ocean Spray cranberry juice
- Perrigo infant formula
- Niagara bottled water
- Ito En green tea
- Kader Exports shrimp
- Alexander Murray scotch
- H.K. Anderson peanut butter–filled pretzel nuggets
- Warren motor oil
- Isigny Ste-Mère Brie
While customers have taken to social media outlets such as Facebook and Reddit to voice their displeasure about being “misled” when recent reports surfaced, another truth is purchasing these well-known brand items as Kirkland products are most often less expensive, in bulk and complying with the Costco ethos, than their native brand iterations.
It should be noted Costco never kept any of this a secret, and recent articles on the subject — such as the linked The Motley Fool piece, above — are simply sharing little-known information about company operations with their readers.
Conclusion
This is a developing story. In the event of pertinent updates to this matter, I will share them here on NewsBreak.
Thank you for reading.
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