Costco May Be Neglecting Curbside Pickup at Its Own Peril

By Sheridan Fifer

Costco's chief financial officer Richard Galanti cited lack of space in stores and margins that are already razor-thin as reasons why the warehouse retailer has no plans to invest in curbside pickup. In an interview with CNN, he implied that members are happy with Costco's current options, which include same-day delivery through Instacart and two-day delivery through delivery companies such as UPS. But some analysts question Costco's stance, observing that curbside pickup has exploded in popularity in recent months, and that rivals such as Sam's Club are offering it. 

Costco is "behind the ball," said Timothy Campbell, analyst at Kantar. "They risk falling behind if they don't invest in pickup. You have customers establishing routines with other retailers."

Read the full story at CNN Business.