The history of Costco: how Jim Sinegal redefined members-only retail [Video]

Washington state-based Costco is a relatively young company – despite this, it’s one of the largest retailers in the U.S. and has a commanding presence in the global marketplace.

Costco is best known for its unique, membership-based, “pay-to-get-in” business model, which allows it to offer goods in bulk at lower prices. 

The model quickly proved itself popular, as evidenced by the company’s rapid growth and massive consumer base – despite only operating from 874 across the globe, Costco currently touts nine-digit membership numbers.

THE PERKS OFFERED TO COSTCO, BJ’S WHOLESALE AND SAM’S CLUB MEMBERS

Here’s a closer look at how the company came to be.

Before Costco

Costco’s history actually began several years before the company itself was formed. Its earliest predecessor, Price Club, was launched in 1976 by retailer Sol Price, with its first location in San Diego opening its doors that July. 

Price had previously run FedMart, another member-exclusive discount store – one of …