Costco, nudity, and memberships.

When we were originally making plans for the club (or scheming) as the case may be.....

I came across a YouTube video of Warren Buffett describing why the Costco business model was so successful. (prior to this I had always thought of a Costco membership as sort of a scam). Buffett points out that by Costco requiring a membership, those memberships are an additional source of revenue but that's not the purpose.

I don't recall Buffett's exact words, in short, the membership is a way of weeding out the bad customers. by charging a membership fee they've separated the customers that are willing to spend money that can afford to make large purchases.

I would go on to say that the membership fees, automatically exclude most scammers, dirtbags, shoplifters,and the problem whiny customers that want shit for free.

This is why there's a website called "The people of Walmart". Although humorous and entertaining it gives us a glimpse into the problems with allowing just anybody to come in.... There is no website called the people of Costco, because it would be boring.

I like Wal-Mart so don't get me wrong, but by requiring a membership or some sort of bar to entry is extremely effective in eliminating the problem people, before they become a problem. It's much cheaper to avoid a problem, then to deal with a problem after it's occurred......

At the club we've found membership would have been 100% effective in eliminating people like, the crazy lady with the machete, the twenty-two-year-old hottie scammer, the drunk prostitute and her fit of rage, Merle the love hungry swinger in a thong, Carrie the drunk guy puking by the pool..... All of whom were allowed entry under auspicious circumstances but wouldn't have had the fortitude to bother with even a simple membership process or fee..... In insight it was humorous, I would have rather spent the time energy on more productive things.

Although the twenty-two-year-old scammer or the hooker could come back as long as he didn't engage in the same sort of behavior.... And they become members first! (I have no prejudice of black hottie scammers nor hookers)..... And I don't want to upset any activist groups.

This topic was edited
No replies yet.