Costco, Walmart are appealing to wealthy shoppers

Core Insights - Retail giants Costco and Walmart are successfully attracting higher-income shoppers through diversified product offerings, including luxury items and exclusive brands [1][2][5] - Economic uncertainty has led consumers, including affluent ones, to make more conscious spending decisions, favoring quality products at competitive prices [2][6] - Both companies have not alienated their traditional customer base while simultaneously appealing to wealthier shoppers [1][4] Company Strategies - Costco has seen success with high-end products, exemplified by a Porsche dealer selling cars quickly within its membership clubs [3] - Walmart's CFO noted that the company is "upleveling" its brand and store aesthetics to attract a broader demographic, including affluent customers [5][6] - Walmart has expanded its product assortment by adding over 150 key brands in the past fiscal year and remodeling 650 stores, with 100 remodels completed in the last three months [7] Market Trends - There is a growing acceptance of shopping at budget-friendly retailers among higher earners, as quality and price perceptions evolve [2] - The trend of affluent consumers seeking deals at retailers like Costco and Walmart is evident, as these companies continue to offer premium products at lower prices [4][6]