Internet Retailer.com reports that Costco Wholesale has reached a billion in online sales. This year their online sales grew by about 39% to $1.22 billion. Last year they were at $880 million. They reported net income of $1.08 billion on revenue of $64.4 billion for the 2007 fiscal year. Overall the web accounted for about 2% of total sales.
What is working for the retailer? They credit ongoing marketing strategies implemented since 2005. That includes marketing to Costco club members via e-mail, direct mail, a monthly magazine, as well as in-store programs, flyers, and kiosks.