BJ’s Hits 8 Million Members Amid Consumer Stress

BJ’s Wholesale Club says memberships have jumped 55% since the company went public.

The warehouse retailer released earnings on Friday (Aug. 22) showing a new membership milestone of 8 million, with 90% of those members renewing their subscription.

The company’s comparable store sales were down 0.3% when factoring in fuel because of declining fuel costs but rose 2.3% without fuel due to robust store traffic.

Speaking with analysts during an earnings call, CEO Robert Eddy said the company was seeing an “overall a pretty resilient consumer” amid ongoing tariffs and inflation.

“But I do think you’re seeing a consumer that is really frustrated by the whole thing,” he added.  “And when we look at the economic cohorts we talked to you about, the high, medium and low segments, all of them look like they’re a little bit concerned about what they’re seeing out there and what they’re hearing.”

While total spending rose in each of those cohorts and on a per member basis for each group, Eddy said the company saw signs that show customers are seeking value.

“Their propensity to use coupons or to react to deals is a bit higher,” he said. “Certainly, looking at private label a little bit more than they have in the past, which may be good for us in the long term, but it certainly could be an indication of consumer stress out there.”

Research by PYMNTS Intelligence has noted this trend, with 42% of consumers saying they have redirected dollars toward cheaper merchants, sales and discounts. Amazon Prime and Walmart+ Deal days are proof of this behavior, where more shoppers came for the price (47% of shoppers) instead than the brand (10%), a sharp turnaround from last year.

At the same time, consumers in the “Minimalist” category—consumers who “primarily engage digitally with the features that more highly correlate to their offline habits”— now eat at home more often while also trimming discretionary purchases.

“Tariffs amplify this shift,” PYMNTS CEO Karen Webster wrote last week. “They are a silent tax that households and businesses ultimately pay. Importers pass the costs on, and consumers encounter them in checkout lanes and grocery aisles. Essentials consume more of the budget, and discretionary categories shrink.”

Additional research by PYMNTS Intelligence has charted the impact of the tariffs on consumers throughout the spring and summer. For instance, June’s “Stock Out” survey found 47% of American shoppers said they could no longer find or afford everyday items because tariffs led to supply chain hiccups or increased price tags.

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