Sam’s Club Targets Double Profits With Ambitious Strategy

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At the 2025 Investment Community Meeting, Sam’s Club unveiled an ambitious strategy to redefine the retail club model. The company, owned by Walmart, shared its commitment to doubling membership and more than doubling sales and profit over the next eight to ten years.

The strategy builds upon years of momentum. Leadership cited strong member engagement and consistent renewal rates as the foundation for this next phase. According to CEO Kathryn McLay, the aim is to offer unmatched value and convenience to members nationwide.

Physical retail remains central as Sam’s Club opens new stores

Despite the increasing importance of digital commerce, Sam’s Club is reinforcing its commitment to physical retail. The company plans to open 30 new locations over the coming years, targeting approximately 15 new stores annually. These new sites will be larger, more efficient, and optimized for both member shopping and fulfillment logistics.

Grapevine, Texas, serves as the prototype for this new vision. Opened in late 2024, the location features a redesigned layout that combines technology with the traditional warehouse format. Expanded loading docks and dedicated fulfillment zones reflect Sam’s Club’s shift toward serving a hybrid shopper – someone who shops online but expects fast, localized delivery.

Remodeling every location to set the tone for digital convenience

Alongside new store builds, Sam’s Club is remodeling all 600 of its existing locations. The objective is to align each store with modern retail expectations in both design and capability. These remodels are not just cosmetic; they include updated floor plans, enhanced self-checkout areas, expanded cold storage, and improved signage for easier navigation.

A major focus is placed on integrating technology. All remodeled stores will support the Scan & Go app, allowing members to scan items as they shop and pay through their phones. This feature has already proven popular among younger and tech-savvy members, reducing friction and shortening checkout times.

A digital membership era driven by AI and eCommerce integration

Sam’s Club is not only upgrading its stores. It is transforming how digital infrastructure connects with members. Using Walmart’s enterprise fulfillment network, the company is expanding its eCommerce capabilities to serve a national audience. Members can now order from a wide range of items online and expect delivery within two days in most markets.

AI-driven personalization is also reshaping the way Sam’s Club engages its members. From targeted promotions to dynamic homepage layouts, digital interactions are increasingly tailored to individual shopping patterns. The Just Go exit technology, which uses AI to validate purchases without manual checks, is another innovation focused on convenience and speed.

Membership perks have been enhanced to reflect this shift. Plus members receive free shipping, while Club members now have access to complimentary Curbside Pickup. These improvements are contributing to record-high renewal rates, particularly among first-year members.

Workforce and tech meet as associates become strategic assets

None of these changes would be possible without a skilled and supported workforce. Sam’s Club employs approximately 100,000 associates, and recent wage and benefits enhancements underscore the company’s investment in its people. A new compensation model rewards tenure and provides predictable raises. Hourly wages are expected to average above $19, with annual performance bonuses available.

Technology is also being used to directly support store teams. AI-powered assistants help reduce time spent on repetitive tasks, allowing associates to focus more on customer service. These tools have proven especially valuable during peak periods, improving efficiency and reducing friction on the floor.

Instead of favoring one channel over another, the company is orchestrating a balanced approach. Value, assortment, convenience, and trust remain central to the member experience. Each is being redefined to fit the expectations of a new generation of shoppers.

Sources:

• Walmart