Costco: Economic Climate Fueling More Bargain Shoppers

Costco (NASDAQ: COST) knows how to get their customer to spend money and come back for more. The spending trends are particularly revealing when compared to competitor, BJ's Wholesale (NYSE: BJS).

People visit Costco more. On average, customers visited Costco 2.8 times/month from January to October this year. BJ's Wholesale customers averaged 2.1/month during the same period. This data according to the new Main Street Spending Index (MSSI) compiled by Geezeo, a personal finance website that helps consumers track their spending.

Costco users also spend more per visit. Costco shoppers pony up an average of $92.82 each time they visit the retailer. BJ's Wholesale customers only average $75.98.

The end result is Costco’s customers are spending an average of $268/month. That is an astounding 70.5% more than the $157.17 each customer at BJ's Wholesale spends each month.

By comparison, Walmart (NYSE: WMT) customers spent an average of $168.82/month in October 2008.

Do not expect a slowdown at Costco anytime soon. The current economic climate is fueling more people to bargain shop - music to Costco's ears.

Disclosure: no positions