Dive Brief:
- Sam’s Club is offering temporary discounts across a range of summer items, the company announced Tuesday.
- The retailer is reducing prices on more than 1,000 products, including grilling supplies, coolers and pool floats, through July 22, according to the announcement.
- On July 23 the retailer will host its July Instant Savings Event, where shoppers can access additional discounts on summer merchandise and back-to-school products.
Dive Insight:
Sam’s Club is reducing prices at a time when consumers are concerned about inflation and tariffs.
Parent company Walmart has already signaled that consumers should anticipate price changes. “We’re positioned to manage the cost pressure from tariffs as well or better than anyone,” Walmart CEO Doug McMillon said during an earnings call last month. “But, even at the reduced levels, the higher tariffs will result in higher prices.”
Meanwhile, Sam’s Club is reportedly considering whether it will increase prices on select discretionary products like kitchen appliances or outdoor decor in response to tariffs, The Wall Street Journal reported this week.
While both Walmart and Sam’s Club brace for the impact of tariffs, Sam’s Club has another tool in its arsenal: its membership fees. Between 80% to 90% of the company’s profits come from its membership income, Sam’s Club CFO Todd Sears said during the 2025 Evercore Consumer and Retail Conference earlier this month.
“We’ve always strived to keep prices low,” Sears said, pointing to the company’s operations including its supply chain, manufacturing and product sourcing. “So everything we are doing right now to keep prices low are the same things we’ve always done. It’s just a little different context, but the environment is very similar.”
Sam’s Club in Q1 saw U.S. comparative sales grow by 6.7% year over year, excluding fuel. The club retailer saw its membership income rise 9.6% in the U.S., a trend driven by growth in member counts, renewal rates and an increased penetration rates among plus subscribers, Walmart CFO John David Rainey said during a first quarter earnings call with analysts.