Quote:
Originally Posted by goodgrowth
Yeah I guess that's a possibility. Well at least traffic in that area will be bit better...
To be honest though it seems Newfoundlanders in particular LOVE Costco. That store always seems super busy. While the St John's population is below the normal threshold for having two stores I think they could have gotten away with having two.
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It's the same everywhere though. A second store isn't going to draw in enough new customers to offset the added costs of now two rents, two electric bills, two sets of taxes, etc. Ultimately you end up with two underachieving stores. People in Newfoundland have shown they'll drive however long as needed to get to Costco, so taking 10 minutes off the commute to go to another store won't matter.
The larger size of the new store will help alleviate the over-crowded nightmare of the current store.