Retail

Costco Slips Past Amazon In Annual Customer Satisfaction Survey

A new survey found that Costco Wholesale has beat out Amazon in customer satisfaction. The annual American Customer Satisfaction Index (ACSI) survey shows that, after taking the top spot in customer satisfaction in the eCommerce space since 2010, Amazon dropped 4 percent to an ACSI score of 82 (out of 100), while Costco scored an 83. This is the first time the survey included Costco in its internet retail category.

“Customers enjoy the experience of shopping at Costco, they remain unwaveringly loyal — 90 percent of Costco members renew their subscriptions — and, perhaps most importantly, they appreciate the value they receive,” wrote David VanAmburg, managing director of the ACSI. “Costco offers cheaper products without sacrificing the quality. Look no further than its signature Kirkland brand, which offers less expensive alternatives and is considered by analysts to be ‘one of the most popular white labels across retail.'”

Costco has also managed to beat out the competition by cornering the food market, with 93 percent of its members shopping at the warehouse store for their groceries. With CostcoGrocery, members receive two-day delivery when they order “shelf-stable” products on the website, as well as free shipping if the purchase exceeds $75.

For its part, Amazon lost points partially due to its acquisition of Whole Foods, which is common when customers see their experiences disrupted, said VanAmburg. In addition, the eCommerce giant lost points as it moved more of its deliveries to a network of independent contractors.

“All of a sudden, people’s Amazon packages are arriving [via] U-Haul rental trucks or some random van, rather than the UPS guy or the mailman,” VanAmburg said, according to Bloomberg. “We did see some slippage on shipping and fulfillment, and getting things there on time.”

Other high-scoring newcomers to the survey include Etsy, Kohl’s, Nike and Nordstrom, with each earning an ACSI score of 81. Apple, HP, Macy’s, Target, and Wayfair also made strong impressions, scoring 80 each.

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