BJ's Wholesale Club
"Where Values Come To Life"
|Industry||Retailing (Warehouse club)|
|Headquarters||Westborough, Massachusetts, United States|
|Number of locations||200|
|Area served||East Coast of the United States
|Key people||Herbert Zarkin, Chairman
Laura J. Sen, CEO
|Revenue||US$10.9B (FY 2011)|
|Operating income||US$208M (FY 2011)|
|Net income||US$95.0M (FY 2011)|
|Total assets||US$2.32B (FY 2011)|
|Total equity||US$1.14B (FY 2011)|
|Owners||Leonard Green & Partners and CVC Capital Partners|
|Employees||23,500 (FY 2009) |
BJ's Wholesale Club, Inc., commonly referred to simply as BJ's, is an American membership-only warehouse club chain operating on the United States East Coast, as well as in the state of Ohio. Before being bought by private equity firms Leonard Green & Partners and CVC Capital Partners in 2011, the company was ranked #232 on Fortune magazine's 2010 listing of America's 500 largest public corporations.
The company was started by discount department store chain Zayre in 1984, on the Medford/Malden border in Massachusetts. The company's name was derived from the initials of Beverly Jean Weich, the daughter of Mervyn Weich, the president of the new company. Weich announced his resignation as president in June 1987, and left on August 1. He was replaced by John Levy.
When Zayre Corporation sold the Zayre nameplate to rival discount chain Ames in October 1988, TJX Companies was formed. In 1989, TJX spun off their warehouse division, consisting of BJ's and now-defunct HomeClub (later known as HomeBase, then House2Home), to form Waban, Inc. In August 1997, Waban spun off BJ's to become an independent company, BJ's Wholesale Club, Inc., headquartered in Westborough, Massachusetts, while Waban renamed itself to HomeBase, Inc.
|This section's factual accuracy may be compromised due to out-of-date information. (October 2012)|
As of November 6, 2013[update], BJ's operated 200 BJ's clubs in fifteen states and employed approximately 25,000 team members (both full- and part-time). Its major competitors are Costco Wholesale and Walmart's version of a warehouse club concept, Sam's Club.
BJ's offers a variety of special benefits to its members. These include "member pricing", a variety of name-brand products at discount wholesale prices, acceptance of all valid manufacturers' coupons, and acceptance of many forms of payment (cash, check, ATM/debit cards, all major credit cards, and EBT SNAP benefits). BJ's is the only one of the three major warehouse club chains to regularly accept credit cards as a method of payment.
Memberships at BJ's are required for these benefits and are available to individual consumers and businesses. BJ's memberships normally last for twelve months from the date of purchase and must be renewed yearly. As of January 3, 2011[update], a standard Inner Circle (individual) membership at BJ's cost $50 per year. In addition, BJ's also has a special "Rewards" membership that may be purchased for an additional $50, allowing 2% of most of a member's purchases to be "rewarded" and redeemed for use towards future BJ's purchases (with the exception of alcohol, gas, and tobacco). Business members may apply to purchase BJ's products for resale, and non-profit organization members may apply for tax-exempt privileges (where applicable). Members with expired memberships (if they choose not to renew), as well as non-members are allowed to shop, but are assessed a 5-15% surcharge (depending on the club and the circumstances) on their total, and are not allowed to pay by check. However, if non-members keep their receipts and decide to renew their membership or open a new membership, they will be refunded the surcharge and applied towards the membership fee, within seven days. To aid in convenience, most BJ's memberships can be renewed at the register during checkout. BJ's Wholesale Club has a 100% Satisfaction Guarantee on their memberships; therefore a membership can be refunded at any time during that membership period without any 90- or 30-day stipulation.
Many of BJ's clubs offer special services to members, such as car rentals, gas stations, home heating oil, an optical department, propane filling, and vacation packages. These services vary from location to location. As of 2008[update], there were 154 clubs with optical departments. As of January 30, 2010[update] BJ's operated 104 gasoline stations at their clubs. In February 2007, BJ's closed all pharmacies in its clubs.
BJ's Wholesale Club locations frequently stock different varieties of products at different locations. However, all clubs carry the items listed in the coupon book that is published on a bi-monthly basis. However, at certain times, it is not uncommon for a certain club not to carry a new item immediately due to its higher demand.
In March 2010, BJ's announced they would move their corporate headquarters from Natick to Westborough, Massachusetts in 2011. On January 5, 2011, BJ's announced it would close five underperforming stores in the Southeast, eliminate approximately 100 headquarters jobs by the end of the month, and restructure its home office and some field operations. Its restructuring moves would result in savings of 78 to 82 cents per share for its fiscal fourth quarter.
- Earth's Pride: BJ's private-label line of organic grocery products
- Executive Choice: Office supplies and other durable goods
- Lanesboro: BJ's own line of apparel, including footwear, jackets, undergarments, sportswear, workwear, and accessories
- Rozzano: BJ's line of Italian foods, including pasta and pasta sauces, fresh cheeses, and frozen pizzas
- Wellsley Farms: BJ's upscale, private-label line of fresh foods, which includes a full selection of dairy products, produce, and fresh heat-and-eat meals
- "BJ's Form 10-K Annual Report". March 25, 2010.[dead link]
- BJ's Wholesale Club (BJ) annual SEC income statement filing via Wikinvest.
- BJ's Wholesale Club (BJ) annual SEC balance sheet filing via Wikinvest.
- "Fortune 1000". Fortune. May 3, 2010.
- "232. BJ's Wholesale Club". Fortune. May 3, 2010.
- "BJ’s Wholesale Club buyout completed". The Boston Globe. Associated Press. September 30, 2011. Retrieved December 19, 2011.[dead link]
- BJ's Wholesale Club, Inc. Club Member Team Guide. July 2010. p. 6.
- "BJ's Wholesale Club, Inc.". Gale Directory of Company Histories. The Gale Group, Inc. 2006. Retrieved 2013-09-24.
- "BJ's president, Weich, to resign; 2nd top-level departure in major Zayre retail unit in June". HFD-The Weekly Home Furnishings Newspaper. 1987-07-13. Retrieved 2013-09-24.
- "BJ's Wholesale Club, Inc.". Hoover's Inc. Retrieved 2013-09-24.
- Smith, Samantha (1997-08-11). "Spin off of BJ's Wholesale Club draws praise from industry analysts". Boston Business Journal. Retrieved 2013-09-24.
- "BJ's Wholesale Club Company Background".
- "BJ's Wholesale Club FY 2008 Annual Report" (PDF). April 10, 2009.
- BJ's Membership Options
- BJ's Rewards Membership
- "BJ's Wholesale FAQs".[dead link]
- Join the Club[dead link] BJ's Wholesale Club
- Jenn Abelson (March 25, 2010). "BJ's confirms '11 Westborough move". The Boston Globe. Retrieved March 27, 2010.
- Matt Egan (January 5, 2011). "BJ's Sales Fall Short; Store Closings Planned". FOXBusiness.
- Karen Talley and Lauren Pollock (January 5, 2011). "BJ's Wholesale Closing Five Stores". My Fox New York. Retrieved January 12, 2011.
- Lisa van der Pool (February 23, 2009). "There's new appetite for peddlers of cheap eats". Boston Business Journal.