LOS ANGELES — Costco is broadening its range of precious metals offerings by introducing platinum bars for sale.
The retailer is now offering Swiss-made 1 oz. platinum bars for $1,089.99 on its website, with a Costco membership required for purchase. The bar showcases Lady Fortuna, the Roman goddess of prosperity, according to the manufacturer’s website.
Costco has had success with gold bars, selling more than $100 million worth during the first quarter of a recent year. Following this success, the retailer expanded its offerings to include silver coins earlier this year, priced at $675 each with a maximum purchase limit of five per member.
Insight on precious metals investment
It is noteworthy that while gold is currently experiencing record highs in price, platinum’s value has seen a more modest increase compared to gold this year.
Costco’s strategy behind precious metals sales
The move by Costco to offer precious metals is primarily a marketing strategy rather than a significant revenue generator. The retailer aims to reinforce its “treasure hunt” brand image by introducing unique and limited-time items like precious metals, enticing shoppers to revisit the store.
In the words of Costco’s founder, “We try to create an attitude that, if you see it, you ought to buy it because chances are it ain’t going to be there next time. That’s the treasure-hunt aspect. We constantly buy that stuff and intentionally run out of it from time to time.”
Future developments at Costco
A new Costco store with 800 apartment units recently broke ground in Los Angeles, showcasing the retailer’s continued expansion and diversification.
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