Sam’s Club, the membership-only warehouse chain owned by Walmart, is embarking on a significant transformation aimed at doubling its membership and more than doubling sales and profit over the next eight to ten years. This ambitious plan was unveiled at Walmart's 2025 Investment Community Meeting, where Chris Nicholas, Sam’s Club president and CEO, emphasized the company’s strategy of enhancing membership, expanding both physical and digital capabilities, and providing a seamless shopping experience for its members.
"This is one of the fastest, most scalable transformations happening in retail today," Nicholas stated. "We’re investing with intention—in our fleet, our associates, and the member experience—to become the world’s best club retailer." As part of this strategy, Sam’s Club plans to remodel all 600 existing locations and open 30 new clubs across the United States and Puerto Rico.
The remodel will notably eliminate traditional checkout lanes, transitioning to an AI-powered system that requires customers to use the "Scan & Go" feature available on the Sam’s Club mobile app. Customers will be able to scan items as they shop, pay through the app, and exit the store without interacting with cashiers. This shift aims to streamline the shopping experience, making it faster and more efficient.
However, the move to phase out traditional and self-checkout lanes has sparked some controversy. Customers have expressed concerns over the need to download another app and have raised questions about the reliability and speed of the new system. For instance, while "Scan & Go" has the potential to reduce wait times, some users have reported glitches that can slow down the checkout process.
"At Sam’s Club, we're constantly exploring ways to enhance the member experience by removing friction and making shopping more convenient," a spokesperson for the company explained. The spokesperson added that the retailer is committed to maintaining a strong workforce, with over 100,000 associates who will continue to play a vital role in the company’s operations.
Sam’s Club is also expanding its digital capabilities by leveraging Walmart’s enterprise fulfillment network and technology platforms. This expansion will allow the retailer to scale its eCommerce presence, enabling membership growth beyond its physical locations. "We are not limited by our physicality—we are enabled by it," Nicholas remarked.
In addition to the remodeling and digital enhancements, Sam’s Club is focusing on improving employee engagement and operational efficiency. Recent investments in wages and career progression opportunities have been made to ensure that associates are prepared for the evolving retail landscape. According to the company, these efforts have resulted in improved engagement among employees.
As part of its growth strategy, Sam’s Club is also targeting a younger demographic. Recent data indicates that Gen Z and millennials account for about half of the new member growth, which is crucial for the long-term sustainability of the business. The company is utilizing data analytics to create personalized shopping experiences, such as geo-targeted alerts for promotions and tailored product recommendations based on shopping habits.
"We’ve learned that connection is at the heart of every shopping journey, giving us confidence that experience will be a key differentiator for Sam’s Club going forward," said Diana Marshall, executive vice president and chief experience officer at Walmart. She emphasized that the integration of technology and data will enhance the overall member experience.
In a related development, Sam’s Club recently opened a new 1 million-square-foot distribution center in Jacksonville, Florida. This facility will serve 18 locations across Florida, Georgia, and South Carolina, as well as seven clubs in Puerto Rico. Located just ten miles from the Port of Jacksonville, the distribution center will also handle imported goods for delivery to other distribution centers in the Southeast.
With these ambitious plans, Sam’s Club is positioning itself for significant growth in the competitive retail landscape. The company is confident that by enhancing the member experience and leveraging technology, it can capture a greater share of the expanding club channel. "We’ve built the foundation. Now, we’re accelerating," Nicholas concluded.
As Sam’s Club embarks on this journey of transformation, it remains to be seen how customers will adapt to the new shopping experience and whether the elimination of traditional checkout lanes will ultimately enhance or hinder their overall satisfaction.
