Is Costco the next healthcare disrupter?
Article excerpt
Costco, the Issaquah, Washington, warehouse giant, has announced that it is moving into healthcare, a product that is not neatly stacked in a warehouse aisle and will not fit in an oversized cart. Picture a typical shopper’s reaction: “Costco is where I go when I need a few batteries or a can of peaches. I leave the store with a pallet filled with items I never thought I needed and struggle to fit into my oversized SUV. I love the experience, but why would I ever trust a warehouse store with my most important need: the health of my family and me?” The answer is simple: Costco is a disrupter that is beloved and trusted. Its reputation as a disrupter of retail and beyond is well earned. Just about everything in shopping in a large store has been transformed by the warehouse giant: Costco has built its reputation through trust and a deep understanding of its customers. It has a ridiculously generous return policy; it is not uncommon to see customers returning items bought years earlier. Regardless of inflation, Costco stands for value, maintaining loss leaders like the famous $1.50 hot dog and soda combo and the $4.99 rotisserie chickens. More than 140 million individual cardholders rely on Costco because of an unwavering trust in the quality of its merchandise and services, paired with the conviction that the company will stand behind its products no matter what. In a world of...
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Costco and SCAN plan to sell co-branded Medicare Advantage plans in two states and a Medicare supplement plan in a third, pending federal approval.
