Analyses of popular membership programs, what makes them great, and how to implement the best ideas for your own program.
Slightly more than half of Costco’s operating profit comes from membership fees, not merchandise. Here’s how the fee became the product, why that makes the low prices possible, and what a Shopify merchant can borrow without running at cost.
Amazon Prime is often described as a shipping program. But shipping isn’t the real innovation. Prime works because it removes friction from buying. Once customers join, the mental cost of making a purchase drops. Shipping feels free. Delivery feels fast. Buying feels easy. That shift in experience has measurable impact. Research has repeatedly shown that Prime members spend significantly more than non-members. Consumer Intelligence Research…
REI’s membership model is successful because it creates belonging and identity — not because of member rewards. Shopify brands can leverage the same psychology for member retention.
Breaking down the real core value of a Nike-style membership program (hint: it’s not member discounts), and how any Shopify store can implement a similar membership program.