Costco has experienced growth in its Costco Logistics delivery service for big-and-bulky products like appliances and furniture over the last 12 months, according to a Dec. 12 earnings call.
In the company’s fiscal Q1 2025, which ended Nov. 24, 2024, Costco Logistics completed almost 1 million deliveries. The service also made 196,000 deliveries in the week prior to the earnings call.
“We are now able to predeploy things around the U.S. and have deliveries made in four days, which a couple of years ago would have taken us two weeks,” President and CEO Ron Vachris said.
The recent surge builds on growth during fiscal 2024 for Costco Logistics. The service delivered more than 4.5 million big-and-bulky items during fiscal 2024, up 29% from the prior fiscal year, Vachris said during a Q4 earnings call in September.
With the company continuing to improve delivery times and scheduling functionality, Vachris said in September that big-and-bulky items would continue to be critical to its e-commerce growth in 2025.
Costco’s big-and-bulky delivery push began when it acquired third-party logistics provider Innovel Solutions in 2020 in a bid to gain more control over its delivery process amid a pandemic-fueled e-commerce boom. The $1 billion acquisition of the middle- and last-mile carrier enabled Costco to bring big-and-bulky deliveries in-house after contracting the delivery of some larger items to Innovel since 2015.
