BJ's Wholesale (BJ) Boosts Digital Services With Partnerships
With consumers increasingly resorting to digital transactions, BJ's Wholesale Club Holdings, Inc. BJ continues to focus on strengthening its omni-channel offerings and rolling out new digital services. Progressing along these lines, the company entered into a three-year exclusive agreement with CommerceHub, a leading e-commerce platform that enables online order fulfillment and delivery solutions. Also, the company entered into a partnership with Citizens Pay for providing customers with improved online financing solutions for large purchases.
Investors have reacted positively to these developments, as shares of the company rose nearly 7% during the trading session on Jan 27. Markedly, this Zacks Rank #3 (Hold) company’s shares have surged 18.1% in the past three months compared with the industry’s rise of 10.6%.
Efforts to Strengthen Digital services Looks Prudent
As online order volumes continue rising, it becomes essential to ensure proper execution of fulfillment and delivery operations. This ensures continued supply chain movement alongside enhancing customers’ shopping experience. BJ's Wholesale partnered with CommerceHub in order to meet such targets.
Markedly, CommerceHub’s superior expertise in online order delivery fulfillment and execution will help bolster BJ's Wholesale’s drop-ship network and expand its online business. We note that BJ's Wholesale is committed toward bolstering its delivery services. In this context, the company has put in place facilities such as curbside pickup, buy online pick-up in club, same-day delivery and more. Additionally, the company is boosting website and mobile application features along with providing digital coupons.
In a separate release, the company announced its partnership with Citizens Pay. With online shopping gaining prominence, customers look for simple and affordable payment solutions, especially in case of large purchases. BJ's Wholesale’s collaboration with Citizens Pay is intended to fulfill such needs.
The flexible and convenient financing solutions offered by Citizens Pay are likely to help BJ's Wholesale’s members in making large ticket purchases alongside everyday items. With such point-of-sale financing facility, members will be able buy items like televisions, appliances, bedroom set and home furnishings with low monthly installments. The facility enables shoppers to buy items through a virtual line of credit, which can be used for repeat purchases without a new credit application or multiple loans. This is likely to boost BJ's Wholesale’s online sales and average order value.
The company will launch the Citizens Pay facility during the first quarter this year, for orders placed on BJs.com for delivery and with buy online, pick up in-club or curbside pickup. During the second quarter, the company will expand the Citizens Pay facility to include financing for in-club purchases with the BJ’s Mobile App.
Clearly, BJ's Wholesale is undertaking every effort to enhance customer’s online shopping experience. Such efforts are expected to keep fueling the company’s online sales. Additionally, the company also focuses on simplifying assortments, expanding into high-demand categories and building own-brands portfolio. Cumulatively, these endeavors have been contributing to growth in membership signups and renewals. That said, the company is well poised to continue with its growth momentum in the forthcoming periods.
Check These 3 Key Picks
Rent-A-Center, Inc. RCII, a Zacks Rank #2 (Buy) stock, has a trailing four-quarter earnings surprise of 12.9%, on average. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Central Garden & Pet Company CENT, with a Zacks Rank #2, has a trailing four-quarter earnings surprise of 174.2%, on average.
Deckers Outdoor Corporation DECK has a long-term earnings growth rate of 18.6% and a Zacks Rank #2.
Just Released: Zacks’ 7 Best Stocks for Today
Experts extracted 7 stocks from the list of 220 Zacks Rank #1 Strong Buys that has beaten the market more than 2X over with a stunning average gain of +24.9% per year.
These 7 were selected because of their superior potential for immediate breakout.
See these time-sensitive tickers now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
RentACenter, Inc. (RCII): Free Stock Analysis Report
Deckers Outdoor Corporation (DECK): Free Stock Analysis Report
BJs Wholesale Club Holdings, Inc. (BJ): Free Stock Analysis Report
Central Garden & Pet Company (CENT): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.