PriceSmart, Inc. (NASDAQ: PSMT) is the largest operator of membership warehouse clubs in Central America, the Caribbean and Colombia. We serve over 3 million cardholders at 41 owned and operated warehouse clubs in 12 countries and one U.S. territory. PriceSmart was pioneered by Sol and Robert Price, founders of The Price Club; Robert Price is Chairman of the Board. PriceSmart is based in San Diego, California with a distribution facility in Miami, Florida.
PriceSmart’s membership club model is similar in many respects to U.S. clubs like Costco and Sam’s, with some differences:
- Smaller store size (33,000 to 62,000 sq. ft.) to align with the size of the markets in which we operate.
- Lower membership fees – average $35.00.
- Merchandise tailored to local preferences as well as for retail and wholesale customers.
Currently, PriceSmart’s 41 warehouse clubs can be found in the following countries: Colombia (7), Costa Rica (7), El Salvador (2), Guatemala (3), Honduras (3), Nicaragua (2), Panama (5), Aruba (1), Barbados (1), Dominican Republic (4), Jamaica (1), Trinidad and Tobago (4), and U.S. Virgin Islands (1). Additionally, PriceSmart has acquired property and is currently developing warehouse clubs in Santiago, Panama and Santo Domingo, Dominican Republic that are expected to open in the spring of 2019. PriceSmart also plans to open warehouse clubs in San Cristobal, Guatemala and an additional club in Panama City, Panama, in the fall of 2019. Once these four new clubs are open, the Company will operate 45 warehouse clubs.
PriceSmart also operates a cross-border logistics and e-commerce business through Aeropost, Inc. (“Aeropost”), which was purchased in March 2018. PriceSmart is utilizing the technology and talent it acquired through Aeropost to invest in and further develop omni-channel capabilities to allow its members alternative ways to shop. Aeropost operates directly or via agency relationships in 38 countries in Latin America and the Caribbean, many of which overlap with markets where PriceSmart operates its warehouse clubs, and has distribution and administration facilities in Miami, Florida.
PriceSmart believes it is well positioned to profit from the growth in developing markets due to its purchasing power and experience with membership warehouse clubs in these areas.