Asubtle subtle
revolution
Reinventing Costco’s
photo-processing
business
By David Wight
IF YOU COULD TRAVEL BACK in time to 1998, what might be one of the
biggest differences you would notice about your local Costco back then?
The 1-Hour Photo lab is a sure bet. Here’s an ancillary business that
today exists in just about every Costco warehouse worldwide, cranking
out more than 1. 3 billion photo prints per year.
But most of the products that 1-Hour Photo delivers today were not
on the menu 10 years ago. This business has engineered a total yet
smooth metamorphosis, nimbly keeping pace with sweeping changes
in the camera and photo-processing industries while providing new
member-friendly alternatives for photo services. Here’s a look.
FRANCE FREEMAN
