Question · Q3 2026
Pedro Gale, on behalf of Simeon Gutman from Morgan Stanley, inquired about BJ's Wholesale Club's digital business growth, its retail media initiatives, and the company's strategy regarding AI opportunities in e-commerce, including agentic commerce, AI shopping assistants, robotics (Tally), and automated distribution centers. He also asked about the competitive environment, merchandise margin trends, and investment priorities for next year.
Answer
Chairman and CEO Bob Eddy detailed the digital business's robust growth (30% in Q3, 61% two-year stack), emphasizing convenience and club-fulfilled sales. He highlighted the growing retail media program and the extensive use of AI, from coding efficiency to consumer-facing tools like shopping assistants and predictive lists. He specifically mentioned Tally robots for inventory accuracy, digital twins, and optimizing BOPIC pick paths (40% more efficient). He also noted the upcoming automated distribution center in Ohio. CFO Laura Felice added that Tally's data aids planning and allocation, improving in-stock levels. Bob Eddy reiterated the commitment to investing in member value, balancing margin and value, and prioritizing value for long-term business operation.
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