Guide to Sams Club and Costco Pallet Displays will help you through your retail marketing compaign. Pallet displays play a crucial role in driving sales and enhancing the shopping experience in warehouse clubs like Sam’s Club and Costco.
These displays not only showcase products effectively but also adhere to specific guidelines that optimize their functionality and visual appeal.
This guide dives deep into the requirements, best practices, and trends for creating pallet displays tailored to these retail giants.
Sam’s Club Packaging Process
Pre-selection Stage:
-All suppliers should be prepared with the initial packaging intake sheet during initial meetings. Sam’s packaging team will not review the items until they are closer to commitments unless specific support is needed.
When Items Are Closer to Commitments:
-Complete the Intake Sheet to include the packaging details as well as the pallet configuration.
-Once completed, please forward the sheet to Sam’s Club Packaging for review.
-Preferred packaging suppliers are available to help with detailed packaging design, as needed.
ISTA Distribution Testing:
For Sam’s US and Mexico, use the ISTA-6SC testing protocol.
For Sam’s Dotcom, Sam’s modified 6-FEDEX is required.
-A “Pass” rating from the test is necessary before final approval is granted on the packaging and pallet configuration. This approval is also required before Sam’s Club can authorize shipments to begin.
-Sam’s Club authorizes shipments based on testing performance. Authorization does not remove any liability from the Product Supplier or the Packaging Supplier, as per previously signed contracts with Sam’s Club.
-Suppliers should review all details in this document and the complete Sam’s Club Packaging Standards. Suppliers know the details of their product and supply chain and must incorporate this knowledge into the recommendations for their final packaging.
For detailed information, please access the Retail Link site map and search for “Sam’s Club Packaging Standards.”
Sam’s Club Packaging Best Practices
When designing your packaging soution, you should consider if it meets these criteria:
Easy to Identify: Is the associate able to visually locate your product in the steel or in the back room when resotcking?
Easy to Open: Can the case be quickly and safely opened without additional tools?
Easy to Shop: Is the product easily removed from the pallet and not trapped by secondary packaging? Are all of the product varieties accessible?
Easy to Dispose: Are material recyclable, reusable by the member or easy to break down? Have you added How2Recycle labeling?
Certainly! Here is the information arranged in a table format:
| Sam’s DC | In-Club Execution | Member Facing | Member Use | |
|---|---|---|---|---|
| Easy to Identify |  |  |  |  |
| Easy to Open |  |  | ||
| Easy to Shop |  |  | ||
| Easy to Dispose |  |  |
Sam’s Club General Display Criteria
A. Pallet Requirements:
-Must be a Grade A 40”x48” GMA Hardwood Pallet with a maximum loaded weight of 2,100 lbs.
-CHEP, PICO, RM2, and IGPS pallets are also acceptable.
-Block pallets are required for pallets over 2,100 lbs.
B. Minimum Distribution Height:
-The minimum distribution height is 30” including the pallet, unless otherwise specified.
C. Maximum Distribution Height:
-The maximum distribution height is 52” including the pallet, unless otherwise specified.
D. Shoppability:
-Trays of products should be member-facing when displayed at the club.
-The pallet must be shoppable from three sides; however, consult category guidelines for any exceptions.
E. Display Base Structure:
-False bottoms are not acceptable.
-Pallet skirts are not acceptable.
-Extra pallets will be provided in the club as needed.
F. Display Filler:
-Fillers should be utilized when additional graphic space is needed or when the product does not fully cube a pallet.
Sam’s Club PDQ Display Stacking Features
A stacking feature is an element of the display design which adds strength and stability.
PDQ Fillers
A filler is an additional compnent folded and added to the tray to add additional structure.
Corner Supports
Corner supports can be accomplished a variety of ways but all span the corners of these case to add stability and strength.
Center Divider
A center divider can be used to stop the front lip of a tray from failing, typically used with longer trays or heavy products.
Bumpers
Bumpers are formed when assembling the display and add stability, preferably for lighter weight products.
Sam’s Club Pallet Display Construction
Weight
-Total weight of tray/case should not exceed 50lbs. If it does, be sure to include the Team Lift Lable.
Product Accessibility
Trays should be stacked, display ready, so the pallet can be featured:
-Prefer pallets to be 3-side shoppable but consult category guidelines for exceptions
-Dividers should be utilized to contain vertically unstable product
-Displays and dividers should not result in product being trapped in the display or leave it unshoppable.
Material Selection
-Packaging must be designed so that it will withstand the supply chain.
Minimum Corrugate Board Grade
-200lb Mullen or 32 ECT B-Flute.
Sam’s Club Display Divider Guidelines
When dividers must be used to provide compression strength, selling units should not be trapped inside cases or blocked dividers.
Center Divider
A center divider can be used to stop the front lip of a tray from failing, typically used with longer trays or heavy products.
Die Cut Divider
A die cut divider can be added to a display to minimize side walls and increase product visibility. Die cut dividers should have windows so that all product is visible.
Poor Practice
Dividers should not be designed such that they block visibility when the front facing of product is sold.
Sam’s Club Pallet Display Configurations
All product must be able to support weight and pass the stacking requirements outlined in ISTA6-Samclub testing.
Max Weight
-Individual pallet load weight must not exceed 1133.98kg (2500lbs) including pallet.
Non-Palletized Freight
-Product will still be placed into pallet configuration at the Import DC. Supplier must provide the illustrated pallet pattern at the back of the load for Import DC to use.
Shoppability(Member Facing Product)
Member should be able to remove product from all sides of pallet when displayed in an end cap or POD.
- 2 Sides Shoppable
- 3 Sides Shoppable
4 Sides Shoppable Undivided
4 Sides Shoppable Divided
Club Ready Pallets/Units
All pallets must arrive club ready. After shipping materials (such as shrouds, corner posts, etc.) are removed from the pallet, the products are immediately sellable
Therr should be no additional handling by club associates
Items should also be easily replenished from the steel, without requiring hand-stacking.
False Buttoms and Chimmey
False Bottoms
False bottom pallets are strictly prohibited – No Exceptions.
A “false bottom” is defined as a unit with a designed air cavity under the merchandise that supports the unit above the floor level. False Bottom Pallets do not meet the structural guidelines and can result in structural failure. This could result in injury, loss of product and loss of life.
Chimneys and Void Space
When used, pallets must maintain stackability.
When Void Space exceeds 15% of the pallet footprint (up to 2sq.ft.), load bearing fillers are required.
Chimney should be located in the back center of the Pallet.
Sam’s Club Shipping Unit Dimensions
Height and Weight
- When shipping merchandise your first concern should be cubing out the container as long as the items can support the weight.
- Total hegith must not exceed 46.6”, during distribution.
- Suppliers are required to properly block and brace all shipments to withstand their rigors of transportation from their ship oint location to the IDC.
- Cases must be secured within the shipping unit.
- Do not use adhesive to glue cases together within shipping unit.
Fiber corner boards
- In order to increase recyclability, Sam’s Club strongly encourage the use of corner boards made of 100% plastic or 100% fiber. Mixed material corner boards such as composite or those with a metal or plastic interior and fiber exterior cannot be recycled from Sam’s DCs and clubs.
- Can be unwrapped (natural fiber) or wrapped (white)
- Prefer no logos or other colors
- No metal or composite materials
- Suppliers have the responsibility to ensure length, width and thickness of corner board is designed to properly protect and support the product.
Length and Width
- Merchandise must maximize the volumn of space allotted and limit the air space of the unit.
- MAXIMUM FOOTPRINT for CLUB-READY UNITS is 40.5”x48.5”
- Underhang is permitted: Up to 3” total (minimum footprint 37”x45”)
No overhang
Do not exceed 3” underhang
Sam’s Club Slip Sheet Guideline
Slip sheets for direct imports:
Unitized loads shipped on slip sheets to Sam’s distribution centers are allowed only under the conditions below.
- Slip sheets can be used for certain approved items when trailer cube utilization is a significant factor. If your item weighs out before it cubese out on a trailer, a pallet is requried.
- Slip sheets must have at least 4” flaps on two adjacent sides and be made of quality corrugated board, solid fiber, or plastic, which can be pushed or pulled repeatedly without damage.
- Use slip sheets that allow you to stack the merchandise on a 48.5”x40.5” footprint with no overhang so the load can be placed on a 48”x40” pallet and moved within the DC. Minimum footprint is 45”x37”.
- Stack merchandise on slip sheets as you would pallets using the same standards. Maximum height is 46.5”.
- The DCs will use slip sheet equipment to handle units that arrive on slip sheets. However, if the slip sheet is compromised or is of poor quality, be aware that clamping methods will be used.
Sam’s Club Tertiary Packaging General Guidelines
- Do not tack heavy products on top of light products. Product must be stacked properly to avoid damages.
- Product stacked on pallets cannot be leaning or appear unstable.
- Product cannot be configured on the pallet such that it falls over when moved with a fork lift or when the stretch warp is removed while in the DC racks.
- Edge protectors are used to protect product from banding.
- A top cap and shroud are used for additional strngth, lateral stability, and stacking protection.
- The shroud height must be the exact height from floor to the top of the display. Leaving air space between the display and shroud can causing a collapse during shipment.
- Shrouds must withstand clamping pressure.
- Direct imports are often handled via pallet clamping.
- Use plastic straps to secure display ad shroud to pallet.
- Do not use metal bands, clasps or seals.
- Four fiber corner boards are used for additional stacking strength.
- Stretch wrap is used to keep all display components secure during shipping.
Sam’s Club Double Stacking
Double Stacking Outbound
- Sam’s Club will ship double stacked pallets in a trailer from DCs to clubs
- Product will be double stacked, possibly with heavy product on the top of the stack.
- It is not acceptable for pallets to be lableed “DO NOT DOUBLE STACK” or any similar verbiage.
- Product must be designed to double stack. Even if your product weighs out a truck, it will be double stacked somewhere ini the supply chain.
Lightweight pallet
Pallet configurations weighinig under 750lbs.
- The bottom layer of the pallet must be capable of supporting an additional 1500 lbs. without crushing, bending or tearingn the merchandise or packaging throughout the entire supply chain process.
Heavyweight pallet
Pallet configurations weighing over 750lbs.
- The bottom layer of the pallet must be capable of supporting an additional 2500lbs. without crushing, bending or tearing the merchandise or packaging throughout the entire supply chain process.
- Individual pallet load weight must not exceed 2500lbs., including pallet.
Understanding Pallet Displays
What are Pallet Displays?
Pallet displays are point-of-purchase retail displays designed to sit directly on standard pallets. They serve as versatile platforms for showcasing products, maximizing visibility, and driving impulse purchases.
Some creative examples include pallet beer can displays for beverage sections or pallet bike tire displays for sporting goods.
Importance of Effective Design
Effective pallet display design is a game-changer. A well-designed display:
Captures shopper attention.
Communicates brand identity.
Facilitates easy navigation and access.
Pallet Display Requirements
Pallet Specifications
Standard Dimensions:
48″ x 40″ pallets are used in both Sam’s Club and Costco.
Height Restrictions:
Costco: Maximum 58″ in-store; 52″ for double stacking.
Sam’s Club: Maximum 60″ in-store; 52″ for double stacking.
Weight Capacity
Costco: Supports up to 2,500 pounds.
Sam’s Club: Supports up to 2,100 pounds.
Shoppability and Accessibility
Shoppable Sides
Costco: Displays should be accessible from three sides, with the main facing on the 48″ side.
Sam’s Club: Displays should be accessible from either the 48″ or 40″ side, with the main facing on the 40″ side.
Pallet Skirts
Costco: Prefers butterfly-style skirts for aesthetics.
Sam’s Club: Does not allow pallet skirts.
Compliance and Safety Standards
Inspection and Quality Control
Displays must undergo a thorough visual inspection upon delivery to ensure quality and compliance.
Durability and Handling
Costco: Requires block pallets for added stability and durability.
Best Practices for Creating Effective Displays
Design Techniques
Reverse-engineering is encouraged to facilitate a successful pallet load footprint.
Leverage strong branding with consistent colors and logos.
Use the “billboarding” technique to create an impactful visual impression.
Explore creative options such as pallet board store display ideas or pallet box trade show displays for unique setups.
Packaging Compliance
Ensure products adhere to ISTA standards to maintain packaging integrity during transit.
Future Trends in Pallet Displays
Sustainability in Materials
With increasing focus on sustainability, both Costco and Sam’s Club are pushing for eco-friendly display solutions. Corrugated cardboard displays remain a preferred choice due to their recyclability and cost-effectiveness.
Retailers are also exploring hybrid materials, combining cardboard with minimal plastic for added durability.
Enhanced Design Capabilities
Advances in digital printing and 3D rendering allow for more intricate and visually striking pallet display designs.
Brands can now preview their pallet display rack or pallet display table setups virtually, ensuring alignment with retailer specifications before production.
Modular and Reusable Displays
Retailers are emphasizing modular display systems that can be easily reconfigured or reused for different promotions.
For example, a 1/4 pallet display might be converted into a counter-top stand for smaller campaigns.
Additional Use Cases
Pallet displays cater to diverse needs, such as:
Pallet cardboard displays for lightweight, eco-friendly solutions.
Pallet counter top displays for soaps to highlight smaller items effectively.
Pallet covers for point-of-purchase displays to protect products while maintaining visibility.
Pallet display bins to encourage self-service and easy access.
Conclusion
Sam’s Club and Costco pallet displays are essential tools for driving sales in warehouse club environments.
By adhering to the specific requirements and leveraging best practices, brands can create impactful displays that resonate with shoppers and meet retailer expectations.
