Policies and Procedures

The above table is for a quick reference only. There is more information in this page than the table displays. Please scroll through this entire page for a more complete understanding of the information provided.

New Vendors

Dear New Vendor,

Thank you for your interest in Club Demonstration Services, Inc. (CDS). CDS's mission is to provide high quality product demonstration and marketing services to Costco Wholesale customers, with the intent of improving sales through promoting product trial in a friendly, professional style. CDS is an in-house demonstration company exclusive to Costco Wholesale. We abide by and adhere to all Costco policies and standards. Our intention is to create lasting customer awareness that will increase sales, not just during the demonstration, but for months to follow.

Before any request for demonstrations will be processed, the Demonstration Agreement, Credit Application and Vendor Information Sheet must be completed, signed and faxed to Felicia Mosley at (858) 581-8810 or emailed to fmosley@daymon.com.  Please print the New Vendor Packet for your reference.

(The above links will take you to a page that you must print, sign and fax to the appropriate scheduling coordinator)

You will be notified by your scheduling coordinator  when your account has been approved. Once approved, you must complete a Scheduling Request Form to schedule demonstrations and a Demonstration Product Information Sheet (DPIS) on each item you would like to have demonstrated.  Please allow a minimum of two weeks to process your paperwork.

Credit is generally approved within 48 to 72 hours of receipt of the paperwork.

Established Vendors

Once you are established, you will only have to send in a completed Work Order and a Demonstration Product Information Sheet (DPIS) for new items.

Established Vendors may direct their demonstration requests to the Scheduling Department by completing an Scheduling Request Form or  fax/mail a written request. Phone requests must be followed by a completed Scheduling Request Form or a written request that must be faxed to the appropriate scheduling coordinator the same day the order is placed.

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Requests must be made a minimum of TWO WEEKS prior to the demonstration date. Advanced scheduling is strongly suggested; vendors are normally scheduled on a first come, first served basis.

Days of the Week Policy

Vendors may request specific demonstration dates; however, Club Demonstration Services has been directed by Costco Wholesale to maintain balanced demonstration activity throughout the week. Members shop every day of the week, and demonstrations sell product on Monday as well as Saturday.

For every weekend demonstration scheduled, Vendors must perform a demo on a weekday. PLEASE NOTE: COSTCO HAS DETERMINED IN ALL REGIONS OF CDS, THURSDAY THROUGH SUNDAY ARE CONSIDERED WEEKEND DATES.

Road Shows are exempt from the days of the week policy.

Rescheduling Policy

The demonstration may not occur on the scheduled date due to no product, low stock, untimely arrival of drop shipments, staff illness, weather, etc. The CDS Warehouse Supervisor will automatically reschedule the demonstration.

CDS is authorized by Costco Wholesale to perform the demonstration within 14 days of the originally scheduled date. If the demo can not be performed (usually due to no stock or low stock) in that time period, the demonstration is permanently canceled.

It is possible that a weekend date demonstration could be rescheduled to an early weekday and vice versa.

Confirmations - How do I know if my work order has been processed?

Vendors will receive an emailed confirmation indicating demonstration dates, warehouse locations and the scheduled item.  The Vendor is accountable for addressing date, item or warehouse discrepancies with the Scheduling Coordinator within 72 hours after receipt of confirmation.

If you do not receive a confirmation within 72 hours of your request to schedule, please call the applicable SCHEDULING OFFICE.

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Cancellation Policy

Club Demonstration Services requires 72 hours notice for all cancellations. Any demonstrations that are performed because of the short cancellation notice will be due and payable by the Vendor.

Changes/Additions

CDS will not be held accountable in the event that an addition or change to the demonstration program was not performed because the request was made in less than 72 hours before the demonstration date.

Regular Demonstrations

One item is promoted for the entire demonstration. Each regular demo counts as "1" when fulfilling your demo commitment.

Split Demonstrations

A split demonstration is comprised of two items that complement or enhance each other and can be demonstrated effectively by CDS Sales Advisors.  Please keep in mind that a split demo counts as a “½” or “.5” demo when fulfilling your demo commitment.  Due to labor and product costs, a split will not be half the cost of a regular.

CDS will not call vendors and coordinate split demonstrations.  A Split Partner List of contacts, phone numbers, and recommendations for partners interested in a split demonstration is offered by CDS. 

We reserve the right not to schedule a split demonstration that is not meaningful.  You will be contacted, if this should occur, by a CDS representative.

Combination (Combo) Demonstrations

Vendors representing multiple products may demonstrate a maximum of two items during any demonstration subject to approval by CDS. These products will be rotated throughout the demonstration. In this situation only, a "combo" demo would be exempt from the split criteria whereby they may not be complementary. Please keep in mind that a combo demo counts as "1" demo when fulfilling your demo commitment; each item does not count as a separate demo. The demo costs are allocated between the items scheduled on your invoice.

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Demonstration Samples - CDS makes it easy – we purchase your samples at the Costco location!

The CDS Supervisor will purchase all demo samples essential to perform a successful six (6) hour demonstration.   He/She will purchase samples based on the day of the week and number of members who shop that day.  CDS Supervisor will purchase sample product at the Costco retail price.  Product purchased for samples are included in the daily sales report reviewed by Costco Buyers regularly.         

• Ample Sample: Experience has proven to CDS and Costco Wholesale that the larger the sample, the odds are the member will buy the product. When budgeting for your event program, please take into consideration that CDS will  serve a two bite or two gulp sample.  For example – a beverage will be served in a 2 oz. cup, cheese – cut into one inch by one inch cube, bacon – ½ strip of bacon, meat - one inch by one inch.

Demonstration Kits

Costco Wholesale prefers Vendors not send aprons.  Sales Advisors who handle and serve food must wear a hairnet. The Sales Advisor may wear a hat or visor with the hairnet. Please note - the hat or visor is not a substitute for the hairnet.  CDS Sales Advisors are required to wear a white blouse or shirt (with collar), black slacks, a teal apron, a hairnet and a visor or ball cap.

Demo kit effectiveness:  Send only props that will enhance the event presentation – 8” by 11” point of purchase sign, recipe cards, additional information tear off pads, brochures, instructional photos of set up.  Do not include any material that would portray the competition in a negative way.  Discuss the contents of the demo kit with the CDS Sales Manager before it is shipped to the location

Invoice Payments and Prepay Policy

Invoice payments from Australian vendors must be made in Australian dollars to:

PREPAY: Vendors may prepay for demonstrations in lieu of submitting the credit application or denial of credit. Monies must be received by CDS 14 days prior to demonstrations. Monies not received 14 days prior to demonstrations will result in the cancellation of your demonstrations. Prepayments need to be wire transferred as noted above to:

Club Demonstration Services Inc., Australia
Westpac Institutional Bank
Level 1, Westpac Place, 275 Kent Street
Sydney, NSW 2000

INVOICE INQUIRIES: All invoice inquiries should be directed to the Billing Department.

We look forward to working with you.  Thank you for your business!

We are always looking for ways to improve our service to you. Please feel free to call us with your suggestions, comments or questions. We look forward to a long and mutually beneficial relationship with you and your company. Visit our Feedback page and let us know what you think.

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