Freshippo, the Alibaba-owned grocery chain, will close all of its warehouse-style membership stores by the end of August, according to Chinese media outlet Caixin. Why it matters: Warehouse-style membership stores modeled after Costco and Sam’s Club have gained traction in China as traditional supermarkets face mounting pressure from sluggish consumer demand and e-commerce competition. A person familiar with the matter told Caixin that X Memberships, which provided access to both membership and standard Freshippo stores, can either be refunded or used at non-membership locations. In 2024 alone, 72 new Freshippo Supermarkets were opened – one-third of them in lower-tier cities and counties. It mainly sells near-expiry and damaged fresh goods from nearby Freshippo Supermarkets, while also expanding its private-label offerings.