REI changed about 25 years ago and it took a while for people to notice/the changes to filter through enough. Was talking recently about similar changes with MEC in Canada with a family friend who joined MEC as member 200-250. He had a chance to be in the first ~25 members but wasn't sure they'd still exist in a year.
I think there still is value in a retail coop model but I think REI strayed from the area where it could work well. They may not have been able to run forever without changing but the way it has changed is a bit sad to see. I suspect there has to be a strong mission statement and way to hold to it for a retail coop to thrive long term. Or maybe just to keep the size small enough to avoid some of the harder questions.
I think there still is value in a retail coop model but I think REI strayed from the area where it could work well. They may not have been able to run forever without changing but the way it has changed is a bit sad to see. I suspect there has to be a strong mission statement and way to hold to it for a retail coop to thrive long term. Or maybe just to keep the size small enough to avoid some of the harder questions.