Shoppers enticed by Costco’s $1.50 hot dog and soda combo, which has stayed the same price since 1985, but not by the wholesale store’s $60 annual membership fees may be out of luck — the company is making its food court “members only.”
And there are reports that Costco is already taking steps to enforce the policy at certain locations. A Reddit user posted on Thursday that at a Costco location in Conroe, Texas, the person at the door checking receipts wanted to see the food court receipt.
Earlier this month, a Costco location in Orlando, Florida posted: “Effective April 8, 2024, an active Costco membership card will be required to purchase items from our food court.”
Related: Costco May Start Requiring Members to Scan ID to Enter U.S. Warehouses
In January, a Costco in Issaquah, Washington went further than ever to enforce a member-only space, by asking members to scan their cards before entering the warehouse.
Costco Kirkland Signature $1.50 hot dog and soda combo, which has maintained the same price since 1985 despite consumer price increases and inflation, at the food court outside a Costco Wholesale Corp. store on June 14, 2022 in Hawthorne, California. Photo by Patrick T. FALLON / AFP
According to Costco’s earnings report from fiscal year 2023, memberships generated $4.58 billion in profit, which is 73% of Costco’s net profit of $6.29 billion.
Statista data shows that the 2023 figure was an increase from the $4.22 billion generated by Costco memberships in 2022 and the $3.88 billion that memberships brought in for the company in 2021.
Costco memberships start at $60 per year for a Gold Star or business membership and go up to $120 annually for an executive membership. Costco has not raised the cost of memberships for 7 years, since 2017.
Related: Costco CFO Reveals Uncertain Fate of $1.50 Hot Dog and Soda Combo
The post originally appeared on following source : Source link
