COSTCO shoppers can expect to pay a little more for their membership starting this fall.
The retail giant is set to increase its membership fee by $5, beginning September 1.
Costco will be raising its membership fees beginning September 1
The last time membership rates increased was in 2017
The increase will see customers pay $65 from the normal $60 rate for the annual membership.
This is the membership-based warehouse club’s first price hike since June 2017.
Costco usually raises membership prices every five and a half years and last raised the price from $55 to $60.
Customers who purchased the higher-tier plan called the Executive Membership can expect to pay $130 instead of the usual $120.
SHOPPERS WEIGH IN
Costco shoppers have stormed to social media to share their thoughts on the change.
“Saw this coming after getting unexpected $1.00 raise yesterday. The surprise is that it only took one day,” wrote on shopper on Reddit.
“I’ll eat 10 extra hot dogs per year to balance out additional $10 annual fee increase,” joked a second customer.
“Costco’s membership price hike is GENIUS, Nobody is going to cancel their membership over $5-$10, And they are going to get a boatload of more money,” raved a third on X.
Another shopper added they’re “conflicted” but understood why the wholesale warehouse it making the move.
“$5 isn’t exactly what I’d call a hike,” claimed a fifth shopper.
Costco shopper ‘def canceling membership’ after price change ‘wipes out’ savings – it’s set to hit 52 million members
Costco revealed that the price hike is set to affect around 52 million members with half being executive memberships.
After the announcement stock prices for the company soared over 2%.
The retail giant can keep merchandise costs low because most of its revenue comes from membership-based fees.
Costco’s rival Sam’s Club also offers membership-based fees at a lower cost.
Sam’s Club members pay $50 annually while higher-tier “plus” members pay $110.
Costco membership tiers
COSTCO offers customers the option to purchase three different types of memberships.
Gold Star membership – The Gold Star membership costs $60 and can be used at all Costco locations. It also includes a Household Card.
Business membership – The Business membership costs $60 and is valid at all Costco locations worldwide. Members can add Affiliate Cardholders for $60 each. The membership is available with purchase for resale but members must provide Costco with the appropriate resale information.
Executive membership – The Executive membership costs $120 annually and includes a free Household Card. Executive members receive annual 2% rewards on qualified Costco purchases. Members receive additional benefits and greater savings on Costco Services and extra benefits on select Costco Travel products.
BJ’s wholesale members also pay a lower annual fee of $55 annually and $110 for the higher-tier plan.
Costco began offering memberships when its first location opened in Seattle in 1983.
The memberships started at $25 and have risen throughout the years based on inflation.
CUSTOMER SLAMS SELF-CHECKOUT
Meanwhile, a shopper was particularly frustrated at having to wait in long self-checkout lines for just a handful of items.
They wanted something to change, suggesting that express checkout lines be made for shoppers with only a couple of items.
This post is just one in a series of complaints customers have had recently after Costco started making changes to its self-checkout process last year.
The chain began shifting away from self-checkout options in-store last summer to try and cut down on theft.
Another shopper has slammed Costco for its membership-based fees and prefers to shop at rival stores.
Amy Crouch said she’s fine with going to Walmart because she doesn’t see the need for membership fees at all.
“I’m not a fan of that, having to pay,” she said.
