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Costco has increased its membership prices for the first time in seven years. Starting this Sunday (September 8), it now costs $65 a year to have a basic Gold Star membership, which is $5 more than before.
If you have an Executive membership, the price has gone up from $120 to $130. The Executive membership also gives a 2% reward on purchases, and the maximum amount you can earn has increased from $1,000 to $1,250, according to USA Today.
Costco Raises Membership Fees After Seven Years
This price change affects about 52 million memberships, with many being Executive memberships. Costco first announced these changes in July, and it's a big deal since they haven't changed their prices in so long.
Costco, based in Washington state, recently shared that its sales have grown by 6.9%, reaching $210.55 billion for the first part of 2024. The company has 882 warehouses in places like the United States, Canada, Mexico, Japan, and more. They also sell products online in several countries.
The last time Costco raised its membership prices was in 2017. Back then, they also added $5 to the cost of a basic membership, making it $60. Executive memberships went up from $110 to $120 at that time too.
Costco is a warehouse store where members can buy lots of different things in bulk, meaning they get a lot of something for a lower price. They sell groceries, clothes, electronics, and many other items. Costco started by helping small businesses buy in bulk but now sells to regular families as well.
You need a membership to shop at Costco, although you can shop on their website without one, but prices are often higher. Costco has three types of memberships: Gold Star, Business, and Executive. All of them recently got a price increase.
The Gold Star Membership is the most popular and now costs $65 per year. It lets two people from the same household shop at Costco. The Business Membership also costs $65 and is for people who want to buy things for their businesses. The Executive Membership is the most expensive at $130 a year, but it comes with extra savings on services and travel, plus a 2% reward on purchases.
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Costco Offers Wide Range of Member Benefits
Costco is well-known for its low prices on groceries and household items. They also have their own brand, Kirkland Signature, which is very popular. You can find everything from food to clothing under this brand. If you can't go to the store, Costco offers same-day delivery through Instacart in some areas.
In addition to groceries, Costco sells gasoline at lower prices and offers discounts on clothing, furniture, and other home items. They also have travel services where you can get deals on car rentals, vacations, cruises, and hotel stays.
Costco members can buy cars at a discount through the Costco Auto Program and get cheaper insurance, prescription drugs, and health services. Their pharmacy offers good prices on medicines, and members can join the Costco Membership Prescription Program for extra savings.
If you're remodeling your home, Costco partners with companies to offer services like flooring or shelving installations, and you get a 10% Costco Shop Card for using their services. Costco's Photo Center lets you print photos and make photo books, calendars, and cards.
Costco also has a credit card called the Costco Anywhere Visa, which gives you rewards on gas, dining, and Costco purchases. The card offers 2% cash back on Costco purchases and up to 4% on gas, said NBC News.
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