Costco members angered over food court price increase

Costco is different from most retailers in that customers have to pay a membership fee just to walk in the door.

Costco has done its part to keep membership costs down. But last year, it increased the price of a basic Gold Star membership from $60 to $65 after holding fees steady for more than seven years. It also raised the cost of an Executive membership from $120 to $130.

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But consumers are willing to pay because the savings they enjoy year-round can well outweigh the cost of a membership.

Plus, Costco members enjoy feeling valued.

It’s not a secret that Costco has a customer-first attitude, which is reflected in not just its low prices on products, but also its generous return policy.

In fact, most retailers don’t come close to matching Costco in the context of returns. With few exceptions, customers can bring back any item for any reason for a full refund.

Costco food court price increase angers members.

Image source: Fallon/AFP via Getty Images

Costco’s food court is a major draw

Shopping at Costco can be a draining experience. It’s not an easy thing to push a loaded oversized shopping cart through a gigantic warehouse and then wait in a long line to check out.

That’s why so many Costco members are grateful for the food court. After a tiring hour of shopping, it’s nice to be able to sit down, grab a bite to eat, and take a load off.

Costco’s food court is known for its tasty selection and affordable prices. The iconic $1.50 hot dog and soda combo has long done the trick of drawing in customers. And the pizza is a great deal, too.

For just $1.99, customers can enjoy a large slice of cheese or pepperoni pizza. An 18-inch pie that can feed a family costs just $9.95. Better yet, pies can be ordered in advance and picked up on the way out the door.

Costco food court pricing change angers members

Costco has a habit of rotating items at its food court to keep things interesting. It also moves items on and off of the menu depending on what’s selling and what isn’t.

Recently, Costco brought back the beloved hot turkey and provolone sandwich.

The sandwich was a fixture on the food court menu but disappeared about five years ago, much to fans’ dismay. Now, the famous sandwich is back, and with all of the fixings to make for a delicious bite.

The hot turkey and provolone sandwich features red onion and tomatoes, along with basic garlic mayo.

There’s just one problem. Whereas the sandwich used to cost $3.99, Costco recently raised the price to $6.99, leaving customers paying nearly double.

Costco fans took to Reddit to express their disappointment.

One commenter pointed out that the hot turkey and provolone sandwich seems overpriced, given that Costco sells whole rotisserie chickens for $4.99.

Another wrote, “This is not a deal. And it doesn’t even taste good. Expect more from Costco.”

But some fans were quick to defend Costco’s pricing decision.

“There is around a pound of turkey inside the sandwich,” one user pointed out.

Another said, “Still worth it IMO.”

Of course, some Redditors expressed concern about Costco raising food court prices across the board. Although that’s a possibility, it’s unlikely that the cost of the beloved hot dog and soda combo will increase anytime soon.

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Costco has long used that inflation-proof deal as a marketing gimmick. And it knows that there would be immense backlash if the cost were to rise.

In fact, last year, CFO Gary Millerchip made a point to confirm on a company earnings call that the $1.50 hot dog price was “safe.”

Maurie Backman owns shares of Costco.