New Year, New Management: What to Expect from Costco's Transformation
Eric Jia • February 18, 2024
New leadership brings new shifts. With new CEO Ron Vachris taking Craig Jelinek’s place, 2024 marks a year of change for Costco, the retail behemoth. While some of these changes are largely welcomed, others impact long standing “traditions”. Here’s a list of some of the biggest changes coming to a Costco near you:
The Membership Price Will Rise
Typically, Costco usually hikes its membership prices every five or so years. While nothing is confirmed yet, it seems a price increase may very well happen this year. Costco’s chief financial officer Richard Galanti only stated that prices will inevitably rise after enough time. Although Costco’s renewal rates, sign-up rates, and loyalty all remain strong, it’s unknown how long this would last. By driving up membership prices, Galanti hopes to increase the value in becoming a member. One thing is for certain, however: make use of your memberships while prices are still low!
No More Card Flashing
Gone are the days of flashing membership cards at the entrance’s attendant. In the new year, shoppers may be required to scan their cards before entering Costco. The explanation behind this is to ensure that members are getting the benefits they paid for. Enforcing membership also encourages more shoppers to become members, allowing Costco to maintain its deals on its products. So the next time you shop at Costco, make sure to bring a card with your face on it – it will save you quite a trip. On the topic of memberships…
Costco Expands Internationally! … And Nationally
Yes, the Costco empire will open more stores overseas. Costco will expand its previous 871 locations to over 902 with 31 new stores in 2024, seven of which will open in other countries. Areas like Shenzhen and Jiangning, China and Zaragoza, Spain will likely see a Costco in the new year.
In the United States, Costcos are being built in cities like Loomis, California, Richmond, Texas, and Daytona, Florida. Hopefully, these new stores will ease some of the traffic in other nearby areas.
Away With the Churros, In With the Cookies
These cinnamon treats are soon going to be cinna-gone after the introduction of double chocolate chunk cookies as the food court’s dessert. A staple product to shoppers both young and old, these cinnamon sugar sticks will forever hold a special place in our hearts. Will the new cookie live up to the legacy of its predecessor? Or would it be torn apart by the critical taste buds of churro mourners? Nevertheless, changing the dessert status quo certainly would add more pizazz to the menu.
No More Seats?
Continuing on the discussion of food, more and more Costco locations began to introduce standing tables. Naturally, the absence of seating stirred controversy. Previously, tired shoppers could grab a meal from the food court and rest awhile before leaving. Now, shoppers no longer have this luxury. Additionally, standing tables present a challenge for those who are handicapped and unable to stand. Young children are also sometimes not tall enough to reach the tables. Thankfully, Costco doesn’t seem to intend on replacing all seated tables with standing ones at the moment. It would definitely be much appreciated if some seating will still be available.