Costco Wholesale will raise its membership fees (Costco membership fees) for the first time since 2017. Starting September 1, this change will affect 52 million members in the U.S. and Canada. The cost for U.S. and Canada Gold Star, Business, and Business add-on memberships will go up from $60 to $65. The price for Executive Memberships will increase from $120 to $130.
Costco membership rewards will rise?
Along with higher membership fees, Costco is also raising the maximum annual 2% reward for Executive Memberships from $1,000 to $1,250.
Costco Comments:
Costco did not provide immediate comments on this change.
Costco membership fees and Recent Financials:
In 2023, Costco made $4.7 billion from membership fees, which is an 8% increase from the previous year.
Why Costco membership fees rise, answered by CEO Announcements:
Earlier this week, CEO Ron Vachris announced a $1 per hour raise for service assistants, service clerks, and meat cutters. Ron Vachris became CEO in January after Craig Jelinek stepped down. In March, Gary Millerchip, a former Kroger executive, became the Chief Financial Officer, replacing Richard Galanti.
Sales and Stock Growth of Costco:
On Wednesday, Costco reported that U.S. comparable sales, excluding gasoline, grew by 6.3% in June compared to the previous year. Costco’s stock went up by 2.4% in extended trading in New York. This year, the stock has increased by 34% as of Wednesday’s close, according to Bloomberg.
Faqs about Costco membership:
Why Costco membership fees and rewards will rise in the USA and Canada?
CEO of Costco Ron Vachris announced a $1 per hour raise for service assistants, service clerks, and meat cutters.
How many memberships of Costco in the USA and Canada?
There are 52 million members in the U.S. and Canada.