Costco makes major change to stop membership sharing
Costco customers are well aware of the routine: to enter a store, you must show your membership card to a staff member at the door. Soon, however, Costco will implement a new requirement for customers to scan their membership cards at store entrances.
New Scanning System
The retail giant, which operates 882 locations worldwide—611 in the U.S. and Puerto Rico and 108 in Canada—will now require customers to press the barcodes on their membership cards or the QR code on their mobile devices against a scanner for entry. Nonmembers will still need to be accompanied by a member to gain access. A staff member will greet customers at the entrance as usual.
If your membership has expired or if you’re not yet a member, you’ll be directed to a membership desk to renew or sign up.
Combatting Membership Fraud
Costco began testing this electronic scanning entry system in January at select locations. The move aims to reduce theft and prevent nonmembers from exploiting the membership card system to access Costco’s low prices. This often involves using another person’s card—a practice that violates membership rules.
Membership Fee Increases
Costco charges an annual membership fee to shop in its stores. Currently, the fee for regular Gold Star members in the U.S. and Canada is $60. This will increase by 8% to $65 starting September 1. The fee for the Executive Card membership will rise by 8.3%, from $120 to $130, on the same date. This membership qualifies customers for a 2% reward, with the maximum yearly reward increasing from $1,000 to $1,250.
Until the decision to raise membership fees in early July, Costco had not adjusted its rates since 2017.
Customer Reactions
The fee increases have sparked mixed reactions among Costco customers. Some express concerns that the new scanning process may lead to longer wait times for entry, causing inconvenience. Others, however, find the process to be quick and easy, emphasizing its necessity given the number of individuals attempting to shop without an active membership.
