As a long-time Costco member, you’ll quickly learn that although there is a fee to shop at the warehouse club, being a member is actually cheaper than being a non-member.
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Costco’s basic annual Gold Star membership is $65and many shoppers Quick recovery of costs Save money with everyday purchases, Business Insider reports.
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I wrote on The Motley Fool back in 2019 that the savings on gas alone are enough to make membership worth it.
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upgrade to Executive Membership ($130) Offered Receive 2% Annual Bonus on Qualifying Purchasesfamilies spending at least $3,250 per year can basically Earn back the cost of upgrades just through these rewardsAccording to Money Talks News.
Costco is committed to lowering membership prices because it is the core of its product and a major commitment to its members.
CEO Ron Vachris reiterated that commitment during the chain’s first-quarter earnings call.
“We will never stoop to not offering the best deals and driving prices down for our members. That’s what Costco is known for. That will always be our number one slogan.”
However, Costco decided to do more for its members than just keep prices the same. It recently made three changes designed to increase membership value.
Costco Chief Financial Officer Gary Millerchip shared three recent membership improvements the warehouse club has made.
“We’re committed to continuing to increase the value of our membership. Obviously, we’ve made some big changes recently, including extended hours, Instacart benefits, and the 5% gas fee on credit cards,” he said during the first-quarter earnings call.
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gas efficiency: Available to all Citi Costco Anywhere Visa holders 5% cash back Natural gas purchased at Costco gas stations and 4% back At other gas stations, annual expenses total as much as $7,000, according to Citibank.
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Extended working hours for executive members: Costco implements expanded morning shopping hours nationwide, specifically for executive member to reduce crowds during peak hours. Executive members will now have access to the warehouse at 9am (Monday – Sunday), one hour earlier than the standard 10am opening time for other members.
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Benefits of Instacart: Costco now offers members discounts on annual Instacart+ memberships ($79/year) and potentially free trials, as well as a special $10 monthly credit executive member Redeem on Instacart or Sameday.Costco.com on orders over $150, and save up to 7% on items by linking accounts.
“We will continue to look for ways to increase the value of our membership,” Millerchip shared.
It’s important to note that rewards caps and any Costco benefits are subject to change at any time based on the terms of your Warehouse Club membership and its credit card agreement.
Scott Benedict, vice president of partnerships at Ascential digital commerce company WhyteSpyder, believes the chain will benefit from the extended hours.
“There’s no doubt that Costco has done a great job of growing its premium membership penetration. It has also demonstrated value in its membership program over decades, which has underpinned its success. Sam’s Club has only offered premium members early access to its clubs for years, after initially offering it only to business members,” he wrote on RetailWire.
His RetailWire Brain Trust colleague Carol Spiekerman sees a small risk.
“Keeping executive shopping windows relatively short is a smart strategy. Many Costco members travel from great distances specifically for stocking trips. Arriving at 9 a.m. and being denied entry before you know it can be annoying or infuriating, depending on the shopper. Maybe bringing Costco’s infamous hot dog and drink deals to the parking lot will help ease the nerves,” she wrote.
More retail:
Costco’s Citi Visa gas cash back offer gave The Points Guy a few factors that suggest it’s a good card for families, but it did point out a caveat.
“It’s worth pointing out that you can only earn 1% back (instead of 5% or 4% respectively) when purchasing gasoline and electric vehicle charging, or purchasing non-auto fuel (such as airplane or marine fuel) from supermarkets, supermarkets, convenience stores, and warehouse clubs outside of Costco,” the site writes in Citibank’s Costco Anywhere Visa review.
NerdWallet also has good reviews for the card’s Gas product.
“These rates are impressive even when compared to the best gas credit cards on the market. Even if you only get gas from non-Costco-branded gas stations, if you hit your annual cap, you’ll earn $280 per year on gas alone, not including the 1% back on any purchase category beyond that,” the site shared in a review.
If I lived closer to a Costco, the price of gas plus the cash back on the credit card would make membership versus a credit card an obvious decision based on pure math.
Related: Costco Anywhere Visa vs. Sam’s Club Mastercard: How the Warehouse Club Credit Card Compares
Costco has made changes to its membership offers as it looks to retain existing members while adding new ones. It succeeds in this regard.
“Moving the income statement down to membership fee revenue, we reported membership fee revenue of $1.329 billion, an increase of $163 million, or 14%, year over year,” Millerchip said on its first-quarter earnings call.
He also shared some other membership numbers:
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Last September, membership fee growth accounted for just under half of membership revenue growth in the U.S. and Canada.
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Excluding the increase in membership fees and the impact of foreign exchange, membership revenue increased by 7.3% year-on-year.
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This is driven by continued growth in our membership base and an increase in upgrades from Gold Star to Executive memberships.
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As of the end of the first quarter, we had 39.7 million paid executive members, an increase of 9.1% over last year.
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As of the end of the quarter, our total number of paid members was 81.4 million, a year-on-year increase of 5.2%; the number of cardholders was 145.9 million, a year-on-year increase of 5.1%.
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Gold Star Membership: $65/year; savings on routine purchases often exceed costs
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Executive member: $130/year; 2% bonus on qualifying purchases
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Extended working hours for administrative members: Entry at 9am every day
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Benefits of Instacart: Member discount + $10 monthly credit for executive membership
Source: Costco membership page
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Gas benefits: 5% cash back at Costco gas stations and 4% cash back elsewhere (up to $7,000 per year).
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Other rewards: 2% cash back at restaurants and travel, 1% everywhere else
Source: Citi
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This article was originally published by TheStreet on January 31, 2026, and first appeared in the Retail section. Click here to add TheStreet as your preferred source.