Costco customers have largely rejected self-checkout, and warehouse clubs have responded by eliminating self-checkout from most stores.
This follows recent trends, with both Walmart and Target limiting maximum quantities at many self-checkouts. In part, the changes are designed to limit theft opportunities and prevent scanning errors from leading to accidental shoplifting, while it also provides self-checkout for people with only a few items.
This is very similar to the “10 items or less” checkouts that grocery stores used to have.
But just because Costco is giving up on self-checkout, that doesn’t mean the chain is giving up on helping you pay for your items more efficiently. It’s actually implementing two methods to speed up store checkouts, including letting customers scan as they walk.
One of the challenges Costco shoppers face is that the chain sells in bulk. Many of its items are large, and maneuvering them to scan UPC codes can be challenging in a traditional self-checkout.
Scan and Go technology will solve this problem, but it does require customer buy-in.
“We’ve found that digital does improve checkout speeds. So we’ve also really worked hard on the use of digital loyalty cards. We’ve also done some ‘Scan & Go by Costco’ type tests that have been very successful in getting people in line and speeding up transactions,” CEO Ron Vachris said on Costco’s third-quarter earnings call.
Scan & Go requires customers to scan items while using the Costco app on their phone. After completing their purchase, they can verify their purchase by presenting the QR code when leaving the store.
“We’ve seen some very, very early results that are very positive and our members are seeing that,” the CEO added.
Vachris made it clear that Costco leadership wants to improve members’ in-store experience.
“Our operations team is really focused on the front end, and we know there are a lot of benefits to that part of the Costco experience to make the experience better for people. So, it does use the digital enhancements that we have available today, and we think we’ll see some good things happen,” he added.
The CEO talked about another big closing change during a recent earnings call.
“Another way we are improving the member experience is by rolling out enhanced checkout technology across all of our U.S. warehouses,” Vaklis shared during the Warehouse Club’s fourth-quarter earnings call.
More retail:
The CEO explains how it works.
“This speeds up the checkout process by allowing our associates to scan small and medium-sized transactions while members are still in line. So once you get to the checkout, there’s no need to take anything out of the cart, just pay,” he added.
Ricardo Belmar, who has more than 20 years of retail experience, thinks Costco is right to abandon self-checkout.
“I have said on numerous occasions that most self-checkout methods are at best flawed and at worst a poor experience. In my experience, items of the wrong shape and size cause more trouble than success in the self-checkout experience,” he posted on RetailWire.
Retail writer and public speaker Georganne Bender said Costco has a special culture.
“Costco has a different vibe than other retailers. Check membership cards, check receipts at the door before leaving. It’s weird. But really, they just want to keep membership exclusivity and provide service,” she wrote.
She believes that no matter how a chain handles checkout, it’s all about providing a positive experience.
“This also happens at checkout. Just trying to make the customer experience a good one may be trying a little too hard for shoppers who like to be left alone. Costco will fix this and everyone will be happy,” she added.
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In my 30+ years of retail experience, I have found that large retailers like Costco often struggle with self-checkout for bulk items, a pattern consistent with that company’s experience. As a long-time Costco member, I’ve never had any problems with the chain’s classic checkout.
I don’t usually go to warehouse clubs for a quick purchase. Often, I might not even have a shopping list, I’ll just take a leisurely walk around the store and see what I might want.
Scan & Go may make some other customers unruly, and I appreciate the chain’s efforts to speed up checkout, but it’s never been a factor in how often I visit Costco.
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This article was originally published by TheStreet on January 14, 2026, and first appeared in the Retail section. Click here to add TheStreet as your preferred source.