Costco Membership Fees Increase for US and Canada Customers: Find Out How Much You’ll Pay Now!

Miami, Florida – Costco Wholesale is set to implement a membership fee increase for its US and Canada customers starting September 1, marking the first fee hike in seven years.

The retailer, known for its various membership benefits such as discounts on food, gas, insurance, and a 2% annual reward on qualified purchases, announced that the annual fee for “gold star” and business members will rise by $5 to $65, while executive members will see an increase from $120 to $130.

Additionally, Costco mentioned that the maximum annual 2% reward for executive members will also see an increase to $1,250 from the previous $1,000.

With over 52 million members affected by the fee increase, the company’s shares have seen a 2.2% rise in extended trading, reflecting a positive market response.

According to Michael Ashley Schulman, chief investment officer at Running Point Capital Advisors, the anticipated fee hike has been on the market’s radar for some time, as management typically adjusts membership rates every 5 to 6 years.

Furthermore, the increase in membership fees is expected to provide a boost to Costco’s revenue, as revenues from membership fees saw a 7.6% increase in the third quarter, making up 1.9% of the company’s total revenue for fiscal 2023.

Costco’s latest financial report also indicated a 7.4% increase in net sales for the retail month of June, emphasizing the company’s ongoing growth and financial performance despite the fee adjustments.

Overall, Costco’s decision to adjust membership fees showcases the company’s strategic approach to maintaining profitability and enhancing customer loyalty through its membership program.