Costco is tightening their membership program at stores across the country.
The bulk-retailer is implementing a new photo-verification system at its self-checkout kiosks after noticing an increase in membership card sharing with non-members.
“Costco is able to keep our prices as low as possible because our membership fees help offset our operational expenses, making our membership fee and structure important to us,” the company said in a statement to PEOPLE.
The warehouse retailer then clarified that asking for a membership card is not a new policy, rather the store will be stricter in enforcing its rules out of fairness to its members.
“Our membership policy states that our membership cards are not transferable and since expanding our self-service checkout, we’ve noticed that non-member shoppers have been using membership cards that do not belong to them,” the statement read. “We don’t feel it’s right that non members receive the same benefits and pricing as our members.”
Now all members will have to present their membership card with a photo at self-checkout. For customers whose membership cards do not include a photo, a valid photo ID will be requested along with the membership card to verify the shopper’s identity.
In Feb. 2020, Costco implemented other measures to discourage card sharing and get more people on board with memberships.
Previously, non-members were able to stop into the warehouse retailer and enjoy some of the best deals the store had to offer at the famously cheap food court. However, in Feb. 2020, Costco announced it would no longer allow non-members to dine in.
Signs were spotted at multiple Costcos across the U.S. saying, “Effective March 16, 2020, an active Costco membership card will be required to purchase items from our food court. You can join today. Please see our membership counter for details.”
Costco’s memberships start at $60 annually.
One of the most iconic offerings is the chains $1.50 hot dog and soda combination that they have vowed to keep at its low price.
Costco CFO Richard Galanti said during a presentation on fourth-quarter financial results in Sept. 2022 that they’re not trying to fill in the gaps potentially left by the inexpensive meal.
“We really don’t look at it that way,” he explained on the call, MarketWatch reported. Galanti said other areas like the gas and travel side of the business were doing well enough to help them “be more aggressive” in other parts of the store.
“Or, as you mentioned, hold the price on the hot dog and the soda a little longer — forever,” he said.
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