Are Rising Fast-Food Prices To Blame For Costco Food Court Membership Crackdown?
While fast-food prices are surging – the lefties at Vox even point out that "socialists are bristling at the rising cost of fast food – and TikTokers are complaining about $53 trips through the Taco Bell drive-thru, Costco has made the decision to tighten its food court rules.
The membership retailer where I can get a $5 rotisserie chicken and a $1.50 hot dog and drink combo says it will no longer allow non-members to use its food courts. The new rule will be enforced April 8.
In March, a Reddit user posted a photo of a sign at an Orlando Costco that claimed to show that memberships will be needed to make food court purchases. Eventually, the sign went viral and Costco CFO Richard Galanti, who retired in mid-March, told Axios that this change is due in part to lines at food courts.
"One of the challenges is that some of the food courts have gotten so busy, particularly if it’s near some office buildings or construction sites. We were getting member complaints," Galanti told Axios.
With $3.99 chicken bakes, $7 salads, huge $7 turkey and Swiss sandwiches and $10 pizzas while people are spending $53, it's not hard to see what's going on here. Consumers see a value and they're going to take advantage.
Throw in the $1.50 hot dog and drink combo and you have the recipe for long lines driven by people who could be deciding McDonald's and Taco Bell prices are out of control.
Galanti claims the change is to stores that have outside food courts.
"Some families only have $10 til the next pay check and can feed 3-4 on that with 1.50 hotdog and share a soda," one Facebook observer noted. "As a member I’ve seen families sit and eat and I could [not] care less if they’re a member or not. Can’t buy anything else if a non member - might as well get a hot dog or pizza."
Costco has had the hot dog and soda combo priced at $1.50 since the 1980s. (Photo by Smith Collection/Gado/Getty Images)
The idea of Costco as the cheap alternative to fast food is a hot topic on Reddit
In a 2023 exchange, a Reddit user shared thoughts on how the Costco hot dog and drink "might be the only fast food that is cheaper per calorie than groceries."
Cheaper, not healthier.
But when we're talking about fast food, people are thinking cheap. We know the stuff is garbage. We want value, dammit!
"The calories in the 1 hotdog and bun is 580. Then you can add a drink to it and suddenly you are easily at 900 calories total for the price of $1.50. This means that you can almost get a full day's caloric intake with only spending $3," the Reddit user wrote.
"That is an insane value for eating out, and it is hard (but not impossible) to beat that with groceries."
And it's likely why we're seeing Costco cracking down on those exterior food courts. It's clearly a sign of the times.
Have you changed your fast-food habits due to inflation? Are you eating at the Costco food court more often? Tell me what you're seeing out there.
Email: joekinsey@gmail.com