Your in-depth resource for everything about Costco Wholesale—from its history and membership tiers to Kirkland Signature, food court favorites, and insider shopping tips.
Costco: The King of Warehouse Clubs
Love it or love it, Costco has become a cultural phenomenon. With massive warehouses, pallet-sized displays, and a treasure-hunt shopping experience, Costco Wholesale has redefined how millions of Americans—and people around the world—shop for everything from groceries and electronics to furniture and even caskets. But Costco is more than just bulk products; it’s a membership-based empire built on a simple philosophy: keep costs low, treat employees well, and pass the savings to members.
Costco at a Glance
Founded
1983 (Seattle, WA) by Jim Sinegal and Jeffrey Brotman
Headquarters
Issaquah, Washington
Membership Model
Paid membership required (Gold Star, Business, Executive)
Global Locations
Over 850 warehouses worldwide, including 600+ in the U.S. and Puerto Rico
The History of Costco: From Price Club to Global Giant
Costco’s story actually begins with a different company: Price Club, founded by Sol Price in 1976 in San Diego. Price Club pioneered the warehouse club concept, selling memberships to small businesses and government employees. In 1983, former Price Club executive Jim Sinegal partnered with Seattle entrepreneur Jeffrey Brotman to open the first Costco warehouse in Seattle. The concept was similar but with a broader appeal to individual consumers.
In 1993, Costco and Price Club merged to form PriceCostco, later rebranding as Costco Wholesale Corporation in 1997. The combined company retained the best of both—low prices, limited selection, and a fiercely loyal membership base. Under Sinegal’s leadership (and now current CEO Craig Jelinek), Costco expanded across the U.S. and internationally, becoming the third-largest retailer in the world.
What sets Costco apart is its unwavering commitment to its values: capping markups on products (no item is marked up more than 14%, and most are much less), paying employees well above retail average, and treating members like partners in the business.
Costco Membership: Which Tier is Right for You?
To shop at Costco, you need a membership. Here’s how the tiers break down:
Gold Star
Annual fee: $60
- Basic membership for individuals
- Two cards per account
- Access to all warehouses
- Shop Costco.com
- Includes one free household card
Business
Annual fee: $60
- For business owners (with valid business ID)
- Includes one free household card
- Option to add additional cardholders
- Can purchase items for resale
Executive
Annual fee: $120
- All Gold Star or Business benefits
- 2% annual reward on qualified purchases
- Additional discounts on Costco Services
- Reward can be used toward renewal or merchandise
Pro tip: If you spend more than $3,000 annually at Costco, the Executive membership pays for itself through the 2% reward.
What Makes Costco Unique? The Treasure Hunt Experience
Shopping at Costco isn’t just errands—it’s an experience. Here’s what makes it different:
The Treasure Hunt
Merchandise is constantly changing. You might find electronics, furniture, clothing, books, and even high-end watches all in one trip. If you see something you love, buy it—it might not be there next week.
Limited Selection
Costco stocks only about 4,000 unique items (compared to 30,000+ at a typical supermarket). This allows them to buy in massive quantities and negotiate the lowest prices.
Samples, Samples, Samples
The free sample stations are legendary. On a weekend, you can practically make a meal out of samples while discovering new products.
Bulk Packaging
Products are sized for families, small businesses, or serious stockpilers. Bring space in your car—and your pantry.
Kirkland Signature: Costco’s Secret Weapon
Introduced in 1995 (named after Costco’s then-headquarters in Kirkland, Washington), Kirkland Signature has become one of the largest and most trusted private-label brands in the world. The philosophy: match or exceed national brand quality at significantly lower prices.
Vodka (made in same region as Grey Goose)
Olive Oil
Batteries
Cashews
Protein Bars
Laundry Detergent
Wine & Spirits
Many Kirkland Signature products are actually made by major national brands—Costco just puts its own label on them. The quality is consistently excellent, and the savings are substantial.
Beyond the Aisles: Costco Departments & Services
Food Court
The stuff of legend. $1.50 hot dog & soda combo (priced the same since 1985), pizza by the slice, chicken bakes, and frozen yogurt. No membership required to eat here.
Pharmacy
Competitive pricing on prescriptions, immunizations, and health screenings. Members get additional discounts.
Optical
Eye exams, glasses, contacts—all at warehouse prices. Independent doctors often on site.
Hearing Aids
Free hearing tests, quality hearing aids at fraction of traditional retail.
Tire Center
Competitive pricing on tires, installation included, free rotations for life.
Gas Station
Consistently among the lowest fuel prices in town. Top Tier detergent gasoline.
Costco Travel
Vacation packages, rental cars, cruises—exclusive member pricing and perks.
Photo Center
Prints, photo books, canvases, and holiday cards at great prices.
Business Center
Select locations offer even larger bulk sizes, restaurant supplies, and office essentials.
Insider Tips for Shopping at Costco
- Go Mid-Week: Weekends are zoo. Tuesday through Thursday mornings are the calmest.
- Look for the Asterisk (*): On price tags, an asterisk in the corner means that item won’t be restocked. If you want it, grab it.
- Price Tag Codes: Prices ending in .97 or .00 typically indicate manager markdowns—extra savings.
- Bring Your Own Bags/Boxes: Costco doesn’t provide bags. Grab empty boxes from the front of the store to pack your haul.
- Check Costco.com: Online prices sometimes differ from in-store. You’ll also find items online that aren’t in warehouses.
- Satisfaction Guarantee: Costco has one of the most generous return policies in retail. If you’re not happy, return it—no questions asked (electronics have a 90-day window).
- No Membership? No Problem (Sort of): In some states, you can use a Costco Shop Card (gift card) to shop without a membership, though non-members may pay a surcharge.
The $4.99 Rotisserie Chicken & Other Legends
Costco’s rotisserie chicken is almost a loss leader—they’ve kept the price at $4.99 for years, losing money on each bird but bringing customers in the door. It’s consistently ranked as one of the best deals in the store. Similarly, the food court hot dog combo has been $1.50 since 1985, a testament to Costco’s commitment to value. Other food court favorites include:
Whole Pizza
Chicken Bake
Berry Sundae
Frozen Yogurt
Churro
Costco vs. Sam’s Club vs. BJ’s
While Sam’s Club (Walmart-owned) and BJ’s Wholesale Club are major competitors, Costco consistently wins on brand loyalty, employee satisfaction, and quality perception. Sam’s Club may have more locations and slightly lower membership fees, but Costco’s Kirkland Signature brand and treasure-hunt atmosphere create a devoted following that competitors envy.
From its humble Seattle beginnings to its status as a global retail powerhouse, Costco has stayed true to its mission: provide quality goods at the lowest possible prices, treat employees with respect, and create a shopping experience that keeps members coming back. Whether you’re a long-time executive member or considering your first Gold Star sign-up, we hope this guide helps you navigate the warehouse aisles and discover why millions swear by the Costco way of life. Happy treasure hunting!