Costco Membership Price Increasing

RSmith on 28/04/2023 - 10:40
Last edited 28/04/2023 - 12:28 by 1 other user

Just received the following email… Another price rise

Dear valued member,

Thank you for being a Costco member. As of 1 June 2023, there will be a few changes to Costco membership.

We endeavour to provide exceptional value to our members in every product and service we offer. For the first time since Costco Australia opened in 2009, we will introduce a modest increase to our membership fees. This will cover the rising cost of our business operations, and allow us to keep offering the best value possible. The increase will be from $60 to $65 per year for Gold Star Membership, and from $55 to $65 per year for Business Membership.

Along with this, we will offer some new membership options. Business Members will now be able to add an affiliate cardholder to their membership for an additional fee of $65. We think this will be a fantastic practical benefit for business owners who need employees living at a different address to shop for them.

Would you still continue your membership?

Poll Options

  • 150
    Yes
  • 163
    No
General Discussion

Related Stores

Costco Wholesale
Costco Wholesale

Comments

      • AMLagonda on 30/04/2023 - 00:26

        Can claim back gst on any receipt from any shop, you dont need a Business account at Costco but the receipt they give probably might be different lol I dont know

  • try2bhelpful on 29/04/2023 - 10:35
    +5

    I mainly go for things like the electrical appliances, Apple products, non perishables. You can get some products you can’t get elsewhere here as well. The scratch and dent area is worth a look. The cheese selection is really good. If you don’t like something you can take it back and get a full refund. If you don’t like your membership you can get a full refund.

    I get my money’s worth out of my membership but I am easy travelling distance to Docklands. It isn’t for everyone but, I suspect, most of the skeptics don’t, actually, shop there. It is a tad addictive. We are just renewing our membership this month so we should avoid the price rise.

    • Pumpkin_rrr on 29/04/2023 - 18:50

      What is "scratch and dent area" please? First time I heard.
      I am from Brisbane so there is no liquor instore.
      Also Hubby refused to use their fuel (too much hassle in paying LOL) and he's a big fan of BP.
      Also found their stuff really expensive Eg Christmas stuff.

      • RSmith on 29/04/2023 - 18:51
        +1

        too much hassle in paying LOL

        There is none. You tap your card before filling up… That's all there is to it.

      • ozbs25 on 29/04/2023 - 20:10
        +1

        They usually have stuff some stuff on clearance to the side of the registers. Sometimes it'll be at the end of aisles. I've found Ipswich to have more stuff on clearance than North Lakes.

        • try2bhelpful on 29/04/2023 - 21:30

          Yup. It is usually end of line clearance stuff and some stuff the package might be damaged or demonstrator stuff.

  • johnfuller on 29/04/2023 - 11:35
    -3

    membership is pointless, they make things appear to be cheap but are not.

    • try2bhelpful on 29/04/2023 - 13:49
      +1

      How do you know?

    • hasher22 on 29/04/2023 - 14:11
      +1

      Their profit is the membership, they make little profit on the items

      • johnfuller on 29/04/2023 - 14:27
        +4

        they make a lot of profit on the items, the placement of goods around the store is strategic, look and you will notice.. the membership they also make a profit but its bait and lure .. people will shop more here knowing they paid for a membership .. where as, if you made it free, people will just shop here on a need basis (likely they will just stay at woolworths / coles)

        • try2bhelpful on 29/04/2023 - 15:51
          +2

          Actually the majority of the money Costco makes is on the membership. The strategic placement appears to be putting some of the stuff on special at the end of the rows and grouping things according to type of goods. Hardly radical. Just wondering how often you have, actually, shopped at Costco or are you just guessing? Given a person can trade in their membership for a full refund, at any time then if people weren’t seeing the value for money they would trade it in.

          I, suspect, a fair bit is people stocking small businesses and restaurants. It is clubs and families banding together to buy things in bulk. I do my Googling before I buy stuff and only buy of it is cheaper. They aren’t always but they are often enough. This is especially true for cheese and alcohol.

        • Mistredo on 01/05/2023 - 00:18

          If you were right they wouldn't have any membership.

      • PVA on 01/05/2023 - 12:05
        +1

        They make a lot of profit on items.
        membership is more dollars for them plus ensures people keep buying (compared to free memberships)

    • ozbargainer888 on 29/04/2023 - 17:55

      Costco is actually fairly transparent about their business model. The memberships are where they make money, keeping everything else a better value is not much profit.

  • boomramada on 29/04/2023 - 11:45
    -2

    According to pole, only less than 50 don't want to continue. I think Costco can deal with that lol

    • askbargain on 30/04/2023 - 20:23

      puts on costco?

  • lostgoat on 29/04/2023 - 11:48
    +1

    I normally let it lapse and they bait me back easily with a bucket of M&Ms and a $20 voucher eventually .

    • try2bhelpful on 29/04/2023 - 13:50

      you sound like a cheap date :)

  • gromit on 29/04/2023 - 12:03
    +2

    not answering yes or no for this, still on the fence, most of the items in Costco are way overpriced (or at least can be obtained cheaper elsewhere), but they have a few items that I do like to get. will think about it closer to membership renewal time.

  • lesher on 29/04/2023 - 14:13
    +1

    Wow, perfect split of 50:50 in the poll so far (47 votes on both option)

  • bambamboo on 29/04/2023 - 15:52
    +2

    Costco is worth it for the streaky bacon & the cheap eggs.

    • berger on 29/04/2023 - 21:04

      Maple bacon is the bomb

  • try2bhelpful on 29/04/2023 - 15:53
    +2

    Actually the poll should be “as a Costco member will you renew your membership”. I wonder how many voting “no” are, actually, members now.

    • [Deactivated] on 30/04/2023 - 21:25
      +1

      +1 here

  • dragonos81 on 29/04/2023 - 16:40

    Independent of the price increase, probably cancelling my membership.
    The cheap fuel was the main reason for a membership for me, but I'll be switching to an EV soon - not enough value for me to just go shopping. Probably will just go with friends that maintain an active membership if I need/want something.

    • try2bhelpful on 29/04/2023 - 16:56

      What EV are you looking at getting?

      • dragonos81 on 30/04/2023 - 09:43

        Atto 3, delivery in a few weeks

        • try2bhelpful on 30/04/2023 - 09:51

          Thanks. Will be interested to find out what you think of it.

          • bamzero on 30/04/2023 - 13:01

            @try2bhelpful: No need to wait

            • try2bhelpful on 30/04/2023 - 13:22

              @bamzero: You should do professional reviews that was a hoot. I was laughing so hard my other half asked me what I was reading so he can read it. We have the solar panels so we are just thinking about the EV. We live in Fitzroy so we would, literally, be the old couple who only drive to church on Sunday’s if we believed in religion. We are lucky to get in our car once a week so we are waiting for “car as house battery” to be more readily available.

              Since we got the panels we found we generate far more power than we consume. The battery is singing to us but the economics aren’t quite there yet. When it comes to solar generation “this is the way”. I’m just waiting for “my precious” EV to be viable.

        • jatbinks on 30/04/2023 - 19:09
          -4

          Ah yes, atto3, poor man's china EV which screams cheap arse on a loud speaker 10 min ahead of you. I think you would be better off just keeping the Costco membership.

  • gimme on 29/04/2023 - 17:16

    who cares.. most ozbers should know to cancel after 11.9 months get a refund, get partner to sign up and rinse and repeat.

    • try2bhelpful on 29/04/2023 - 21:31

      True but they might, eventually, refuse to let you sign up.

  • bamzero on 29/04/2023 - 17:21
    +1

    Haven't had membership, was thinking about it but it's a little too far in the wrong direction to make it a regular fuel stop (and the stations around me are pretty competitive anyway) and not sure how much value would get from general shopping.

    Would have gotten a business membership so guess if anything get one before EOFY to try for a year.

    I just hope Amazon isn't planning on doing the same to Prime. Already questioning the value sometimes what with the 1 to 2 week wait to get most things delivered to WA since most of the stuff I order never seems to be in stock in local warehouse.

    • JAF on 10/05/2023 - 00:17

      Lol I was just reading this forum and saw your comment about Amazon prime at the end! Great timing hahaha

      • bamzero on 10/05/2023 - 00:30
        +1

        I know right.. when I got the email from Amazon my thoughts came back to this exact comment too 😒

  • ozbargainer888 on 29/04/2023 - 17:57

    I live super close to one so it’s not a problem but I have noticed many increases on the products too. We will keep it bc of the close proximity and the things we buy are better value or quality. Not everything is based on units so you do have to math but roast chicken, eggs, streaky bacon and a few other things we get often.

  • idonotknowwhy on 29/04/2023 - 19:29
    +1

    You look like the teamviewer icon

  • Munki on 29/04/2023 - 19:55
    +2

    Until I get an EV, I'll refuel at Costco almost exclusively (unless I needed an emergency refuel at a Caltex). The fuel is easily worth it.

  • Dack Smith on 30/04/2023 - 08:00
    +1

    The $5 increase will drive off many people.

    $5 gets you a ton of stuff these days, so it’s utterly unreasonable for them to raise the price by $5

    It’s a shocking ripoff

    Totally

    • Quasi Human on 30/04/2023 - 21:34

      $5 gets you two fifths of five eights of SFA these days

  • Yoo05 on 30/04/2023 - 10:31
    +3

    People spend hundreds and thousands every year at costco, do you think they will worry about $5 increase. Pointless thread.

    • try2bhelpful on 30/04/2023 - 10:37
      +1

      I think you’ve summed it up. I’ve watched people put $1,000 bucks through the till in one go. They aren’t about to go “wait a minute” on a $5 increase. I wonder what the cost of an average shop is at Costco?

    • SydBoy on 30/04/2023 - 11:00
      +1

      probably those who spend $1000 aren't bargainer so thread is relevant to OZbargainers .. .!

      • try2bhelpful on 30/04/2023 - 11:54

        There is no reason they aren’t.

  • SydBoy on 30/04/2023 - 10:59
    +2

    most thing in costly higher in prices than coles & woollies when it comes to deals … ! both coles & woollies special catalogue which has majority items repeating every now and than beats costco every time in prices so why on earth you pay membership fees ?

    fruits & vegetabls are sky high like they are shipping from america … !

    • try2bhelpful on 30/04/2023 - 12:02

      Do you, actually, shop at Costco?

      • RSmith on 30/04/2023 - 12:13

        I do… Was there earlier today.

        • Milk 3 litre $4.19
        • Bananas 1.kg $4.49 (had a discount of $1 today so $3.49)
        • 2 kg prepacked red onions $5.99
        • 4 litre canola oil $12.99

        These are some of the items that I noticed.

        • try2bhelpful on 30/04/2023 - 12:32

          Coles brand 3l milk is $4.50 showing online. $4.50 at Woolworths
          Coles 4L Canola oil is $14.50 online. Woolworths $14.50
          Red onions $3 per Kg at Coles. $3.90 at Woolworths

          Bananas can vary from store to store depending in specials

          Not everything at Costco is cheaper, I don’t expect them to be, but even by your own examples they can be.

          • RSmith on 30/04/2023 - 12:34

            @try2bhelpful: Bananas were 1.4 kg. Sorry about the typo

            • try2bhelpful on 30/04/2023 - 12:57

              @RSmith: No probs. I did wonder about that. Some of their weights do seem to be very odd. I wonder if they relate back to some imperial equivalent. If you do the conversion then the bananas probably aren’t too bad either.

              I do agree that you can get things cheaper if the catalogue sales are on but Costco also has discounts as well.

              As I’ve indicated I’m an omnivore I buy from a lot of different places. Costco, certainly, isn’t for everyone but it is worth a look. I don’t think I need to buy stuff from Costco just because I’ve got my membership. In fact we buy quite a bit of stuff from elsewhere when the catalogues show it is cheaper. I go to Costco for cheaper electrical and household goods, cheaper name brand clothing, goods I can’t get anywhere else, overseas cheeses, milk, the tasters and the bonkers shopping experience. I also like the “don’t like it then just return it” policy, which I have used. They also have the best check out people I’ve seen anywhere.

              I just think people should go have a look for themselves. If they don’t like it they can get their membership back.

              • whyisave on 30/04/2023 - 14:11

                @try2bhelpful:

                Some of their weights do seem to be very odd.
                I wonder if they relate back to some imperial equivalent.

                1.4kg is roughly 3lb

              • PVA on 01/05/2023 - 12:12

                @try2bhelpful: I think the weights are so you buy / spend a little more and also so it’s harder to compare prices in head to other stores.

                • try2bhelpful on 01/05/2023 - 14:28

                  @PVA: They do with some items and not others. I tend to not buy the Costco fruit and veggies because our household is only two people. The stuff I have bought is good quality that lasts but, generally, I don’t need a kilo of cherry tomatoes. They have a good tub of bocconcini but who wants 1.3 kg? It does mean we eat caprese, a lot, when I buy them though :)

                  • PVA on 01/05/2023 - 14:30

                    @try2bhelpful: Our home is only two.

                    Bought doughnuts last time. Pack of 30 between 2 over two days
                    …not good.

                    • try2bhelpful on 01/05/2023 - 14:34

                      @PVA: Yeah, sounds ugly. Just at Costco and we shared a slice of Pizza. I’m too scared to buy a packet of their baked goods I have no will power.

                      • PVA on 01/05/2023 - 14:58

                        @try2bhelpful: That slice is enough kilojoules for the whole day.

                        Muffins etc are dangerous to buy 😀

                        • ozbs25 on 01/05/2023 - 15:15
                          +1

                          @PVA: Pretty much everything in the baking section is great. You do need a lot of fridge or freezer space to take advantage.

                        • try2bhelpful on 01/05/2023 - 15:16
                          +1

                          @PVA: Croissants, biscuits, etc. the cakes are ludicrous sizes.

  • try2bhelpful on 30/04/2023 - 12:22

    I’m an omnivore when it comes to shopping. I buy at Coles, Woolworths, Aldi, IGA, Markets and Costco. I check specials in the catalogues and buy accordingly. I Google things before I buy them to see what is the best bang for buck.

    To all the people who say Costco isn’t cheaper do they ever, actually, shop there or are they depending on hearsay. I keep reading things that are a tad counter to my actual experience. Certainly not everything is cheaper but quite a bit is. The reason I shop at Costco is because I get sufficient cheap stuff, tastings, ideas and entertainment value to cover my fee. There are products you won’t find elsewhere and every now and then you get something truly bonkers to look at like a giant inflatable swan. They have a lot of name brands on special so you aren’t buying a generic pretending to be a named brand. However, the Kirkland brand generally has decent quality goods as well. Mostly I don’t buy food, I buy things like an InstantPot or an Airer, kitchen gadgets, clothes etc.

    I don’t tend to buy fruit and veggies there, but mainly because stuff is prepackaged in plastic and I hate that. The few times I have bought fruit or veggies they’ve been good quality. We do buy milk, frozen products, packaged foods and non perishables. The secret is don’t buy 1L of sour cream if you aren’t going to use it.

    Given Costco will return your Membership fee if you don’t feel you are getting value for money I would suggest people go look for themselves. Don’t listen to either the positives, or negatives, here just go have a look for yourself. If you get something you don’t like take it back. If you hate the store get your membership fee back.

    • ozbs25 on 30/04/2023 - 12:45

      Costco know exactly what they are doing. They cater to a particular segment of the market. To those people, the membership fee is nothing. If you really take a look at what Costco sell, it's premium products at a reduced price. They don't sell really sell a lot of cheap stuff because there is no profit in cheap stuff.

  • tankcat on 30/04/2023 - 15:11

    A new benefit for all members will be our suite of Costco Services. This will bring members exclusive potential savings beyond the warehouse on a range of everyday expenses like insurance, finance and utilities.

    Anyone know what this is?

    • burningrage on 01/05/2023 - 09:52

      I am guessing coffin will be one of those savings since they are selling those :-)

      • try2bhelpful on 01/05/2023 - 09:54

        The coffin disappeared for a while. Maybe they thought they were bad taste during Covid, particularly as it is an American company.

  • neonlight on 01/05/2023 - 09:55
    +2

    Costco using CPI as an excuse.

    • Gdsamp on 01/05/2023 - 11:56

      Just doing what everyone else is doing.

      • neonlight on 01/05/2023 - 15:49
        +1

        Like the banks, increase it just cause they can right?

  • RedDevil860 on 01/05/2023 - 13:40
    +2

    If you shop regularly at Costco, it does not matter.

  • TrafalgarSean on 01/05/2023 - 23:06

    Is it true that the Moorrabbin petrol pumps at Costco are down for a while due to upgrades? That also hurts if thats a key reason for going.

    • try2bhelpful on 02/05/2023 - 10:17

      They are down being refurbished until 13th of June. There are other Costco stores that have petrol. The trouble with Moorabbin was if the back bowser was in use it was hard to get past cars to use one of the front ones if they were unoccupied. With the Epping store they’ve designed it so there is a sufficient gap you can get passed the last car to use the spare bowsers. I’m hoping that the Moorabbin bowsers are being redesigned to do that as well.

  • w0421981516 on 03/05/2023 - 16:56

    Everything goes up in Australia except the wages, but for membership fee? Really?

    Well if Costco's all product are sold at cost prices and membership fees is the only way they are making margin, I can understand but that is not the case!

    Their products' retailing prices went up already as their cost is higher, running cost is higher, I can understand, but how the shop entry fee needs to go up?

    That is simply rip off!

    • melbourne guy on 03/05/2023 - 17:50

      One way they are justifying it is they are planning to offer discounts on financial, insurance and utility products. Depending on how good these discounts are, the extra $5 may be worth it.
      And at least this is not as bad as Prime going up $20!

    • ozbs25 on 03/05/2023 - 20:35

      If you can't make back the membership fee within a shop or two then honestly, Costco is not for you.

  • zzyss on 13/05/2023 - 15:55

    LOL I got the $10 for enabling auto renew just before this price rise announcement. Winning.

    • try2bhelpful on 13/05/2023 - 16:58

      We did too, but we were due anyway. Went to get the voucher and it hadn’t turned up in their system. I opened the app and showed them it was in auto renewal.

  • RichardL on 30/05/2023 - 18:04

    Local Costco Facebook Group just posted an invitation to Costco Executive Membership Launch on the 1st of June.

    The Executive Membership might be similar to Costco US.

    EDIT: Additional information from 9News; Membership will cost $130 and provide 2% Cashback on eligible purchases.

    Doing the maths, you would have to spend $6600/year ($550/month) just to cover the Executive Membership Cost from cashback…

    • try2bhelpful on 30/05/2023 - 20:11

      If you are buying for a business you would cover this.

    • ozbs25 on 01/06/2023 - 13:51

      Full details are on their website now.

      Also, I don't think you really need to worry about covering the full $130. Isn't it more about covering the difference between the regular membership and the executive one? Obviously would want as much back as possible.

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