Although that might seem like a minor aside for a global retail chain valued at $354 billion, Costco’s low-cost dog has become an emblem of the company’s commitment to delivering value. In short, it’s great marketing. Costco hasn’t hiked the price of its hot dog since 1985.
Costco has even cracked down who uses its food court to ensure that only warehouse members can get discounted dogs. A basic Costco membership costs $60 annually, while the executive membership, which has perks like a 2% cash-back reward, runs $120 per year.
Costco has interest in emphasizing its affordable prices as inflation-weary consumers pull back on everything from fast food to takeout coffee. Target, Walmart, Walgreens and other retailers have also recently dropped their prices on a range of goods.
Of course, the Costco dog isn’t the only product out there whose price seems like it’s from yesteryear. Other popular items whose inflation-adjusted prices have remained relatively low, or even dropped, over the years include coffee, televisions and plane tickets.
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