Costco to Crack Down on Food Court Access for Non-Members

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Soon, grabbing a quick meal at Costco may be off the table without a membership. Read on to learn more. [[{“value”:”

One of the best aspects of shopping at Costco is getting access to a quick, cheap meal at the food court. Given some of the deals those food courts offer, including the famous $1.50 hot dog and soda combo, you’d be hard pressed to find a less expensive meal even if you were to make it in your own kitchen.

Now generally speaking, Costco’s rules dictate that you must have a membership card, or be the guest of a paying member, to access the store. And that extends to the store’s food court locations.

But many Costco locations have historically been pretty lax in enforcing that rule. And so at some locations, non-members have been enjoying their share of food court specials without having to cough up a membership fee. (To be clear, you can’t just shop at the store without a membership because you need to have your card scanned at checkout. But you don’t need to have your card scanned at the food court register.)

But now, Costco is changing its tune on food court access. And soon, non-members craving their $1.50 hot dog and soda, or some of the food court’s other creations, may be out of luck.

You’ll need a membership to grab that cheap lunch

Costco wasn’t always so strict about non-members using its food courts. And letting non-members eat at the food court had the potential to benefit Costco, since it was an easy way to get potential members in the door.

But one reason Costco may be changing its tune is that its membership base has grown nicely through the years. As of November of 2023, there were 129.5 million Costco cardholders across 72 million households.

Costco has long upheld a business model that’s centered on providing maximum value to its existing membership base. And while the company would no doubt like to continue to grow its membership, changes to food court access may be stemming from a desire to avoid overcrowding during peak meal periods — something that might sour the shopping and dining experience for existing members.

Should you join Costco for food court access alone?

Many people don’t go to Costco for the express purpose of grabbing lunch. Rather, they pick up a quick meal on their way out the door after they’ve already done their shopping.

Beginning April 8, an active Costco membership will be required to purchase food court items. But should you spend the $60 a year on a basic membership or $120 a year on an Executive membership to keep food court meals on the table?

A membership to Costco may not make financial sense if all you’re doing is visiting the food court a few times a month for lunch — especially if you tend to favor items that are more expensive than the $1.50 hot dog deal. But if you think you can benefit from Costco’s deals on household items, groceries, and gas, then a membership could make sense. You might more than recoup your annual membership fee in the form of savings on not just lunch, but groceries, cleaning products, and other supplies you use regularly.

Remember, too, that joining Costco isn’t such a risky prospect, because if you wind up unhappy with your membership, you can cancel at any time and get refunded. So if the idea of losing access to Costco’s food courts is upsetting, you may want to consider getting a membership and seeing where it takes you.

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The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Maurie Backman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy.

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