Costco's expansion shows no signs of slowing down! The wholesale retail giant is doubling down on its commitment to bringing its unique shopping experience to more communities in the coming years. This means more opportunities for savings, bulk purchases, and, of course, those irresistible food court treats. It's an exciting time for both existing members and those eager to discover what Costco has to offer.

CEO Ron Vachris recently confirmed that Costco plans to open at least 35 new stores in fiscal year 2026. This aggressive expansion strategy underscores Costco's confidence in its business model and its dedication to meeting the growing demand for its services. These new locations represent more than just retail outlets; they're hubs for value-conscious shoppers seeking quality products at competitive prices.

Vachris highlighted that within those 35 new warehouses, five will be relocations, suggesting strategic moves to optimize existing operations and better serve established customer bases. Relocating stores can often lead to larger spaces, improved layouts, and enhanced amenities, all contributing to a better shopping experience.

"We continue to see significant opportunities for expansion, both domestically and internationally, across markets where we currently operate," Vachris stated, emphasizing Costco's global ambitions. This statement reveals a broader vision that extends beyond the U.S., signaling Costco's intent to further solidify its presence in international markets.

This pace aligns perfectly with Vachris' earlier statements indicating an expected annual store opening rate domestically. The consistent rate of expansion demonstrates a well-oiled machine, efficiently identifying, developing, and launching new locations to meet consumer demand.

Looking ahead to 2025, the CEO anticipates having 27 new stores operational by the end of December, pushing Costco's total global store count to an impressive 914. This rapid growth solidifies Costco's position as a major player in the retail landscape and emphasizes its appeal to a broad customer base.

In the immediate future, Costco is set to unveil new stores in Michigan and Pennsylvania by October 31st, capping off the year with a flurry of activity. These openings demonstrate Costco's commitment to bringing its brand to diverse communities across the United States.

Costco's membership numbers continue to climb, with a reported total of around 80 million members, of which 37.6 million are Executive members. This loyal membership base is the backbone of Costco's success, providing a recurring revenue stream and a strong foundation for future growth.

Costco offers two primary membership tiers: the Executive membership, priced at $130 annually, and the Gold Star membership, available for $65. The tiered structure allows customers to choose the membership that best aligns with their spending habits and desired benefits.

Executive members enjoy a range of exclusive perks, including an annual 2% reward on eligible purchases, discounts on Costco Services, and other valuable benefits. These extra perks are designed to reward loyal customers and incentivize them to spend more at Costco.

This past summer, Costco implemented a policy change granting Executive members exclusive early access to stores, specifically one hour before regular opening hours. This created a tiered shopping experience for members.

This change, while intended to enhance the value of Executive memberships, led to some frustration from Gold Star members, who found themselves restricted from entering stores during the early access hour. The policy caused some friction among members, as Gold Star holders couldn't shop during that early time slot.

Some Gold Star members were reportedly so frustrated that they even considered canceling their memberships. The restriction of access created a sense of inequality and sparked some dissatisfaction among a portion of Costco's customer base.

However, CEO Vachris maintained that Costco had clearly communicated the changes regarding the early access benefit. Transparency in communication is crucial when implementing policy changes to avoid misunderstandings and maintain customer satisfaction.

"So, we feel that the word is out there, we feel that we continue to communicate the executive member benefits as we continue to add to that suite of services that they get," the CEO explained. Costco is actively working to ensure that all members are aware of the Executive membership benefits and the value they provide.

Vachris also noted a "meaningful increase" in upgrades from Gold Star members to Executive memberships since the new benefits were announced. The allure of early access and other exclusive perks is clearly resonating with a segment of the membership base, driving upgrades and increasing revenue.

Furthermore, Costco has reported that Executive members are experiencing smoother shopping trips due to early access. Less crowding in the aisles is one benefit that members are enjoying.

The early hours were also reported to be freeing up parking spots. The less crowded parking lots during early access hours is proving to be an added convenience for Executive members.

"Costco opening at 9 am has seriously changed my life," a satisfied shopper shared in a Reddit thread, highlighting the positive impact of the early access hours. The anecdotes on social media showcase the real-world benefits of the policy change for those who take advantage of it.

According to the CEO, approximately 50% of new Costco members are under 40, indicating a growing interest in the warehouse retailer among younger generations. Attracting younger demographics is crucial for Costco's long-term sustainability and future growth.

As Costco manages the influx of new memberships and seeks to improve the overall shopping experience, the company is investing in technology to streamline the checkout process.

"Another way we are improving the member experiences are through the rollout of enhanced checkout technology at all US warehouses," Vachris explained, highlighting Costco's commitment to innovation. Investing in technology is key to enhancing efficiency and customer satisfaction in a fast-paced retail environment.

This enhanced checkout technology is being implemented in the self-checkout area, where a staff member scans the membership card and items while the member is still in line. This speeds up the process, reducing wait times and improving the overall checkout experience.

Then, when customers head to the kiosk, they simply scan their membership card, and all their items instantly appear for payment. This is convenience for the customer while speeding up lines.