Every day, thousands of shoppers push their ultra-wide shopping carts through Costco's warehouse doors, collectively spending more than $237.7 billion last fiscal year.
The wholesale club boasts 129.5 million membership cardholders representing households and small and midsize businesses, but which shoppers are the "typical" Costco shoppers?
Here's what the data suggests.
Nearly half of US consumers shopped at Costco at least once last year, with 87% of those visiting two or more times, according to data fromconsumer analytics firm Numerator.
Costco is the third-largest retailer in the US, and its repeat visits are roughly on par with most other big box retailers, but well behindWalmart's 96% repeat rate.
Like most companies in Numerator's panel, Costco's typical shopper is a 69-year-old white woman earning $60,000, which Numerator says is due to them more often being the primary shoppers in their families.
But compared to its peers, the wholesale club is more popular with higher-income millennial and Gen X households. In particular, Asian-American shoppers are even bigger fans of the brand, and are nearly twice as likely as the average US consumer to shop at Costco, according to Numerator's data.
The retailer also consistently leads the pack when it comes to customer satisfaction, though Walmart and Target are gaining ground.
The typical customer visits Costco every two weeks or so — about 30 trips per year — and spends about $100 per trip for a total annual expense of $3,018.
In addition, about one-eighth of her total retail spending is at warehouse clubs, a bit shy of twice the budget that most US households spend in the category.
As it happens, that's exactly how much she needs to spend to earn the $60 in Executive Member reward credits that would offset the cost of upgrading from the basic Gold Star membership.
Compared with other shoppers, Costco members are more likely to be homeowners who love organic foods and actively manage their health.
Costco employs 316,000 people and has more than 875 warehouses around the world, including 751 across North America.
Correction: February 28, 2023 — An earlier version of this article incorrectly stated that Asian-American shoppers were nearly twice as likely to shop at Costco than other retailers. The demographic is nearly twice as likely to shop at Costco than the typical US consumer.
FAQs
The average Costco shopper spends $250 per month
How much does the average Costco customer spend? ›
The typical customer visits Costco every two weeks or so — about 30 trips per year — and spends about $100 per trip for a total annual expense of $3,018.
What is the average sales per customer at Costco? ›
Meet Costco's typical shopper
(Costco was founded in Seattle, Washington.) The average customer shops at Costco on a Saturday or Sunday every two to three weeks, about 23 trips a year. They also purchase nine items with a total cost of $114 per shopping trip.
What is the average daily income for Costco? ›
The daily revenue for one Costco store is around $530,000. Costco's total net income was $5.007 billion in 2021. Costco has 804 global stores, with over 500 of those being located in the US. Costco's net worth in January of 2022 is $214.1 billion.
How many customers does 1 Costco have per day? ›
Three million members a day enter Costco's stores to get their fix. Yes, you read those numbers right. In today's over-stored and over-stuffed retail environment, the equivalent of almost one-fifth of the U.S. population is paying for the privilege to shop at a particular store.
What is the average monthly spending at Costco? ›
The average Costco shopper spends $250 per month
Broken down, the average Costco member is implied to spend an average of $250 monthly on Costco products. That checks out. It's two weekly trips with a $100 budget, plus an extra $25 for random last-minute stuff that you only knew you wanted when you saw it.
How much do you have to spend at Costco to get $120 back? ›
| Paid Executive Membership 2% Reward |
|---|
| Monthly Purchases | Yearly Purchases | Approximate Annual Reward |
|---|
| $250 | $3,000 | $60 |
| $500 | $6,000 | $120 |
| $800 | $9,600 | $192 |
3 more rowsCostco membership is $60 a year. An Executive Membership is an additional $60 upgrade fee a year. Each includes a free Household Card. Please include sales tax in all applicable states.
What is the average profit margin at Costco? ›
Costco Wholesale's gross profit margin for fiscal years ending September 2019 to 2023 averaged 12.7%. Costco Wholesale's operated at median gross profit margin of 12.9% from fiscal years ending September 2019 to 2023.
What is the average turnover at Costco? ›
Its employee turnover rate of 8% is less than one seventh of the average for retailers. Former CEO Jim Sinegal told my MIT MBA students that when he and Jeffrey Brotman cofounded Costco in 1983, they didn't set out to be the biggest retailer; they set out to be the best.
It's important to note that the typical Costco shopper has a considerably higher household income than those who rely on Target and Walmart: $128,000 versus $80,000.
How much does the average Costco store make a year? ›
As a result, Costco's average sales per warehouse amounted to 252 million U.S. dollars that year. The average number of sales at Costco has risen in recent years from 155 million U.S. dollars per warehouse in 2012 to 252 million U.S. dollars per warehouse in 2023.
Can you make a living at Costco? ›
Working at Costco isn't typically considered a sustainable career, but the company has better wages and benefits than some of its competitors. According to ZipRecruiter, the average hourly pay for a Costco employee in the U.S. is $20.52 per hour, or $42,688 per year, which is about the same as a teacher's.
Who is Costco's most common customer? ›
The typical Costco shopper in the United States is an Asian American woman between 35 and 44 years old who is married with a four-year degree (or higher) and earning over $125,000 per year. Costco's next most popular age group is those over the age of 65.
Is Costco owned by Walmart? ›
Costco is a publicly traded company, while Sam's Club is a subsidiary of Walmart. Costco's membership fees are more expensive and the prices of basic products at Sam's Club are generally cheaper.
Is Costco worth for one person? ›
If you're single, you may not need the bulk version of every perishable item you tend to consume. But if you're someone who cooks often, you may benefit from some of Costco's grocery deals. And even if not, there are plenty of non-perishables you may be able to enjoy on your own well before they go bad.
How much do you have to spend at Costco to break even? ›
To break even on the cost of upgrading your Costco membership, you need to spend $3,000 in a year -- because 2% of $3,000 is $60, which is the price difference between the basic membership and the Executive one. So once you've spent just $3,001, you're ahead financially with the Executive membership.
How much profit does Costco make from membership fees? ›
“If you look at Costco, you have to realize they're using these membership fees to pay for the rest of their goods.” More fees, more profits: As Taylor pointed out, membership fees generated $4.5 billion in revenue in 2023, which is 72% of its total income of $6.3 billion.
