Costco cracks down on members’ families using ID cards to shop at wholesaler
Costco is taking a page out of the Netflix playbook by cracking down on non-members who shop at the big-box wholesaler.
The members-only retailer said that shoppers who purchase their items through the self-checkout lane will be asked to show their member ID and photo in order to confirm that they pay the annual subscription fee.
The move comes after Costco noticed a spike in unauthorized use of member IDs, the company said.
“We don’t feel it’s right that non-members receive the same benefits and pricing as our members,” the company told Insider.
“As we already ask for the membership card at checkout, we are now asking to see their membership card with their photo at our self-service checkout registers.”
The company added: “Costco is able to keep our prices as low as possible because our membership fees help offset our operational expenses.”
The Post has sought comment from Costco.
Costco boasts 125 million authorized ID holders, according to the most recent SEC filings.
The company derives most of its profit from its membership fees.
Costco offers three separate membership tiers — an executive, a business, and “Gold Star.”
An executive membership costs $120 annually while a business membership charges $60 annually with the option of adding “affiliate” cardholders for $60 each.
A “Gold Star” membership can be had for $60 annually.
Netflix last month announced a plan to crack down on the rampant sharing of account passwords in the US, its latest bid to reel in more subscribers to its video streaming service as its growth slows.
To combat password sharing, Netflix is limiting US viewership of its programming to people living in the same household.
Those who subscribe to Netflix’s standard or premium plans — which cost $15.50 to $20 per month — will be able to allow another person living outside their household to use their password for an additional $8 per month, a $2 discount from the company’s basic plan.
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