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Costco Tests Membership Card Scanners to Curb Non-Member Access

The move follows an increase in non-members using cards that don't belong to them after the expansion of self-checkout.

Costco customers entering a store in Issaquah, Wash., have their membership cards scanned on Wednesday. (GeekWire Photo / Taylor Soper)
The Costco Wholesale club store Daytona, Florida nears completion on Tuesday, Jan. 16. The Issaquah, Washington-based membership warehouse club chain is testing scanners at select locations to prevent non-members from using membership cards that do not belong to them.
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Overview

  • Costco is testing membership card scanners at the entrance of select stores to improve member experiences and curb non-members from using cards that don't belong to them.
  • The scanners read the bar code on the back of the membership card, displaying the membership record, including photo and status.
  • The move comes after Costco noticed an increase in non-members using cards that don't belong to them following its expansion of self-checkout.
  • Costco's membership model is crucial to its business, with annual fees contributing significantly to the company's profits and helping to keep prices low.
  • The company had around 66 million paid members and 119 million cardholders in 2022, making it one of the largest membership clubs in the world.