Costco Introduces Membership Scanners to Restrict Non-Member Entry
Costco Canada is implementing measures to prevent non-members from entering its stores. The retail giant is installing membership scanners at the entrance doors of each location in the coming months.
Once installed, customers will need to scan the barcode on their physical membership card or the QR code on their digital Costco ID to gain entry, rather than just showing their card to staff, as stated on Costco’s customer service page.
Costco will also have employees on hand to check for fraudulent membership cards. Customers without a photo on their card will be asked to show a valid photo ID at the door.
Those without a photo membership card will be instructed to visit the membership counter to have a photo added to their card, and all guests must be accompanied by a valid member for entry.
Costco Wholesale Canada has not provided further details on the timing of the scanner installations at its over 100 stores across the country.
According to a Reddit thread, scanners have already been deployed at various Canadian locations.
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Costco’s customer service page acknowledges fraudulent use of self-service checkouts and states that membership cards are not transferable. Non-members using cards that do not belong to them prompted this change.
Costco attributes its competitive pricing to the membership fees it collects, which helps reduce operational costs.
Last year, Costco commented on the issue, stating they do not believe non-members should receive the same benefits and pricing as members; hence, these new measures.
Additionally, Costco plans to raise its membership fees this fall. The retailer announced a $5 increase for Gold Star members and a $10 increase for Executive cardholders. Gold Star membership will increase from $60 to $65, and Executive membership will rise from $120 to $130.
Costco estimates that approximately 52 million memberships will be affected by the fee increase, with half of them being at the Executive tier.
Executive members currently receive a 2% reward on Costco purchases, capped at $1,000, but this cap will be raised to $1,250 starting on September 1.
