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Yahoo
18 hours ago
- Business
- Yahoo
Costco switches from Pepsi to Coca-Cola at food courts nationwide
This story was originally published on Costco is transitioning its soft drink offerings from Pepsi to Coca-Cola in food courts nationwide. The change was implemented at the beginning of July, with Costco expecting to complete the revised food court menu by the end of this fall. Costco drops Pepsi, ushers in Coca-Cola Costco Chief Executive Officer (CEO) Ron Vachris broke the news in January, explaining that Costco would be 'converting our food court fountain business back over to Coca-Cola' this summer, and the replacement will encompass all 908 Costco locations globally, which include 625 in the U.S., according to The New York Post. 'Costco insiders and Coca-Cola fans are buzzing about the transition, which will span warehouses in 14 countries, allowing Costco members everywhere to once again enjoy their favorite Coca-Cola beverages alongside Costco's beloved food court offerings,' Coca-Cola told FOX Business. The fan-favorite $1.50 hot dog and soda combo has remained unchanged for decades, and has been labeled by the company as a 'loss leader' among other items Costco has noted, like the $5 rotisserie chicken. The company's decision to revise the food court menu follows more than a decade of serving Pepsi products in its locations, starting in 2013. Across all Costco locations, the company's food court recorded 229 million sales of its hot dog and soda combo in fiscal year 2024, Vachris said, according to The New York Post. The new Coca-Cola offerings inside Costco's food courts are expected to include Original Coca-Cola, Sprite, Diet Coke, Coke Zero, Barq's Root Beer, and Minute Maid Lemonade, according to The U.S. Sun. Solve the daily Crossword
Newsweek
2 days ago
- Business
- Newsweek
Costco Rolls Out Coca-Cola Change At Food Courts
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Costco has officially begun replacing Pepsi products with Coca-Cola in its food court soda fountains. The rollout launched at the start of July and is expected to be completed by the end of this Fall, covering all 908 Costco locations globally, including 625 in the U.S. The New York Post reports. Newsweek contacted Costco via online form on Sunday for comment. Why It Matters This marks a major reversal for Costco, which had exclusively served Pepsi in its food courts since 2013. The decade-long switch was initially made to preserve the $1.50 hot dog and soda combo, a beloved fixture of the brand. The return of Coca-Cola to Costco signals a shift in supplier strategy and responds to long-standing customer preference. Cases of Coca-Cola are displayed at a Costco Wholesale store on July 12, 2025 in San Diego, California. Cases of Coca-Cola are displayed at a Costco Wholesale store on July 12, 2025 in San Diego, to Know Costco CEO Ron Vachris confirmed the change at the company's annual shareholder meeting in January, as reported by CNN, stating:" The new Coke lineup is expected to include the following, reports The U.S. Sun: Original Coca-Cola Sprite Diet Coke Coke Zero Barq's Root Beer Minute Maid Lemonade However, product offerings may vary by store location and state. This comes as President Donald Trump claimed on Truth Social that Coca-Cola plans to replace high-fructose corn syrup with cane sugar as its primary sweetener. Trump wrote on Truth Social on Wednesday: "I have been speaking to Coca-Cola about using REAL Cane Sugar in Coke in the United States, and they have agreed to do so. I'd like to thank all of those in authority at Coca-Cola. This will be a very good move by them—You'll see. It's just better!" As reported by Newsweek, Coca-Cola has responded to Trump's claim that it had agreed to use real cane sugar in its products but did not confirm or deny the statement. Coca-Cola replied to a comment on Trump's post, saying: "All Coca-Cola brand products are wholesome beverages manufactured in compliance with the federal law." What People Are Saying The Coca-Cola Company said in a statement to FOX Business, as per The New York Post: "Costco insiders and Coca-Cola fans are buzzing about the transition, which will span warehouses in 14 countries, allowing Costco members everywhere to once again enjoy their favorite Coca-Cola beverages alongside Costco's beloved food court offerings." What Happens Next The transition is scheduled to finish by fall 2025, with customers nationwide gradually seeing Coca‑Cola branding appear at food court fountains. Costco expects the $1.50 hot dog and soda combo to remain unchanged, maintaining its decades-old price point Meanwhile, the company continues to introduce new menu items and open additional stores. Analysts view the beverage switch as a strategic move to boost customer satisfaction, drive foot traffic, and reaffirm value perception.
The Hill
4 days ago
- Business
- The Hill
Costco begins swapping out Pepsi products at food courts
(NEXSTAR) — Sorry, Pepsi fans, a change months in the making is finally taking effect at Costco that may upend your $1.50 hot dog and soda combo. Back in January, CEO Ron Vachris confirmed Costco would convert its 'food court fountain business back over to Coca-Cola.' The switchover was expected to happen this summer, and, according to Reddit users claiming to be employees and customers, it has. In a statement to Nexstar, The Coca-Cola Company confirmed that its products began rolling out to Costco food courts on July 1. 'The news is true: Costco's legendary hot dog combo just got an ice-cold Coca-Cola upgrade.' Redditors across the U.S. shared that their local Costco warehouse had switched over, including locations in Tucson, Arizona; Fremont and Lakewood, California; Tampa; Chicago; St. Louis; Cherry Hill, New Jersey; and Nashville, among others. One user even shared a photo from Sendai, Japan. Why Costco, Sam's Club typically have lower gas prices than other stations The changeover at Costco food courts in 14 countries is expected to be completed fall of this year. All locations will receive traditional fountain units, not the Freestyle machines you may find at other retailers and restaurants. Photos posted to Reddit show traditional soda fountains with eight dispensers each. Available offerings include Coca-Cola, Diet Coke, Coca-Cola Zero Sugar, Sprite, and Minute Maid Lemonade. In some photos, Fuze Tea was an option, while others showed Powerade instead. Costco did not immediately respond to Nexstar's requests for additional information. Prior to Vachris' announcement, rumors had been circulating for months that Costco was planning to bring Coke back to the food court, drawing support from customers online. One Reddit user warned it 'better not be a December fools prank' while another said the then-rumor made their 'whole day.' Pepsi had been at Costco food court fountains for more than a decade, replacing Coca-Cola in 2013. When Costco swapped Coke for Pepsi, it was a move to help keep its beloved hot dog at $1.50. Costco has repeatedly reassured consumers over the last few years that it would not raise the price of its hot dog and soda combo, even as consumer prices rose and membership fees climbed. The combo has been available for $1.50 since the mid-1980s. The warehouse giant isn't the first to swap soda suppliers in recent years. Subway dropped Coke products for Pepsi last year. In early 2023, the Midwest fast-casual chain Culver's announced it was replacing Pepsi products with Coke, leaving some fans disappointed. Customers called it an 'all-time blunder' and one of the 'saddest' moments in their lives.
New York Post
01-07-2025
- Business
- New York Post
Costco quietly unveils a major perk that has shoppers racing to upgrade memberships
Costco officially rolled out new shopping hours for its U.S. executive members on Monday. The new hours enable Costco executive members to squeeze in some morning shopping before the company's U.S. warehouses let in people with Gold Star or business memberships. Advertisement Under the newly implemented 'Executive Member Shopping Hours,' those that belong to the $130-per-year membership get exclusive access to Costco and its array of goods from 9 to 10 a.m. on weekdays and Sundays and from 9 to 9:30 a.m. on Saturdays, per the warehouse retailer's website. The warehouses will open their doors to other members at their usual start times, 10 a.m. on weekdays and Sundays, and 9:30 a.m. on Saturdays. The company first revealed plans to introduce extra shopping time for executive members earlier in the month via social media. It also emailed executive members about the new benefit. 4 Costco officially rolled out new shopping hours for its U.S. executive members on Monday. AP Advertisement Costco's food courts, optical centers, pharmacies, and other 'ancillary departments will participate' in the 'executive member shopping hours,' though its pharmacies will remain closed on Sundays, according to a Facebook post. The company had 37.6 million paid executive memberships at the end of the third quarter. The 'executive member shopping hours' aren't the only hours-related operational move the popular warehouse retailer has undertaken in recent months. 4 Under the newly implemented 'Executive Member Shopping Hours,' those that belong to the $130-per-year membership get exclusive access to Costco and its array of goods, according to the website. dennizn – Advertisement Costco lengthened the hours that customers can use its North American gas stations to fill up their vehicles earlier this year. Costco Wholesale 'The combination of expanded gas station hours, new gas station openings, and lower prices at the pump have led us to having two of our all-time highest gallon weeks in the U.S. during the last month,' CEO Ron Vachris said in May. He also said the company continues to pursue various ways to 'improve the member experience' at the retailer's website, telling analysts and investors to 'be on the lookout for several new technology pilots we are focusing on to help our members check out through our front end at a faster pace.' 4 The warehouses will open their doors to other members at their usual start times, 10 a.m. on weekdays and Sundays, and 9:30 a.m. on Saturdays. Getty Images Advertisement 4 The company only allows members and people with Costco Shop Cards to shop at its often-bustling warehouses. UCG/Universal Images Group via Getty Images Costco recently 'engaged in some 'Scan & Go done by Costco' kind of tests' at some warehouses, according to Vachris. The company only allows members and people with Costco Shop Cards to shop at its often-bustling warehouses. Over the first three quarters of the year, Costco has generated nearly $3.6 billion in revenue from membership fees. They brought the company a total of $4.8 billion in revenue last year.
Miami Herald
23-06-2025
- Business
- Miami Herald
Walmart's Sam's Club and Costco make key pricing moves
Sam's Club and Costco have a unique rivalry, unlike most retailers, which have a key competitor that mostly sells the same stuff. Because both chains are membership-based, they're generally only competing for new members in locations where they both have clubs in the same geographic space. Even someone who strongly prefers Costco (COST) over Sam's Club probably won't drive more than a few miles if the Walmart brand happens to be a lot closer. Related: Iconic convenience store chain closing after long goodbye In reality, once Costco or Sam's Club capture a member, they're essentially competing with themselves. The goal of both chains is, of course, to hold onto members and maintain high renewal rates. If they can do that, their businesses succeed, because membership revenue is essentially pure profit. Don't miss the move: Subscribe to TheStreet's free daily newsletter Yes, Costco and Sam's Club want people to shop in their warehouses, but they mostly want that to entice the member to renew. All retail sales made by both chains are very low margin, and the two retail giants do everything they can to lower prices for members. It's a retention strategy that works, and now Sam's Club has made a move that may attract the attention of some diehard Costco fans. Image source:Consumers have become concerned about price because of the uncertainty around tariffs and the possibility of an escalating war with Iran. Those concerns have generally been good for Sam's Club and Costco, since in general, they have lower prices than other retailers and have been more willing to avoid passing on increases to members. Now, the retail giant has been very vocal about an effort to help members feel better about their finances, at least for a while. "This summer, we're giving our current and future members an extra reason to be part of the club," the chain shared on its website. More Food News: McDonald's brings back unexpected breakfast item after 6 yearsHershey creates new guilt-free candy that's a dream comboTaco Bell adds new beverages to hop on viral fast-food trend The chain said that it has been listening to its customers and wants to meet their needs. "So, starting today, we're locking the value on more than 1,000 summer favorites through July 22. From grilling gear and coolers to pool floats and fresh-cut fruit trays - members can count on consistent value for the season's must-haves. No surprises. Just confidence," the warehouse club shared. Holding prices may not seem that great, but it's a big promise at a time when costs are increasing. "And it doesn't stop there. On July 23, we roll right into our July Instant Savings Event, bringing even more deals on popular summer picks and back-to-school essentials," it added. Costco CEO Ron Vachris did make it clear that his chain has also been battling to keep prices down. "Our merchandising and operations team did a fantastic job in the quarter, delivering some strong financial results, while also maintaining our competitive price position despite a challenging macroeconomic backdrop," he said during the chain's third-quarter earnings call. The CEO explained how Costco is staying ahead of tariffs as well it can. "We're remaining agile as a situation with tariffs evolves, while also supporting the commitments we've made with our long-term suppliers. As an example of this, during the third quarter, we rerouted many goods sourced from countries with large tariff exposure to our non-U.S. markets," he shared. Related: Nike fumbles its biggest launch of the year The chain also took in added inventory. "In the U.S., we pulled forward some items that we had planned for the summer and sourced additional locally produced goods to reduce tariff impacts and ensure that we were in stock. Actions such as these are allowing us to continue to provide great values for our members, while also delivering value to our shareholders," he added. . The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
