It is no secret that Costco (COST) has a strong fanbase. Thanks to social media platforms like TikTok, Costco has skyrocketed in popularity for its deals, products and food court menu items such as its viral chicken bake and $1.50 hotdogs.
The warehouse club even recently faced a boost in membership numbers. Costco revealed in its latest earnings report that during the first quarter of fiscal year 2025, it saw membership numbers increase by 8% year-over-year.
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Costco’s net sales also spiked by about 7% year-over-year, while its total revenue also increased by roughly 7%, compared to the same time period last year.
Related: Costco faces boycott threats after defending controversial policy
Over the past year, Costco has scaled back a few privileges that its members love. Some of those changes include cracking down on membership card sharing, requiring shoppers to have memberships in order to purchase food court items, and limiting book-selling to just the holiday season.
Costco cuts a popular privilege
Now, it appears that Costco has cut another major perk, and members are divided about the change.
Customers wait on line at a Costco food court in Austin on June 24, 2022.
Shutterstock-Ant DM
In a series of posts on Reddit, shoppers have recently been flagging Costco’s removal of public-use coffee grinders from its stores. Access to the machines is a perk that allowed members to grind their own coffee beans, and the machines were often located near the food court and checkout area.
In one Reddit post, a Costco shopper shared an image of a new sign at one of the warehouse’s locations that states: “The coffee grinders are no longer available in the warehouse.”
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In response to the post, some Reddit users said that they weren’t surprised by the change as they often spotted members abusing the privilege, including inserting items such as hot dogs and nuts into the machines.
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Others, who claimed that their local Costco also removed the coffee grinders, welcomed the change with open arms.
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In a separate popular Reddit post, another Costco member expressed sadness at the removal of the coffee grinders from stores.
“The coffee grinder were just super convenient for me, bought the coffee bag in grains, and grind it right after cashing out,” wrote the Costco member. “This was one of my main reason for going to Costco, to get freshly ground coffee for a decent price!”
Costco did not immediately respond to TheStreet’s request for comment.
Costco recently made a controversial membership change
The removal of the membership perk comes after Costco raised its membership fees in September for the first time in seven years. Costco’s basic annual membership fee increased from $60 to $65, while its executive annual membership fee rose from $120 to $130.
Costco announced the price increases after it revealed early last year that it was increasing wages for managerial roles and hourly employees in its warehouses.
Related: 5 major retail chains that threatened to raise prices in 2025
In addition to increased membership fees, it is possible that Costco members will soon have to cough up more money when shopping at the warehouse club.
After President-elect Donald Trump vowed to impose tariffs on imported goods from multiple countries as soon as he takes office this month, Costco warned that the change may result in higher prices for consumers.
“When it rains, it rains on everybody,” said Costco Chief Financial Officer Gary Millerchip during an earnings call on Dec. 12.
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Tariffs are taxes companies pay to import goods from overseas, and it is common that the extra costs are passed down to consumers.
Despite the looming threat of potential price hikes, Costco will, however, implement a plan to prevent skyrocketing prices. The warehouse club will continue to ramp up inventory buying before tariffs are officially imposed, and it will also try to work with its vendors in order to mitigate costs.
Millerchip also stated during the call that the company will also “consider alternative sourcing locations” and may even pull back on stocking up on low-performing products in stores.
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