Walmart is giving shoppers another reason to keep paying for its membership program. And this time, the benefit is something every driver wants: cheaper gas.
Walmart+ is adding CITGO stations to its Gas Savings program, expanding the benefit from 13,000 to more than 17,000 participating locations across the U.S.
Members can save 10 cents per gallon at participating stations, and Walmart said the expansion increases the program’s footprint by roughly 30%.
“A membership has to earn its place in a household budget,” said Deepak Maini, Walmart+ senior vice president and GM.
“That’s why we’re focused on delivering real value members can use again and again. Expanding our Gas Savings benefit by adding CITGO stations gives members even more places to save, with convenient locations that fit into their rhythm of daily life.”
Walmart+ gas savings offer significant benefit for consumers
Walmart+ costs $98 a year. But the program’s gas savings can help offset that expense for households that regularly fill up their cars.
Walmart said that between March 2025 and March 2026, members who used the gas benefit at least once a week saved an average of $109, which is more than the annual membership fee.
Related: Costco asks members to help make stores better
The expanded gas station footprint is also a smart investment on Walmart’s part.
“Our members spend approximately four times more than non-members,” Walmart CFO John Rainey noted during the company’s second-quarter 2027 earnings call, illustrating the strategic importance of the Walmart+ and Sam’s Club membership programs.
“Membership was also a highlight with double-digit growth for Walmart+ and strong growth for Sam’s Club in the U.S., China, and Mexico,” CEO John Furner noted.
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The gas battle could give shoppers another reason to choose Walmart over Costco
Walmart’s focus on gas may help the company give Costco a run for its money.
Costco has long promoted its gas stations as a membership benefit, offering members discounted fuel and Kirkland Signature gasoline that meets TOP TIER performance standards.
The difference is that Costco generally requires shoppers to go to a Costco fuel station. Walmart is taking a broader approach by allowing Walmart+ members to use their benefits across a network that includes participating Walmart, Exxon, Mobil, and now CITGO stations.
The gas expansion comes as Walmart works to make Walmart+ feel less like a shopping subscription and more like an everyday household utility.
That’s a smart move, because consumers are more likely to keep paying a recurring fee when they can point to benefits they use regularly.
Free delivery, pharmacy delivery, and streaming services may have value. But saving money at the pump is a perk that’s hard to beat.
Will Costco lose business due to Walmart’s gas expansion?
Though Walmart+ may be growing, Costco has proven itself to be the winner in the warehouse club and membership space.
During its most recent earnings call, Costco boasted a membership renewal rate of 92.2% across the U.S. and Canada.
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Interestingly, Costco has been branching out into stand-alone gas stations, which strays from its core model. But for the most part, Costco’s fuel stations are attached to a warehouse club store.
And that tends to work to Costco’s advantage. Once members are on site, they’re more likely to enter the store, shop, and spend.
Rather than driving more people into stores, Walmart is trying to make its gas savings available in more places where consumers already buy fuel. And that distinction might also help Costco maintain its edge.
But at the end of the day, Walmart is clearly betting that offering more value for Walmart+ will boost membership rates — and, in turn, revenue. And that’s not a bad strategy at all.
Maurie Backman owns shares of Costco and Walmart.
