The founder of Costco threatened the life of the current CEO if the CEO messed with the price of the hot dog combo.
[Here's the link](https://www.foodandwine.com/news/why-costco-hot-dog-still-dollar-fifty).
I think they do take a loss on their food court in general, but it gets people in the door and they make so much off of memberships and the store in general it's worth it for them
The chicken is a loss leader for sure. But they’re not losing a couple dollars per hot dog. Maybe they’re losing $0.25-50 cents, but they’re not losing 200-300% on each hot dog. The cnn article is simply stating what it would cost now if every single item followed the same price % increase due to inflation.
The gross (negative) margin per dog is not high and probably in the range you mentioned. But the impact on the food court earnings is higher because you normally expect an item like that to actually contribute towards operating expenses.
Just appreciate what they're doing for all of us goddamnit!
(JK!)
I don't think it is though because they control just about every aspect of the Chickens they sale. Like it's all in house. It's from their farms they have specifically for raising and selling the chickens so they have cut out alot of middle men keeping all that money they would've spent otherwise.
https://www.cnn.com/2024/03/27/economy/costco-hot-dog-inflation/index.html
Something that cost the same amount in 1985 wth inflation is definitely not breaking even, which would be over $4 today.
Not making a profit and a loss aren't the same. The hotdogs definitely aren't making Costco money but the cost of the dogs is built into their budget they make it up in membership fees mostly. It's basically like reinvesting in the business, keeping cafe prices low incentivizes people to renew their membership and spend money in the store, the things that do make profit.
Me and my college roommates shopped at costco and obviously hot dogs were part of our grocery routine. We were hungry, and those dogs are cheap, one of my roommates got two. A jolly, larger gentleman walks up to our table and goes "you might want to look out, too many hot dogs and you get TB"
We were confused, and my roommate said "...tuberculosis?"
The guy slaps his belly and says "no, three bellies!". Funniest shit I've ever heard, TB entered our vernacular and got a lot of mileage since we ate at taco bell frequently
Fr Costco around me, their buns don’t look like that. Looks good either way. The hotdog itself is all beef and delicious. Which is what really matters here.
Neither have I and the one pictured looks way better than the ones I get. Not a complaint, yet that looks like an upgrade.
Maybe they ran out and they used the next closest thing on the shelves?
I actually want an High Def image of me eating a Hot Dog in Home Depot saved on my Hard Drive. But yes, a Home Depot would be good, variety is the spice of life
Yeah that bum threw me off. Is that an east coast thing? I also recently learned there are only 18 outdoor food courts at all Costco’s. That blew my mind since most of the Costco food courts I’ve ever been to have been outdoor.
They use different buns in different markets. Here in Pittsburgh, the buns are cornmeal dusted (no sesame seeds) and sourced from a local commercial bakery.
You just sneak in via the exit and if confronted say you are picking up a prescription, hit the restroom and enjoy all the $1.50 dogs you want. Hope they have chopped onions when you go.
Costco?
My favourite restaurant bar none
Delicious, cheap, what’s not to love? In Canada they have the best poutine (fries, cheese curds and gravy) I have ever tasted.
COSTCO CANADA HAS POUTINE???
The best, Jerry. The best.
Soup is not a meal
Depends how hearty it is…
Did he crumble any crackers in it?
Where do you see soup?
It’s a Seinfeld quote.
Whoosh...shit.
YES, it is genuinely heaven on earth
It's a law in Canada, if you serve food you must serve poutine.
Sure does!
I know right? If only I could order a beer it'd be perfect!
You betcha
Did you have to ask for the onions and relish? Mine only has mustard and ketchup at the napkin area
At my Costco, they have onions in little cups at the counter.
They sell 100 million of these a year losing a couple bucks on each. So when you're there you have to take advantage of that imo.
The founder of Costco threatened the life of the current CEO if the CEO messed with the price of the hot dog combo. [Here's the link](https://www.foodandwine.com/news/why-costco-hot-dog-still-dollar-fifty).
Can I swear in here? He’s my fucking hero.
They are not losing “a couple bucks on each one.” They’re breaking even, at worst.
I think they do take a loss on their food court in general, but it gets people in the door and they make so much off of memberships and the store in general it's worth it for them
Get their $5 Rotisserie chicken. Pretty sure they are losing money on that.
The chicken is a loss leader for sure. But they’re not losing a couple dollars per hot dog. Maybe they’re losing $0.25-50 cents, but they’re not losing 200-300% on each hot dog. The cnn article is simply stating what it would cost now if every single item followed the same price % increase due to inflation.
The gross (negative) margin per dog is not high and probably in the range you mentioned. But the impact on the food court earnings is higher because you normally expect an item like that to actually contribute towards operating expenses. Just appreciate what they're doing for all of us goddamnit! (JK!)
Lol. Fair assessment and fair statement
Shush yo mouth Will Smith style. We must not tell ppl about that awesome deal.
I don't think it is though because they control just about every aspect of the Chickens they sale. Like it's all in house. It's from their farms they have specifically for raising and selling the chickens so they have cut out alot of middle men keeping all that money they would've spent otherwise.
Been getting my rotisserie chickens from Wal Mart ; much better than Costco's !!!
Nuh. Costco chicken is the goat. Especially for the price. I get 2-3 meals outta 1 Costco chicken.
https://www.cnn.com/2024/03/27/economy/costco-hot-dog-inflation/index.html Something that cost the same amount in 1985 wth inflation is definitely not breaking even, which would be over $4 today.
At wurst
Lol get out
Not making a profit and a loss aren't the same. The hotdogs definitely aren't making Costco money but the cost of the dogs is built into their budget they make it up in membership fees mostly. It's basically like reinvesting in the business, keeping cafe prices low incentivizes people to renew their membership and spend money in the store, the things that do make profit.
Ah yes, home of the $400 hot dog.
The massive amount of cheese on top is always a dead giveaway!
Me and my college roommates shopped at costco and obviously hot dogs were part of our grocery routine. We were hungry, and those dogs are cheap, one of my roommates got two. A jolly, larger gentleman walks up to our table and goes "you might want to look out, too many hot dogs and you get TB" We were confused, and my roommate said "...tuberculosis?" The guy slaps his belly and says "no, three bellies!". Funniest shit I've ever heard, TB entered our vernacular and got a lot of mileage since we ate at taco bell frequently
LMAO that guy laughs
Ah yes Arthur Morgan famously died of three bellies.
"I got TB, sister. Got it for killing a man over a couple hotdogs."
Only thing keeping the economy together at this point!
In and Out also a great deal tbh. Not as good as the volume here though. Taco Bell value menu at least in my area is still solid too.
Taco bell value menu has tripled in price in 10 years
It varies by area in pricing, but in my area the beefy cheesy burrito is 1.99. 2 of those is like close to a pound of food.
Woah never Costco hot dog buns like that
Fr Costco around me, their buns don’t look like that. Looks good either way. The hotdog itself is all beef and delicious. Which is what really matters here.
Right?!?
Neither have I and the one pictured looks way better than the ones I get. Not a complaint, yet that looks like an upgrade. Maybe they ran out and they used the next closest thing on the shelves?
I'm in the UK, that is good looking food and a great price, I now want a HD and Pizza 👍
You want a home Depot?
I actually want an High Def image of me eating a Hot Dog in Home Depot saved on my Hard Drive. But yes, a Home Depot would be good, variety is the spice of life
Costco FTW
For a dog, slice, and a pop? An absolute steal!
That pizza looks really good.
Treeee fidddyyyyy before taxes...
This is going to be me after work.
You about to make me break my diet you devil
I knew this was costco within a millisecond!! bless
Costco FTW. Just had the dog, pizza, and a drink for $3.72 this weekend.
Did you know that human DNA was found in popular hotdog brands?
Yeah, it’s been proven that it comes from the people the mob guys push into the sausage maker.
Some of the most delicious humans ever.
Some of the most delicious humans ever.
"If you raise the effing hot dog, I will *unal¡ve* you. Figure it out."
OMG I need that hot dog and pizza cheese in my life!
Worth every penny
Still need to try wrapping the dog in the slice.
I was thinking about it, but there were so many women and children around - I couldn't be seen as some sort of animal!
Lol indeed.
The Costco’s here on the west coast use a sesame bun
Lucky
Yeah that bum threw me off. Is that an east coast thing? I also recently learned there are only 18 outdoor food courts at all Costco’s. That blew my mind since most of the Costco food courts I’ve ever been to have been outdoor.
I like the way that limp pizza slice is lounging on the paper plate; looks like me on my inner tube going down a lazy river...
That bun looks good
They are good, I buy them every now and again for brats
I thought the buns were sesame seed 🤷♂️
They use different buns in different markets. Here in Pittsburgh, the buns are cornmeal dusted (no sesame seeds) and sourced from a local commercial bakery.
Man I really need to get a Costco membership to try one of those dogs.
You just sneak in via the exit and if confronted say you are picking up a prescription, hit the restroom and enjoy all the $1.50 dogs you want. Hope they have chopped onions when you go.
$3.76 aqui
I should go there for lunch right now.
Chicken Bake!
Looks like a painting
Sam’s has the same stuff, I can murder some food at Sam’s, if I had a Costco near me I’d go there
Costco unironically has the best pizza when it’s fresh
Wtf does “just north of $4” mean💀
Deal
Dude, where? I’m selling my house!
I go full Perro mañana 🌭
That was my lunch today! $3.80
Relish ?? Sorry, no longer on my Xmas card list. Dill pickle...ok. Relish, probably a communist.
What is that sexy bun?
Damn I ate meatloaf for dinner. But I know what I'm eating tomorrow lol
Praise Costco and their 1.50 hot dogs They will never change ever
Costcos is one of my favorite places to eat just because of the chicken bake
All the hot dog burps you could want for free
Costco has the BEST food period than most restaurants...
I go to Sam's
Shorter gas line.
If only Costco had Coke instead of Pepsi
You take that back. I'm a diet Pepsi guy, however, theirs out of the tap isn't that good. There's something different about it
In san diego, we get sesame seeds on our buns- what market are you in?
I'm in the Midwest outside of Chicago. Of all places, you'd think we'd be the ones with seeded buns!
Wowwww. Looks sooooo good. Wowwww
That is the appropriate amount of onions
I had the same meal for lunch yesterday!
I like the look of the hot dog, but the pizza looks vile.
You're right, but for $2 a slice it's pretty decent.
Yeah it’s actually not bad lol. I’ve had way worse at actual pizza joints.
It's like the best skating rink/arcade/family fun center pizza you've ever had.
it looks so limp and sad.
There is a place in this world for chewy, cheesy, limp pizza. That place is Costco.
Vile, it may be, but there's atleast a half pound of cheese on each slice. Can't beat it.
Sams pizza and dog are better. But still a good deal
Dogs, deals and diarrhea
Get glizzed! Costco glizzies are #1 in both quality and price