New ID Policy At Costco

Retail theft has been a huge problem over the last couple of years (at least according to most). So it shouldn’t be a surprise that shops are taking steps to reduce it wherever they can. Costco is focusing on one particular aspect of theft, but it’s a controversial move.

Here are Five Fast Facts on Costco’s new membership theft strategy:

  1. 💳 How It Works - Costco requires all of their customers to have a membership, of which there are three tiers (Gold Star, Business, and Executive) each with their own perks and benefits. Typically, you show your membership card when you enter, and scan it as a part of your checkout process when leaving.
  1. 📱 New Strategery - At a location near the company’s Issaquah headquarters – a site known for testing new features and policies – shoppers have been reporting that when entering now they have to scan their card and a photo of the card’s associated member is displayed to an employee who is monitoring the door.
  1. 👍 All In Favor - Some customers like this new policy, saying that if it helps reduce theft then it pays off in lower prices and better safety. It also beats having a non-member be turned away at checkout, with a full cart of stuff which they’re more likely to try to discreetly pocket rather than put back.
  1. 👎 All Opposed - Not everyone is a fan, though. Other shoppers find the extra scan and check a time-consuming hassle that simply isn’t necessary. It just creates a new bottleneck in the shopping experience.
  1. 🤔 The Wrinkle - One interesting complication to this new policy is that all members can assign a “household” card to someone else at their address. They have to provide proof of residence to get the card, but it does seem like this is a loophole waiting to be exploited if they adopt this policy.

🔥Bottom line: We totally get how businesses like Costco need to take steps to prevent theft! Seems like this is a reasonable step to take, but it’ll ultimately be up to the customers on whether the extra hassle is worth the benefits.

Do you think it will be?

Let us know by connecting with us on Facebook and Instagram! Also, remember to share this newsletter with your friends & coworkers!

BTW, If you’ve read this far and haven’t yet signed up for the weekly Paycheckology newsletter, CLICK HERE!