Home > Business > Industry

Costco to hike Korean membership more than Japanese, U.S equivalents

Published: 06 Feb. 2025, 16:39

KIM JU-YEON
[email protected]

A sign for Costco membership is displayed at a branch in Seoul on Feb. 3. [NEWS1]

Costco is hiking the price of basic membership in Korea by a higher percentage than it will for its Japanese counterpart in May and the same membership in the United States and Canada last year.

On May 1, the same day of the Korean price hike the company announced Monday, the basic Japanese Gold Star membership will rise 9 percent to 5,280 yen ($35) per year from 4,840, according to a notice posted to Costco's Japanese website, lower than the 11.7 percent hike the wholesale giant announced for Korean Gold Star members.

However, the Business membership, which is only available to business owners, will jump by 24.7 percent for holders in Japan, to 5,280 yen from the current 4,235 yen, to match the price of the Gold Star membership. The Korean equivalent is will rise just 15.2 percent, remaining slightly less expensive than the Gold Star tier.

When Costco hiked the prices of Gold Star and Business memberships in the United States and Canada for the first time in seven years last September for the first time since 2017, they rose just 8.4 percent; both are now $65 a year.

Costco’s Business membership allows business owners to purchase products for their business, personal use or resale.

Costco Korea’s announcement for the imminent price hike drew mixed responses from Korean customers. Rather than the difference in price hike rates by country, users on social media criticized the wholesale giant’s decision to raise fees despite continuously performing well the country. Many, nevertheless, intend to continue subscribing.

“If it’s a price hike of 5,000 won [$3.45] in nine years, isn’t that a great deal?” a user on X wrote on Wednesday.

Costco's Korean sales rose 7.6 percent on year to 6.53 trillion won from September 2023 through August 2024, according to an electronic disclosure submitted to the Financial Supervisory Service. Operating profit rose 15.8 percent, and net profit grew 58.1 percent. Around 150 billion won, the majority of the earnings, was sent to the company's U.S. headquarters in 2024.

BY KIM JU-YEON [[email protected]]