Costco vs Walmart 2026: Price, Selection & Value
Costco operates as a membership-based warehouse club with higher average prices per item but bulk quantities and premium products, while Walmart is a traditional open-access retailer with lower everyday prices on individual items. Costco generates $70 billion in annual revenue with 68 million members, whereas Walmart generates $648 billion with unrestricted access.
Costco Wholesale Corporation
Membership-based warehouse club retailer operating 893 locations across 11 countries.
Families buying in bulk, businesses purchasing supplies, households with $100+ weekly grocery budgets, and bulk buyers seeking quality over variety.
Walmart Inc.
Global open-access discount retailer with 10,585 stores in 19 countries and $648 billion annual revenue.
Individual shoppers, price-sensitive consumers, small purchases, single-item buyers, those needing diverse product categories, and customers prioritizing convenience over bulk savings.
Quick Answer
AI SummaryCostco operates as a membership-based warehouse club with higher average prices per item but bulk quantities and premium products, while Walmart is a traditional open-access retailer with lower everyday prices on individual items. Costco generates $70 billion in annual revenue with 68 million members, whereas Walmart generates $648 billion with unrestricted access.
Our Verdict
AI-assistedChoose Costco if you buy in bulk, value premium quality products, seek competitive bulk pricing, and are willing to pay an annual membership fee for savings on high-volume purchases. Choose Walmart if you prefer shopping without commitment, need a wider product selection, make smaller individual purchases, or prioritize the lowest per-unit prices for single items.
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Choose Costco Wholesale Corporation if
Families buying in bulk, businesses purchasing supplies, households with $100+ weekly grocery budgets, and bulk buyers seeking quality over variety.
Choose Walmart Inc. if
Best pickIndividual shoppers, price-sensitive consumers, small purchases, single-item buyers, those needing diverse product categories, and customers prioritizing convenience over bulk savings.
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Key Differences at a Glance
- Business Model:✓ Walmart Inc. wins(Open-access discount retailer (no membership required) vs Membership-based warehouse club ($65-$130/year))
- Annual Revenue (2024):✓ Walmart Inc. wins($648 billion vs $70 billion)
- Global Membership Base:68 million members vs Not applicable (open access)
Key Facts & Figures
53 numeric metrics compared
| Metric | Costco Wholesale Corporation | Walmart Inc. | Ratio |
|---|---|---|---|
| Annual Membership Cost (Standard Tier)(USD) | $65 | — | — |
| Executive Membership Cost(USD) | $130 (2% cashback) | — | — |
| Number of Physical Locations(stores) | 871 | — | — |
| Annual Revenue (FY2025)(billions USD) | $252.6 | — | — |
| Bulk Item Price Advantage vs. Supermarkets(percent savings) | 3-8% | — | — |
| Private Label Product Rating(stars (0-5)) | Kirkland Signature 4.6/5 | — | — |
| Member Renewal Rate(percent) | 93% | — | — |
| SKU Count (Product Selection)(items) | 3,700-4,000 | — | — |
| US Store Locations(stores) | 877 | 4,749 | |
| Annual Membership Fee(USD) | $60 (Gold Star) / $130 (Executive) | — | — |
| Product SKUs Per Location(items) | 3,700-4,000 curated SKUs | — | — |
| Return Policy Window(days) | 90 days most items | 30 days | |
| Average Grocery Savings vs Retail(percent discount) | 15-30% bulk discount | — | — |
| Annual Revenue (2024)(USD billions) | $254.7B | — | — |
| Total US Employees(thousands) | 280,000 | — | — |
| Annual Revenue (FY2024)(USD Billions) | $70.0B | $648.1B | |
| Global Store Count(locations) | 893 stores | 10,585 stores | |
| Membership Base / Customer Accessibility(millions) | 68M members | Open access (unrestricted) | — |
| Product Selection (SKU Count)(items) | ~4,000 SKUs | ~140,000 SKUs | |
| Average Profit Margin(percent) | 11% margin | 22% margin | |
| Starting Employee Hourly Wage(USD/hour) | $17.50/hour | $11.50/hour | |
| Average Transaction Value(USD) | $135 per visit | $42 per visit | |
| Annual Membership Cost (Base Tier)(USD) | $65/year | $0/year (no membership) | |
| Total Store Count(stores) | 4,700+ | 4,700+ | |
| US Store Count(stores) | 2,800+ | 2,800+ | |
| Average Price on Basket (100 items)(USD) | $95-100 | $95-100 | |
| Loyalty Program Cost(USD per year) | $98 (Walmart+) | $98 (Walmart+) | |
| Private Label Customer Satisfaction(rating out of 5) | Great Value: 3.2/5 | Great Value: 3.2/5 | |
| Fresh Produce SKU Variety(SKU count) | 60-80 SKUs average | 60-80 SKUs average | |
| Fuel Rewards per $1 Spent(points/dollar) | Limited (with Walmart+ only) | Limited (with Walmart+ only) | |
| U.S. Store Locations(stores) | 4,700+ | 4,700+ | |
| Operating Profit Margin(Percent) | 5.3% | 5.3% | |
| Grocery & Food Sales (% of Revenue)(%) | 28-32% | 28-32% | |
| Private Label Penetration(percent of SKUs) | 24% | 24% | |
| E-commerce Growth Rate (2023-2024)(%) | 9.8% | 9.8% | |
| Median Customer Household Income(USD) | $48,000 | $48,000 | |
| Annual Revenue (FY 2024)(USD billions) | $648 billion | $648 billion | |
| Auto-Delivery Discount Rate(%) | 0% (no auto-delivery program) | 0% (no auto-delivery program) | |
| Average Premium Dog Food Price(USD per lb) | $1.05 | $1.05 | |
| Physical Store Locations(stores) | 4,700+ | 4,700+ | |
| Free Shipping Threshold(USD) | $35 with Walmart+ | $35 with Walmart+ | |
| Total Stores Operated(locations) | 4,750 | 4,750 | |
| Average Store Size(sq ft) | 185,000 | 185,000 | |
| E-Commerce Year-over-Year Growth(%) | 12% (2024) | 12% (2024) | |
| Standard Shipping Speed(business days) | 5-7 days | 5-7 days | |
| Private Label Sales Percentage(%) | 35% | 35% | |
| Supermarket/Grocery Locations(stores with full grocery) | 1,900 (40%) | 1,900 (40%) | |
| Average Price Index vs Competitors(relative basis points) | -8% (lowest) | -8% (lowest) | |
| Annual Membership Cost(USD) | $0 | $0 | |
| Product Selection (SKUs)(items) | 120,000+ | 120,000+ | |
| Bulk Item Price Advantage(% discount vs. retail) | 5-15% | 5-15% | |
| Gasoline Discount(¢ below market) | 2-5¢ | 2-5¢ | |
| Private Label Quality Rating(out of 5.0) | 3.2 | 3.2 |
Sourced from publicly available data ·
Key Differences
7 attributes compared head-to-head
- Membership-based warehouse club ($65-$130/year)Business ModelOpen-access discount retailer (no membership required)(winner)
- $70 billionAnnual Revenue (2024)$648 billion(winner)
- 68 million membersGlobal Membership BaseNot applicable (open access)
- $120-$150 per visit(winner)Average Transaction Value$35-$50 per visit
- ~4,000 SKUsSKU Count (Product Selection)~140,000 SKUs(winner)
- 11% average margin(winner)Markup on Products20-25% average margin
- $17-$18/hour(winner)Employee Hourly Wage (Starting)$11-$12/hour
- Business Model
Costco Wholesale Corporation
Membership-based warehouse club ($65-$130/year)
Walmart Inc.
Open-access discount retailer (no membership required)(winner)
- Annual Revenue (2024)
Costco Wholesale Corporation
$70 billion
Walmart Inc.
$648 billion(winner)
- Global Membership Base
Costco Wholesale Corporation
68 million members
Walmart Inc.
Not applicable (open access)
- Average Transaction Value
Costco Wholesale Corporation
$120-$150 per visit(winner)
Walmart Inc.
$35-$50 per visit
- SKU Count (Product Selection)
Costco Wholesale Corporation
~4,000 SKUs
Walmart Inc.
~140,000 SKUs(winner)
- Markup on Products
Costco Wholesale Corporation
11% average margin(winner)
Walmart Inc.
20-25% average margin
- Employee Hourly Wage (Starting)
Costco Wholesale Corporation
$17-$18/hour(winner)
Walmart Inc.
$11-$12/hour
Full Comparison
| Attribute | Costco Wholesale Corporation | Walmart Inc. |
|---|---|---|
| Annual Membership Cost (Standard Tier)(USD) | $65 | — |
| Executive Membership Cost(USD) | $130 (2% cashback) | — |
| Bulk Item Price Advantage vs. Supermarkets(percent savings) | 3-8% | — |
| Average Grocery Savings vs Retail(percent discount) | 15-30% bulk discount | — |
| Average Price on Basket (100 items)(USD) | $95-100 | — |
Show 5 more attributesAuto-Delivery Discount Rate(%) 0% (no auto-delivery program) — Average Premium Dog Food Price(USD per lb) $1.05 — Free Shipping Threshold(USD) $35 with Walmart+ — Average Price Index vs Competitors(relative basis points) -8% (lowest) — Bulk Item Price Advantage(% discount vs. retail) 5-15% — | ||
| Number of Physical Locations(stores) | 871 | — |
| Physical Store Locations(stores) | 4,700+ | — |
| Annual Revenue (FY2025)(billions USD) | $252.6 | — |
| Private Label Product Rating(stars (0-5)) | Kirkland Signature 4.6/5 | — |
| Private Label Customer Satisfaction(rating out of 5) | Great Value: 3.2/5 | — |
| Private Label Quality Rating(out of 5.0) | 3.2 | — |
| Member Renewal Rate(percent) | 93% | — |
| SKU Count (Product Selection)(items) | 3,700-4,000 | — |
| US Store Locations(stores) | 877 | 4,749(winner) |
| Annual Membership Fee(USD) | $60 (Gold Star) / $130 (Executive) | — |
| Product SKUs Per Location(items) | 3,700-4,000 curated SKUs | — |
| Product Selection (SKU Count)(items) | ~4,000 SKUs | ~140,000 SKUs(winner) |
| Electronics Price Match Window(days) | No price match policy | — |
| Return Policy Window(days) | 90 days most items(winner) | 30 days |
| Standard Shipping Speed(business days) | 5-7 days | — |
| Annual Revenue (2024)(USD billions) | $254.7B | — |
| Annual Revenue (FY2024)(USD Billions) | $70.0B | $648.1B(winner) |
| Operating Profit Margin(Percent) | 5.3% | — |
| Annual Revenue (FY 2024)(USD billions) | $648 billion | — |
| Total US Employees(thousands) | 280,000 | — |
| Global Store Count(locations) | 893 stores | 10,585 stores(winner) |
| Membership Base / Customer Accessibility(millions) | 68M members | Open access (unrestricted) |
| Average Profit Margin(percent) | 11% margin(winner) | 22% margin |
| Starting Employee Hourly Wage(USD/hour) | $17.50/hour(winner) | $11.50/hour |
| Average Transaction Value(USD) | $135 per visit | $42 per visit |
| Annual Membership Cost (Base Tier)(USD) | $65/year | $0/year (no membership)(winner) |
| Loyalty Program Cost(USD per year) | $98 (Walmart+) | — |
| Total Store Count(stores) | 4,700+ | — |
| Total Stores Operated(locations) | 4,750 | — |
| US Store Count(stores) | 2,800+ | — |
| Fresh Produce SKU Variety(SKU count) | 60-80 SKUs average | — |
| Fuel Rewards per $1 Spent(points/dollar) | Limited (with Walmart+ only) | — |
| 2-Hour Delivery Service(availability) | Walmart+ members only ($98/year) | — |
| U.S. Store Locations(stores) | 4,700+ | — |
| Grocery & Food Sales (% of Revenue)(%) | 28-32% | — |
| Private Label Sales Percentage(%) | 35% | — |
| Private Label Penetration(percent of SKUs) | 24% | — |
| E-commerce Growth Rate (2023-2024)(%) | 9.8% | — |
| E-Commerce Year-over-Year Growth(%) | 12% (2024) | — |
| Median Customer Household Income(USD) | $48,000 | — |
| 24/7 Customer Support | No - Standard hours only | — |
| Pet Prescription Services | Limited OTC only | — |
| Average Store Size(sq ft) | 185,000 | — |
| Supermarket/Grocery Locations(stores with full grocery) | 1,900 (40%) | — |
| Annual Membership Cost(USD) | $0 | — |
| Product Selection (SKUs)(items) | 120,000+ | — |
| Gasoline Discount(¢ below market) | 2-5¢ | — |
Costco Wholesale CorporationWalmart Inc.Show 5 more attributes
Pros & Cons
10 pros·4 cons across both
Costco Wholesale Corporation
Pros
- 11% markup vs 20-25% at competitors results in 15-30% lower prices on bulk items
- Premium Kirkland Signature private label products with rigorous quality standards
- Higher employee wages ($17-18/hour starting) and 90% retention rate reducing pricing pressure
- Gas stations on-site with prices typically $0.10-0.30 cheaper than local competitors
- Generous return policy with full refunds up to 2 years on most items
Cons
- $65-130 annual membership fee required (Gold Star or Executive tier)
- Limited SKU count of 4,000 products forces consumers to shop elsewhere for specialty items
Walmart Inc.
Pros
- 140,000 SKUs provide unmatched product variety including groceries, apparel, electronics, and pharmacy services
- No membership required—open access for all customers with lower barrier to entry
- Everyday low prices (EDLP) strategy with frequent rollbacks and price matching guarantee
- Omnichannel shopping with robust online fulfillment including same-day delivery and curbside pickup
- 2,800+ U.S. locations provide unmatched geographic accessibility and convenience
Cons
- 20-25% average markup results in higher per-unit costs compared to Costco on bulk purchases
- Starting wages of $11-12/hour and higher turnover affect service consistency
Frequently Asked Questions
5 questions
Yes, if your household spends $1,200+ annually on groceries and bulk items. The $65 Gold Star membership breaks even on savings within 2-3 months for typical families buying in bulk. Costco's 11% markup vs competitors' 20-25% markup means you save 15-30% on bulk purchases, making the fee recoupable quickly for regular shoppers.
Resources & Learn More
Curated sources to dive deeper
Wikipedia
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