Costco Courts Younger Members With Digital Push

The warehouse retailer says its under-40 membership has grown sharply and is reshaping how it engages shoppers through its website and app.

Updated on Nov. 7, 2026 in Language Learning

Empty warehouse aisle of steel racking stacked with wrapped bulk goods, receding toward a bright loading bay. — Costco says its under-40 membership has grown nearly 60% since Covid, and younger members now make up more than a quarter of its base. AI Illustration. Upload story photo >

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Costco reports that its base of members under 40 has grown nearly 60% since Covid, and those younger members now make up more than a quarter of its total membership. The company is investing in digital tools, including a redesigned website and app, to reach them.

Why it matters

Younger members typically join through digital channels and start out spending less than older members, but they tend to grow into higher-spending shoppers over time. Shifts in membership demographics are prompting Costco to direct resources beyond its warehouses.

Costco says its under-40 member base has grown nearly 60% since Covid, and members under 40 now account for more than a quarter of its total membership. The company has not released absolute membership numbers or spending figures for this group in the available reporting.

The players

Costco

Costco is a large American membership warehouse club chain known for bulk retail and its paid membership model.

The details

Younger Costco members generally sign up through digital devices, and the company has made changes to its app and digital member experience over the past year. Costco has also invested in artificial intelligence, which it references frequently on earnings calls, and uses member information to personalize engagement.

Since Covid: the under-40 member base grew nearly 60%.
Over the last year: Costco rolled out app and digital experience improvements.
During its fourth-quarter earnings call: the CEO explained shifts in the member base composition.

Market Landscape

Costco's business rests on membership fees, so attracting customers who may spend less at first but grow into higher spenders is central to its model. Its push toward digital engagement reflects a broader effort by membership retailers to keep younger shoppers within a recurring-fee relationship.

Shoppers who join Costco through its app may notice more digital tools for checking in-store stock and tracking prices. Members who are new to the warehouse club may find personalized prompts that help them plan purchases.

The takeaway

Membership retailers increasingly rely on digital tools to build loyalty among younger shoppers who may start small and spend more over time. Readers who use retailer apps can check stock and prices before visiting a store to make shopping trips more efficient.