Affluent Costco Shoppers Love These Unexpected Luxury Deals

Think Costco is just for bulk toilet paper and discount rotisserie chickens? Think again.

Costco’s Chairman, Tony James, dropped some interesting knowledge. Even after 36 years on the board, he’s still fascinated by what people buy there. It’s like a window into the soul of the American consumer.

Beyond the Hot Dog: Gold Bars and Diamonds?

We all love the $1. 50 hot dog deal. But get this: Costco is also moving serious amounts of gold bars. Like, analysts estimate up to $200 million a month!

And get this story: A Porsche dealer put cars in a Seattle Costco. Sold out in a week. Seriously!

Who’s Shopping There? More Than You Think

Costco has a ton of members – about 137 million. James says most are “average-income earners. ” But… they also have a bunch of “affluent members” making double the average income.

What does this mean? They can do some pretty wild things.

Dom Perignon, Anyone?

Costco sells more high-end Dom Perignon Champagne than almost anyone. They’ve been doing it for decades. Back in 2001, they were already the biggest retailer of it in the US.

Millennials and Gen X are In On It

Data shows that higher-income Millennials and Gen X prefer Costco. They’re not just buying in bulk; they’re buying smart.

The Magic Formula

“We’ve always known we could move anything in volume if the quality was good and the price was great,” James said. “Rolex watches, Dom Perignon, 10-carat diamonds…” You name it.

The takeaway? “Affluent people love a good deal. ”

Kirkland is King (or Queen)

Don’t forget the Kirkland brand. It’s huge. James says it’s “the second-largest brand anywhere. ”

The Bottom Line

Costco’s killing it. Net sales were up over 9% in January 2025. A good deal is a good deal, no matter how much money you have.