Here how Costco keeps its legendary hot dog at $1.50

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Despite consumer price increases and worldwide inflation, Costco’s signature $1.50 hot dog has maintained the same price since the 80s, according to Costco’s CEO Craig Jelinek. Jelinek discussed the origin story of the retail giant’s legendary hot dog with Yahoo Finance Editor-at-Large Brian Sozzi on Dec 5, 2022.
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Опубликовано:

8 дек 2022

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Комментарии : 148

@mostly-just_comments-and- Год назад

They forgot to mention the founder would kill them if they raised the price

@tek3920 8 месяцев назад

They already did. It’s $1.75 now. Tmrw could be $2.00 now. Enough is enough

@Nabrolo 8 месяцев назад

@@tek3920still 1.50 here

@skirk248 6 месяцев назад

@tek3920 it was a buck fifty last week

@mostly-just_comments-and- 6 месяцев назад

Why did I comment this

@abel6298 5 месяцев назад

Read your bible! (KJV, preferably) ❤️🎉

@cfwin1776 Год назад

Fighting inflation is easy, I just need to get a hot dog from Costco for every meal.

@xxtortellini1016 7 месяцев назад

And an Arizona to wash it down

@marcus8733 6 месяцев назад

That's still $12 per pack of hot dogs. A pack of hot dogs with eight in the bag shouldn't cause more than $12 so they making the profit

@abel6298 5 месяцев назад

Read your bible! (KJV, preferably) ❤️🎉

@callmeastro1734 5 месяцев назад

Besides how extremely unhealthy that is

@pattyg1184 2 месяца назад

@@marcus8733 no they actually lose money on the hotdog and drink combo

@atlasguytinyproductions55 8 месяцев назад

That hotdog’s practically their mascot now😂

@DiegoGomez-pk5tg 6 месяцев назад

You can't forget about the rotisserie chicken though

@jsj31313jj 3 месяца назад

"We are not selling products, we are acquiring customers." -Costco

@austinarroyo9629 Год назад

Was that the very CEO who’s life was threatened by the Costco founder after pitching the idea to raise the price?

@sherbet3657 Год назад

The ceo actually yelled at a shareholder who suggested that

@codered6938 9 месяцев назад

Founder was so based

@Levittchen4G 9 месяцев назад

He's the best CEO

@sunnyblossom_711 4 месяца назад

no, this is the second Costco CEO. the one that made the hot dog threat was Jim Sinegal.

@EyePatchGuy88 3 месяца назад

Yes, Cofounder Jim Sinegal threatened CEO Craig Jelinek's life over raising the price.

@oleksandrpastukhov9856 Год назад

It costs more than 1.50$ to produce, but subscription & other products are covering.

@js-gc2hk Год назад

but for how long?

@SC-bc6tz Год назад

@@js-gc2hk for as long as they sell and profit on other products. Little moves like keeping the hotdogs cheap actually bring in a surprising amount of customers because they prefer this stores “mindset” over others. Raising the price would most likely loose Costco more money overall as they go from a “wholesaler for the people” to being “money grabbers” which with deter a certain percentage of thrifty customers. Having certain staple items sold cheap sets the tone for the whole store and encourages the customer to buy more as they believe they’re getting an even better deal. Of course this is one of many tactics these shops use in order to attract customers and using this technique exclusively probably wouldn’t do a whole lot.

@conservativelibertarian Год назад

It doesn't cost 1.50 to produce a single hotdog. Lmoa

@oleksandrpastukhov9856 Год назад

@@conservativelibertarian you can show your calculations here. They aren’t using cheapest products btw

@azzamramadhanusmira6226 Год назад

@@conservativelibertarian it also came with a soda

@InfluxSoCute 9 месяцев назад

Enough is enough

@briangriffin5446 10 месяцев назад

ENOUGH IS ENOUGH

@abel6298 5 месяцев назад

Read your bible! (KJV, preferably) ❤️🎉

@thuydoan7496 2 месяца назад

The number one reason why I still keep coming back to Costco.

@RoProReal 9 месяцев назад

enough is enough

@tylerjohnson5110 7 месяцев назад

😭😭💀

@ammaranuar2544 Год назад

That's one reason but that's not the whole story. Costco doesn't make a lot of money from its goods, never did. They make their true profits from loyal membership subscriptions.

@umjammerlammy9993 6 дней назад

Wait you mean that providing quality items at an affordable price yields return customers and positive cultural reception?

@Adosewithrick Год назад

This preek actually wanted to raise the price the founder said he better not change it.

@PenniDeadful 10 месяцев назад

I heard he threatened to kill the guy himself if they raised the price of the hotdogs.

@GeorgeCarlin23 8 месяцев назад

Fact: Craig Jelinek the man in the video is the current CEO of Costco as of 11/22/2023 but will be replaced by Ron Vachris in 2024. The Former CEO and founder of Costco Jim Sinegal once told Craig that if he was to ever try and change the price of the Hot dog, “I’ll fucken kill you” was his words. Now the origin of the $1.50 hotdog did not come from Costco or Jim Sinegal. It was started by a man named Sol Price who started and created the Big box retail industry by first creating Fed Mart in the 1970s. After Fed Mart Sol Price started another Big box retailer in 1977 named Price club located in San Diego CA. This was the start of the $1.50 hotdog cart that would sit outside the main entrance. Sol Price had a right hand man who he would teach valuable business skills to. This right hand man took all of the valuable teachings he got from Sol and relocated to Kirkland Washington where Jim Sinegal started Costco in 1983 with the help of Jeff Brotman. Price Club and Costco merged in 1993 becoming Price/Costco. In 1997 the company changed its name again to COSTCO dropping the Price name. And now you know.

@eroskaw5423 7 месяцев назад

i remember. this brings back memories

@alperaltndagl4874 10 месяцев назад

Enough is enough!

@Hash2009 Год назад

CEO is a genius.

@GetRidOfHandles 10 месяцев назад

the founder threatened him to keep the price the same

@Aw3someOpZ 8 месяцев назад

At interview: we keep it real! A buck fitty! Behind closed doors: IF YOU FUCKING RAISE THE PRICE OF THAT FREEGGIN HOT DOG, YOURE DEAD!

@ohainickify 3 месяца назад

They actually lose money on the hot dog, but they make up for the loss by memberships and getting you in the store that gets you to spend more money on all the other stuff inside. It’s very good behavioral marketing. Doesn’t matter that it’s $1.50 when you just spent $300+ on groceries. Profit margin of $298.50 just because of a simple hot dog - they pay for themselves in the long run.

@adamfacey5555 2 месяца назад

This saved me when I worked across the street from Costco. I’d walk over every day and buy a hot dog. I’m still not sick of them today because they truly were good. I’d go crazy with the chopped onions and relish.

@itsbudtime5900 Год назад

Thank God it makes my lunch work it

@kevinhuynh2435 Год назад

A genius CEO

@CloudH2O Год назад

@@markoliver-ww9ld how

@thelastbison2241 9 месяцев назад

When he dies, prices might change.

@GeorgeCarlin23 8 месяцев назад

I have the same feeling. Once Jim Sinegal passes away, hopefully no time soon, they’ll most likely raise it. I’m thinking $2.00 maybe $2.50

@Thisisahandle957 7 месяцев назад

@@GeorgeCarlin23 still a good price tbh

@almostliterally593 Год назад

I wanna have a beer wiþ þis man

@carsnob Год назад

The pizza slices and chicken bakes though 😮‍💨

@carlwheezer3618 8 месяцев назад

enough is enogh

@hypanusamericanus9058 7 месяцев назад

ENOUGHISENOUGH

@user-bt9cm7ze4c 4 месяца назад

It's called giving something back to faithful customers. Costco is a great company that has people in charge that remember it's not always about gouging the customer on every single thing they can.

@Screwycummings 21 день назад

But I have noticed that other products, especially groceries, are actually more expensive than those in Walmart.

@lootbaglarry8.2 4 дня назад

thanks Craig

@Youngsta0 11 месяцев назад

Phil Kessel must be an investor

@mal1465 6 месяцев назад

Bring back the Polish dog!

@eroskaw5423 7 месяцев назад

the Price Club. brings back memories

@Drew-vz8lf 15 дней назад

There's a RU-vid channel called Weird History Food that made a video about Costco's $1.50 hotdog combo. It's worth watching if you like this short.

@_sparrowhawk 6 месяцев назад

It's called a loss leader

@ZaynGhostRock Месяц назад

The Costco owner should be called the costcowner 👇Who agrees

@Patrick-hm4eg 2 месяца назад

Some acting like keeping it at $1.50 is a criminal act.

@heechung6467 6 месяцев назад

Hotdog got smaller 😢

@JoeVolpini 6 дней назад

Take me out to Costco

@SealClubberz 2 месяца назад

Now I know what they mean by "I got that dog in me"

@justincoleman3805 3 месяца назад

A package of hot dogs is under 3 dollars. They’re acting like $1.50 is cheap. It’s actually expensive by comparison considering you get 7 more dogs in a pack.

@spiderdx Год назад

The hot dog is a lost leader

@newbtuber333 Год назад

Loss* leader

@Dspark138 3 месяца назад

100% beef

@ronbloomberg 18 дней назад

I don't have a Costco anywhere near my house. All I have is Sam's Club. Their hotdogs are putrid. It's killing me to accept that I may never get to eat one of these Costco dogs. 😢

@countdankula6740 11 месяцев назад

Those lines at the food court can get pretty long

@Gabtube252 10 месяцев назад

Sad thing is, he's getting old, and for sure the first thing the executives will do once he passes away is to raise the price of these hotdogs or severely reduce their size.

@JizzMasterTheZeroth Месяц назад

What kind of sociopath eats a hotdog without toppings?

@VercumPraeses 3 месяца назад

Let’s go to Costco and get the $1.50 hotdog! And you walked out with the cart of $200 of stuff didn’t think you would buy… Lol thank you Costco

@dotherightthing9955 9 месяцев назад

this hot dog kept me from going hungry through most of high school lol.

@Jspg119 Месяц назад

If only it was a chili dog😢 regardless Costco is awesome

@21MWTF 3 месяца назад

Its a loss leader, meaning it loses money on each sale but gets people in the door

@FracturedReality777 4 месяца назад

They did stop offering chopped onions with them.

@jabapiper 5 месяцев назад

My greedy ass ate 3 of these yesterday...don't be like me... Don't be greedy

@embo27 7 месяцев назад

Enough is Enough

@unaeki 2 месяца назад

Fuel for the working man

@donjohnson7550 5 месяцев назад

Ok, I’m getting a Costco membership. Even if a have to travel 3 hrs from home. I don’t care anymore

@maspotts1 7 месяцев назад

And the biggest thing is Costco’s main source of profit is not their hot dogs. If they were a hot dog cart, they’d be out of business in the first week. I know because I own a hot dog cart, and I know prices you have to sell them for the pay the bills.

@takngbacksunday54 4 месяца назад

why do people keep saying the hot dog is 1.50? if you get a hot dog and drink combo for 1.50 and the hot dog is 1.50 is the soda free?

@reginaldbrown8012 2 месяца назад

They make money from the memberships. I used to be able to go to the food court only without a membership a few years ago, but not anymore . Sam’s club had hot dogs also.

@riesenbuhai 4 месяца назад

this man is a hero capitalism WINS

@john-smith. Год назад

But what happened to the polish sausage that was also $1.50??

@markoliver-ww9ld Год назад

Yeah, you are right, they offered 2 huh, now only 1 and they ditched the Supreme Pizza too

@user-ct3pr7ht2j 2 месяца назад

Don’t know why they got rid of the churro

@AStateOfProgressive 5 месяцев назад

It would be over 4.60 today for comparison. It's a loss leader to get people in the door the buy stuff. Same with Walmart rotisserie chicken

@kevinesquivel221 5 месяцев назад

Costco averages $200.00 a month per membership. In the US, that's 26 billion dollars a year. Even if 20 billion goes back into costs, that's 6 billion dollars. The hotdogs aren't hurting their profits.

@TinariKao 5 месяцев назад

Wait, what? A CostCo membership is $60 a year and $120 for executive. This makes up a large potion of the CostCo income but what do you mean "$200 a month per membership" ? Do you mean members buy on average $200 a month per person?

@kevinesquivel221 5 месяцев назад

@@TinariKao Yes, according to Costcos earnings in 2023.

@jimmcneal5292 10 месяцев назад

They will raise it pretty soon probably, but not by much

@gallogal7174 Год назад

Well 1 dollar and 2 quarters. Thats what a hotdog looks like so why not lol

@paw9968 Год назад

yea

@OhHeBustin Год назад

Let's dive right in boys

@nb7466 6 месяцев назад

Is it really losing profit when everything else makes profits.

@tommcfadden5232 Месяц назад

By absorbing the loss and charging bit more for the products it sells in store?😊

@THICCTHICCTHICC Месяц назад

They don't even need to worry about charging more for other stuff - the hotdog is what gets people to even visit in the first place

@bigbosskingpingeorge 8 месяцев назад

It should go up, is too cheap.

@rwjisdabest1 Год назад

Ayooo? 🤨

@laneto1640 Год назад

Basically there’s mutton and venison in those dogs or who knows what but that older gentlemen did not bite the dog and even gave a deviant laugh as the guy praised the hot dog he had just took a bite out of.

@jeffrey7974 10 месяцев назад

they should have kept it Hebrew national

@GeorgeCarlin23 8 месяцев назад

It wouldn’t be the $1.50 that it is if they stuck with HN. That’s when Craig was thinking of raising the price. Jim threatened his life telling him to find another way to keep it at $1.50. The solution was drop HN, create their own hotdog factory and only produce beef hotdogs, no more polish dog. Having that $1.50 is huge for Costco. It’s the cheapest lunch u can buy and it brings people in.

@xygomorphic44 Месяц назад

I never got the appeal of these things. They're too salty and the meat is just crap quality.

@rwjisdabest1 Год назад

Idk why there isn’t a stable coin that use the Costco $1.50 as its basis

@henryairconcepts2999 Год назад

Someone needs to create a crypto currency called dogcoin

@mohan494 7 месяцев назад

I wish they raise it to $1.69 atleast

@markoliver-ww9ld Год назад

Costco is a scam, you end up buying more and throw away when goes bad, I thought I'd save money buying beer at Costco, I actually ended drinking more and spending more money, I stopped.

@blazer2860 Год назад

I think that’s a you problem

@henryairconcepts2999 Год назад

@@blazer2860I don't know if it's a joke or not, but it sounds funny

@paw9968 Год назад

self control exists

@Stockton-pd8pl Год назад

@@henryairconcepts2999fr I was weak😂😂

@ghastyfox5049 8 месяцев назад

skill issue

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seek the guidance of a professional

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@nima4538 11 месяцев назад

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