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How to Get Your Product into Costco? | Orders in Seconds

How to Get Your Product into Costco: Discover 3 Steps

By <span style="font-weight:bold;color:#F63C47; font-style: italic;">Oscar Guerrero</span>

By Oscar Guerrero

Published January 24, 2023

Looking to get your product into Costco? This article is meant for you.

Costco is the second-largest retailer globally after Walmart. However, interestingly it has the most loyal customers in the world. Customers of Costco believe it to be the best place to purchase goods and prefer it to all other retail establishments worldwide.

Costco offers you a wide range of channels through which to market your goods to consumers, all of which have a track record of success. Getting your product into Costco may be exactly what you need to help you achieve your own level of success, depending on what it is that you are selling.

Selling at Costco can help you gain immediate credibility and build your own audience. However, only approved products are allowed on Costco’s shelves. In this article, you will learn how to sell at Costco and about all the procedures you should be ready for. Let’s first examine why you should try to sell at Costco before you make any effort.


Why Sell Your Product at Costco?

Millions of people will see your product if you can get it into Costco, both online and in actual stores. There are 118.9 million Costco members, per a Statista report. Members who are willing to put their trust in you and who might end up being loyal customers of your brand. Let’s look at some of the reasons you want to sell your product at Costco.


Customer Loyalty

Costco is a worldwide warehouse club open to members only. As of 2022, there are more than 118.9 million members. Over 90% of those millions of people continue their memberships. This demonstrates that customers trust Costco to offer high-quality goods at competitive prices.



Costco is well-known for its great reputation. People rely on Costco to provide them with a wide range of high-quality goods. Since Costco only carries about 4000 SKUs, the items on the shelves are carefully chosen. Additionally, it has been demonstrated that a small selection size boosts customer confidence.



Costco has a sizable retail presence. As of 2022, Costco has 842 warehouse locations worldwide, with 579 of those being in the United States. After the surge in March 2020, Covid-19 caused a decline in foot traffic, but online traffic has increased by more than 64%.



Costco has survived difficult economic times. Costco is currently the third-largest retailer in the United States. Despite negative effects on the world economy, the company keeps expanding.


Things to Remember Before Selling at Costco

Before you sell at Costco, be ready for a ton of paperwork. You must register yourself and establish your “worthiness” before you can begin.

Costco’s customers are extremely devoted to the platform because not everyone is allowed to sell there. Here are some additional requirements if you want to sell at Costco.



You must be a member in order to sell at Costco. Costco membership is required for both buyers and sellers before they can begin selling.



Make sure your product is price-proof. First of all, you will undoubtedly face competition from companies that can offer their goods at a discount. List your top products that are highly valuable to the customer and cost the least in the marketplace.


Sale Model

Recognize the Costco sales strategy. They provide premium goods for less money. How do they manage to do that? by making a lot of sales! Therefore, to maximize sales as a Costco vendor, package your goods in bulk.


Best Sellers

Choose the best-selling products. In other words, if you’re just getting started, focus on the best-selling items rather than trying to carve out your own niche. The most popular items at Costco are food-related products.


Sales Channel

Choose your sales channel carefully. In other words, Costco gives you the choice of selling your goods offline or online. And while anyone can buy through the online channel, Costco members are the only ones who can buy offline products. In the following sections of the article, we will talk more about these sales channels.

All businesses that want to sell their goods at Costco must adhere to a certain ethical standard, regardless of their products or vendor strategy. When applying to become a Costco vendor, the following three things should be taken into consideration:

a) Costco demands that its vendors forbid forced labor, physical abuse of workers, and child labor that is not legal.

b) Costco demands that its suppliers abide, at the very least, by the relevant labor and environmental laws and rules of the nation where the goods are produced.

c) The “Above and Beyond Goals,” which are ongoing improvements to employee working conditions and environmental protection, are something that Costco actively encourages its vendors to work toward.


How to Get Your Product into Costco

Finally, here are the steps for selling at Costco. As was mentioned above, you have two options for where to sell your goods at Costco: online or offline.



In order to get started, you must first go see the Costco regional manager. You will be questioned about your companies, products, other financial matters related to your products, and your marketability in this section.



You can either represent yourself through the process on your own, or you can hire a broker. Your application is sent to the Category buyer once the regional manager has given it the go-ahead. This person will determine whether or not your product can be sold at Costco.



Be aware that your chances of being approved will decrease if you attempt to sell a product at Costco that is already available there. Only then do you have a chance of having your product chosen quickly: only if you are providing distinctive goods that customers might actually be interested in purchasing.

After you are chosen by Costco, a team will eventually show up to inspect your workplace and work standards. Therefore, make sure that you are abiding by all labor laws and providing a safe workplace for your employees.



You will be qualified to sell your products at Costco once they have verified you with the team there. Keep in mind that your products may appear at roadshows or events rather than being displayed on shelves from the start.

Your product will move up the list of Costco products as soon as members begin demonstrating interest in it through purchases.



Selling products on Costco’s website is the same as doing so offline. When signing up, you must provide all the necessary information. Additionally, you will require a website for your product that you must link to Costco.

And now you are prepared to sell at Costco.


Costco Roadshow

Brands and Costco can test the vendor model in a private setting through Costco Roadshows.

The Costco Roadshow, which is frequently promoted as an interactive event or pop-up market, is held in particular warehouses at particular times. Each company that participates in the Costco Roadshow is in charge of staffing its booth and providing and stocking inventory.

Products for the roadshow are consigned, and the supplier is paid based on sales. Your chances of becoming a Costco vendor increase dramatically if the products’ performance astounds the regional managers.


Final Thoughts

As you can see from the article above, Costco is one of the platforms with the fastest growth. Selling your products at Costco has the potential to accelerate your brand’s rise to stardom. Alternatively, you can sign up with a distributor that has a track record of success representing its brands at Costco, or you can take the long route and call the Costco office.

Once you’ve successfully gotten your product into Costco, you will need a system to centralize your products and streamline your sales process. Therefore, consider using mobile sales software or B2B order-entry software to facilitate your sales process, both offline and online. For more details, please contact Orders In Seconds.

Technology in Retail: How Costco’s Competitors Are Closing the Gap

Costco’s competitors, such as Sam’s Club and BJ’s Wholesale Club, are employing various strategies to narrow the gap with the retail giant. They are investing heavily in technology to enhance the customer experience, offering more curated product selections, and expanding their omnichannel capabilities. By focusing on convenience, personalization, and a wider range of offerings, these competitors are gaining ground in the warehouse club market.

How to become a Costco supplier

Becoming a Costco supplier is an excellent opportunity for businesses to gain exposure to a vast customer base and establish a strong foothold in the retail industry. To increase your chances of success, it’s crucial to understand Costco’s stringent requirements and demonstrate the ability to meet their high standards. Familiarize yourself with their product sourcing guidelines, ensure your offerings align with their core values, and showcase your commitment to quality, consistency, and ethical practices. By presenting a compelling proposal and demonstrating your value proposition, you can pave the way for a successful partnership with Costco.


Technology in Retail: How Costco’s Competitors Are Closing the Gap


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