> bulk size prices can act as a secondary filter but an interesting mechanism is the membership cards are checked at the door and physically keep people out whereas bulk prices (even if low-income people don't buy them) don't accomplish the exact same effect.
But this is untrue. Costco doesn't check membership at the door. That would block you from purchasing things that don't require membership.
They check membership at the cash register. Anyone and everyone is free to walk inside.
>Costco doesn't check membership at the door. That would block you from purchasing things that don't require membership.
The 3 Costcos in my area all have staff checking for membership cards right at the door.
Yes, if one knows the "life hacks" such as the pharmacy hack, the liquor law hack, the "I'm picking up contact lenses at the eye center for my friend" hack, and lastly, the "I want to browse the store before I buy a membership" hack, the staff will let you through.
Apparently, all the above hacks are enough psychological friction and/or are not well-known that Costco has much less volume of problem shoppers than Walmart.
This is good evidence that the membership checks provide value to customers by keeping the riffraff away.
It's terrible evidence that the membership requirement provides any such value. Those checks are independent of the requirement -- as you acknowledge, the guards at the door are not even empowered to turn you away if you want to go in. (That said, I'll repeat that at my Costco, there is no check at the door.)
In a better world, Costco could admit that the "membership checks" are actually there to keep the tone of the store at a certain level, not to check membership. It'd be more convenient for everyone, and also more honest.
But this is untrue. Costco doesn't check membership at the door. That would block you from purchasing things that don't require membership.
They check membership at the cash register. Anyone and everyone is free to walk inside.
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