Costco’s Checkout Is Getting a Major Overhaul—What Every Shopper Should Know

The warehouse giant is trying to reduce long wait times.

Entrance of a Costco Wholesale store with people walking outside — Credit:
Steve Heap / Getty Images

Costco recently announced that it will be updating its checkout process in order to get shoppers through the lines in less time. While shoppers love Costco for its low prices, the long lines are often a source of complaints.

During its March 5 earnings call, the warehouse giant's CEO Ron Vachris said that the company is working to make the shopping experience more efficient through AI and digital efforts. The strategy also includes improved on-site checkout technology, similar to the Sam's Club Scan and Go system.

"We're also piloting automated pay stations that will allow members to pay for their pre-scan orders seamlessly, with an average transaction time of around eight seconds," Vachris said. "Early results show this is improving the flow of traffic, and we've received great member feedback."

Rather than unloading your cart onto a conveyor belt manned by a cashier, as you wait in line, an employee scans the items in your cart. Once you reach a self-serve payment kiosk, you scan your member card, and the items in your cart automatically pop up on the checkout screen where you then pay for your purchases.

Unlike the Scan and Go system, though, which allows members to scan items via the Sam Club's mobile app as they shop and then pay via the app, the new Costco process still requires members to wait in line before they can pay.

The new system is being tested at select Costco locations right now but it's not clear when the new technology will roll out at more locations.