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Costco is trying to stop people from sharing their membership cards with friends. The wholesaler said that as it has increased the number of self-checkout lanes, there has been an uptick in the number of people using somebody else's membership card when checking out.
Going forward, customers will have to show a membership card that includes their photograph or a photo ID when checking out.
Costco makes most of its money by selling memberships, which cost $60 a year for the standard "gold star" membership and $120 a year for an "executive membership." The company also offers business memberships.
The cost of the membership fees allows the company to charge lower prices for bulk merchandise. According to Business Insider, Costco's third-quarter SEC filings show that the company has collected $4.4 billion in membership fees over the last 12 months from more than 69 million households. The company said that there are 125 million cardholders in the country.
"We don't feel it's right that non-members receive the same benefits and pricing as our members," the company said in a statement. "Costco is able to keep our prices as low as possible because our membership fees help offset our operational expenses, making our membership fee and structure important to us."