Costco customers have largely rejected self-checkout, and the warehouse club has responded by removing it from most stores.
This follows recent trends where both Walmart and Target have limited many self-checkouts to a maximum amount of items. In some ways, those changes were made to limit opportunities for theft and to prevent scanning errors that lead to accidental shoplifting, while also keeping self-checkout for people with only a few items.
That’s quite similar to the “10 items or less” checkouts that used to be common in grocery stores.
But just because Costco has backed away from self-checkout, that doesn’t mean the chain has given up on helping you pay for your items more efficiently. It is actually implementing two ways to speed up checkout in its stores, including allowing customers to scan as they go.
Costco is testing new checkout methods.Shutterstock” loading=”eager” height=”540″ width=”960″ class=”yf-lglytj loader”/>
Costco is testing new checkout methods.Shutterstock
One of the challenges Costco shoppers face is that the chain sells in bulk. Many of its items are large, and in a traditional self-checkout, it can be challenging to manipulate those items to scan the UPC code.
Scan and Go technology will fix this, but requires customer buy-in.
“We found that digital really improves the speed of the checkout. And so, we are working hard on the use of the digital membership card as well. We also went into some kind of “Scan & Go done by Costco” tests that we are doing there that have been very successful in moving people through the lines and speeding up the transactions”, said CEO Ron Vachris during the Costerco’arnings call.
Scan & Go requires customers to scan items as they go using the Costco app on their phone. Once they complete the purchase, they can show a QR code verifying what they have bought as they leave the store.
“We have seen some very early results which have been very positive and great adoption by our members who have seen this as well,” added the CEO.
Vachris made it clear that Costco management wants to improve the in-store experience for members.
“Our operations team is really focused on the front-end, and we know there are a lot of benefits to that part of the Costco experience of moving people through much better. So, it’s really using the digital enhancements that we have available today, and we think we’re going to see some good things going on there,” he added.
The CEO talked about another major change in checking in a more recent earnings call.
“Another way we’re improving the member experience is through the rollout of improved checkout technology in all US stores,” Vachris said during the store club’s fourth-quarter earnings call.
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The CEO explained how it works.
“This is speeding up the checkout process by allowing our employees to scan small and medium-sized transactions while the member is still in line. So as soon as he gets to the cashier, nothing has to be removed from the cart, and only payment is required”, he added.
Ricardo Belmar, who has more than 20 years of retail experience, thinks Costco was right to back away from self-checkout.
“I have said on many occasions that most self-checkout approaches are flawed at best, and poor experiences at worst. It is quite common in my experience for awkwardly shaped and sized items to create more hassle than success in a self-checkout experience,” he posted on RetailWire.
Costco has a special culture, according to retail author and public speaker Georganne Bender.
“The vibe of Costco is different from other retailers. Checking membership cards, checking receipts at the door before you leave. It’s strange. But in reality, they just try to maintain the exclusivity of members and to be of service,” she wrote.
She believes that it doesn’t matter how the chain handles the checkout, it’s all about giving a positive experience.
“That’s what’s happening at checkout, too. It’s just trying to make the customer experience a good one, and maybe trying a little too hard for those shoppers who prefer to be left alone. Costco will understand, and everyone will be happy,” she added.
Related: Kroger and McDonald’s take high prices as inflation rises
Based on my 30 years covering retail sales, I’ve observed that large format retailers like Costco often struggle with self-checkout for bulk items, a pattern consistent with what the company experienced. As a longtime Costco member, I’ve never had a problem with the chain’s classic checkout.
I don’t typically pop into the store club to make a quick purchase. Usually, I might not even have a shopping list, and I just take a slow walk around the store to see what I might want.
Scan & Go may take some other customers out of line, and I appreciate the chain’s efforts to speed up checkout, but it has never been a factor in how often I visit Costco.
Related: USDA: Costco has a serious problem with its $4.99 chicken
This story was originally published by TheStreet on January 14, 2026, where it first appeared in the Retail section. Add TheStreet as a Preferred Source by clicking here.