Costco Added Another $1.50 Hot Dog Combo And Shoppers Are Underwhelmed
The Costco hot dog combo is the stuff of food industry legend. The $1.50 price for a ¼ pound hot dog and 20-ounce fountain drink has held steady since the combo's 1985 debut, sometimes with the threat of force. As reported by NBC, a Costco co-founder and former CEO once told another executive, "If you raise [the price of] the effin' hot dog, I'll kill you." But after a recent change, some people think it should be even lower.
The food court started selling the hot dog combo with the option to add a bottle of water. But the food court already sells bottled water for 25 cents, and a 20-ounce fountain drink costs 79 cents, yet there's no difference in the combo price between soda and water.
It's barely more than half a dollar's difference, but for frugal shoppers at a store known for good deals — particularly the hot dog combo — that detail falls a bit flat. One such Reddit user dryly said, "Nice to have the option though." On Instagram, some somewhat disappointed consumers pointed out that the combo with water should be about 25 cents cheaper than with a soda.
Why did Costco add bottled water to the hot dog combo?
As some confused observers have pointed out, shoppers could already get water with their hot dog from the soda fountain, and cold at that. But despite the pricing issue, others are excited for a resealable container, or simply for water that doesn't come from the soda fountain. Despite Costco workers attesting to good hygiene practices, some people still think twice before drinking from a soda fountain — even water — because of potential bacterial contamination from poor cleanliness.
For some shoppers, though, the hot dog and water combo may join Kirkland-brand milk as one of the most seriously overpriced Costco items. Even if it is just by a couple dozen cents, those hit harder at the already rock-bottom price point. But this new addition might be contributing to low prices overall.
One of the reasons Kirkland Signature products are so cheap is that its store-brand products are purchased in bulk, direct from the manufacturer, including bottled water. But when the big 40 packs break open during shipping (or thanks to customers), Costco can't sell a 39-pack — but it can sell them individually elsewhere in the store. If the new combo is an effort to sell more of these otherwise unsellable bottles, then everyone should root for its success to help keep prices down.