Costco’s ‘Quiet Hour’ Shopping Hours Have Led to a 9% Profit Boost
There’s a new initiative taking place at Costco. Early mornings, once reserved for employees stocking bulk snacks and pallets of soda, have begun welcoming a select crowd: Executive members. Costco rolled out an early “quiet hour” for these premium shoppers, along with an extra hour on Saturday evenings for everyone. The minor convenience tweak became one of the company’s smartest plays of the year and gave it a measurable lift that most retailers would envy.
The new hours led to steady growth in traffic, as early shoppers took advantage of emptier aisles. Foot traffic analytics firm Placer.ai reported customers arriving earlier and spending less time per trip but visiting more frequently. The change meant smoother shopping flow, less congestion, and more money at the register. When Costco reported its fiscal fourth-quarter results, the results confirmed it. Weekly U.S. sales rose 1%, and profit increased 9% since the schedule change.
The Strategy Behind The Early Start
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This plan came after CEO Ron Vachris and his team studied ways to ease crowding and improve member value. By offering Executive members an hour of early access, they turned what used to be a rush-hour scramble into a calmer shopping experience. The move also encouraged Gold Star members to upgrade their accounts, which increased their membership fees and unlocked a new stream of recurring revenue.
The results showed that Costco ended its fiscal year with 81 million paid members, an increase of 6.3%, and nearly 39 million of them were Executive-tier. Those higher-paying members now generate about three-quarters of Costco’s total sales.
Beyond Store Hours
This move fits Costco’s broader growth strategy. The company added 27 new warehouses worldwide during the year, bringing its total to 914, and plans 35 more openings in 2026. It also pushed revenue to $269.9 billion, up 8.1% from the previous year, all while keeping costs steady. Even the iconic $1.50 hot dog-and-soda combo marked its 40th anniversary and came with a switch from Pepsi to Coke in food courts, a subtle change that still made waves among loyal fans.
The company’s member base is also getting younger. Nearly half of new sign-ups are now under 40, with many joining through online offers and digital promotions. Renewal rates dipped slightly due to a surge in online sign-ups, but executives view that as a long-term opportunity. Younger shoppers bring steady future business and seem drawn to perks that make shopping more efficient, such as early entry to beat crowds.
The Power Of Convenience And Loyalty
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The extended hours reflect Costco’s best skill: understanding what its customers value most. By opening earlier, the retailer demonstrated that a real improvement doesn’t always come from new technology or grand campaigns. It comes from understanding members’ time and making every visit count.