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Business Insider reports that as soon as tomorrow, Costco could announce a hike in its membership fees - "by $5, to $60, for its basic membership and by $10, to $120, for its executive membership."

It has been five years since Costco raised its membership fees, and the story notes that Costco generally has raised fees every five to six years. Costco CFO Richard Galanti has said that the "time may be right" for a fee increase, though he never set a target date.

Business Insider writes that analysts believe that "fee increases shouldn't have a major impact on sales and membership renewals, which are at a rate above 90% in the US and Canada."
KC's View:
I'll probably pay the extra few bucks, just because it is nice to know that Costco is there in case I need it. But, as I've said here before, a lot of the purchases that I used to make at Costco have migrated to Amazon, and I'm not sure that Costco has yet figured out the best response to this sort of behavior change.

I have to wonder if perhaps this time around a fee increase might be greeted with more hostility, simply because Costco does not seem to have an e-commerce position that differentiates it; people may say that they'll save the money and just keep paying for Amazon Prime membership, which seems to have a lot more benefits.

That's the issue that Costco really has to address. If they don't, the competitive problems they'll face will only be compounded.