FMI Daily: Behind Costco’s $1.50 Hot Dog-Soda Combo Strategy

Costco’s decision to maintain the $1.50 price tag on its hot dog-soda combo is a strategic marketing move to attract and retain customers, and the retailer has offset the bargain-priced offering by finding ways to reduce costs and raising the prices for other food court items. The recently added $2.49 double chocolate chunk cookie is a “continued success,” says Chief Financial Officer Gary Millerchip.

FULL ARTICLE