Sam's Club Just Made Its Hot Dog Combo Even Cheaper Than Costco's
Costco's hot dog combo deal has been around in its food courts since 1985, according to CNET. Since its release, the price has stayed at a steady $1.50, with no plans to change. In fact, Costco's founder once told its CEO how strongly he felt about keeping the price the same, demanding the chief executive "figure it out." The store's Chief Financial Officer Richard Galanti even reportedly said the hot dog combo price would remain the same "forever." The company now has its own frankfurter manufacturing plant to keep prices consistent.
Sam's Club sells pizza, pretzels, frozen yogurt, salads, and more in its food court, according to the menu on its website. For the same price as Costco, Sam's Club has offered an identical deal of a hot dog and soda for just $1.50. Now, as a way to up the competition with its wholesale store rival, Sam's Club has lowered the price of its combo to even less than Costco's.
This could cause a price war between stores
In an attempt to compete with Costco as both stores prepare for the holiday season, CNN Business reports that Sam's Club has lowered the cost of its hot dog combo from $1.50 to $1.38. Food prices have increased overall, CNN Business notes, but the store could likely be using this price cut as a marketing strategy. Last year, Costco reportedly sold 122 million of the combos worldwide, and Sam's Club hopes to keep customers in stores longer with this new lower price.
An advertisement on the Sam's Club website boasts that this is the "same great hot dog and drink combo," just 12 cents lower than it has been. The deal doesn't require a membership to purchase and includes free refills on the fountain drink. The website states that the hot dog is a quarter-pound, and customers have the option of adding mustard, ketchup, relish, fresh onions, or sauerkraut on top.