Costco quietly speeds up checkout with two major changes
Daniel Kline
Wed, January 14, 2026 at 3:18 PM EST
4 min read
In this article:
Costco customers largely rejected self-checkout, and the warehouse club responded by removing it from most stores.
That follows recent trends where both Walmart and Target have limited many self-checkouts to a maximum amount of items. In some ways, those changes were made to limit theft opportunities and to prevent scanning errors that lead to accidental shoplifting, while it also keeps self-checkout for people with only a few items.
That's pretty similar to the "10 items or less" checkouts that used to be common in grocery stores.
But just because Costco has backed away from self-checkout, it does not mean the chain has given up on helping you pay for your items more efficiently. It's actually implementing two ways to speed up checkout in its stores, including letting customers scan as they go.
Costco adds Scan and Go technology
One of the challenges facing Costco shoppers is that the chain sells in bulk. Many of its items are large, and in a traditional self-checkout, it can be challenging to manipulate those items to scan the UPC code.
Scan and Go technology will fix that, but it does require customer buy-in.
"We found that digital really enhances the speed of checkout. And so, we are really working hard on the digital membership card usage as well. We've also engaged in some "Scan & Go done by Costco" kind of tests that we're doing out there that have been extremely successful of moving people through the lines and expediting the transactions," CEO Ron Vachris said during Costco's third-quarter earnings call.
Scan & Go requires customers to scan items as they go using the Costco app on their phone. Once they complete the purchase, they can show a QR code verifying what they have purchased as they exit the store.
"We've seen some very, very early results have been very positive and great adoption from our members seeing that as well," the CEO added.
Costco is focused on improving operations
Vachris made it clear that Costco leadership wants to improve the in-store experience for members.
"Our operations team is really focused on the front-end, and we know there's many benefits to that part of the Costco experience of moving people through much better. So, it really is using the digital enhancements that we have available today, and we think we'll see some good things going through there," he added.
The CEO talked about another major checkout change in a more recent earnings call.
"Another way we are improving the member experience is through the rollout of enhanced checkout technology in all U.S. warehouses,” Vachris shared during the warehouse club’s fourth-quarter earnings call.
Story Continues
More Retail:
The CEO explained how it works.
“This is speeding up the checkout process by allowing our employees to scan small- and medium-sized transactions while the member is still in line. So upon reaching the cashier, nothing has to be removed from the cart, and only payment is needed,” he added.
Costco takes a slow and steady approach
Ricardo Belmar, who has over 20 years of retail experience, thinks that Costco was right to back off from self-checkout.
"I’ve said on many occasions that most self-checkout approaches are flawed at best, and poor experiences at worst. It’s quite common in my experience for awkwardly shaped and sized items to create more hassle than success in a self-checkout experience," he posted on RetailWire.
Costco has a special culture, according to retail author and public speaker Georganne Bender.
"Costco’s vibe is different from other retailers. The checking of membership cards, the checking of the receipts at the door before you leave. It’s weird. But in reality, they are just trying to maintain member exclusivity and to be of service," she wrote.
She believes that no matter how the chain handles checkout, it's all about delivering a positive experience.
"That’s what’s happening at the checkout, too. Just trying to make the customer experience a good one, and maybe trying a little too hard for those shoppers who prefer to be left alone. Costco will figure it out, and everyone will be happy," she added.
Thoughts from a Costco customer
Based on my 30-plus years covering retail, I’ve observed that large-format retailers like Costco often struggle with self-checkout for bulk items, a pattern consistent with what the company experienced. As a longtime Costco member, I've never had any problems with the chain's classic checkout.
I'm not typically popping into the warehouse club to make a quick purchase. Usually, I may not even have a shopping list, and I'm just taking a leisurely walk around the store to see what I might want.
Scan & Go might take some other customers out of line, and I appreciate efforts to expedite checkout by the chain, but it's never been a factor that influences how often I visit Costco.
Related: USDA: Costco has a serious problem with its $4.99 chicken
This story was originally published by TheStreet on Jan 14, 2026, where it first appeared in the Retail section. Add TheStreet as a Preferred Source by clicking here.
View Comments