Costco has kept the cost of its hallmark hot dog and soda combo at just $1.50 for its members nationwide since 1985 despite rising food prices elsewhere.
Costco’s signature $1.50 hot dogs remain an ever-popular staple for shoppers at any of the retailer’s 602 warehouses nationwide, but exactly how has the big-box store kept the price of the all-beef cuisine so cheap since its introduction in 1985? The reason, at first, was sentimental.
With inflation pushing costs higher over the ensuing decades, the financial Motely Fool wrote in an article published last year that Costco should be charging at least $4.25 for the combo meal. But in a 2018 interview with Seattle-based publication 425 Business, then-CEO Craig Jelinek recounted the famous response from Sinegal, who had since retired, to being told that the hot dog price wasn’t sustainable.
Last month, an Ohio resident went viral after eating nothing but the $1.50 hot dog and soda combo from Costco for an entire week. He explained to Fox Business that the rising costs of food in the past few years pushed him to undertake the challenge, spending a total of about $45 on the meals.
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