Costco’s Insane Return Policy Correlates with Insane Growth
Costco’s strong reputation for customer service likely played a key role in its recent membership surge, adding approximately 5 million new members between 2023 and 2024. As of its fiscal Q2 2025 earnings call in March, total membership surpassed 78 million. Following this growth wave, Costco plans to open 29 new locations in 2025.
One of Costco customers’ most beloved perks? A 100% satisfaction guarantee on most items. Members can return most purchases at any time—no time limit required. Even without a receipt, returns are easy since every purchase is linked to a member’s account.
For online orders, return shipping is free for most products. And for bulky items like appliances or heavy furniture, Costco will even pick them up from your home at no extra charge. This no-questions-asked return policy has helped solidify Costco’s reputation, contributing to its rise as the world’s third-largest retailer. Shoppers say these generous policies build long-term trust and loyalty.
While most retailers offer a 14 to 90-day return window, Amazon’s standard is 30 days, and Target and Walmart typically allow 90. Costco stands out by providing far more flexibility. Many customers feel as if their purchases come with a lifetime guarantee. Remarkably, the return policy even applies to Costco’s annual membership fee.
Win Lifelong Loyalty by Putting Customers First with Service Standards That Go Above and Beyond.
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