Costco ended fiscal year 2025 with $269.9 billion in net sales, an 8.1% jump over the prior year, while holding a 92.3% membership renewal rate in the US and Canada. That combination of growth and loyalty traces back to a single sentence the company has repeated since 1983: “To continually provide our members with quality goods and services at the lowest possible prices.” This post covers the Costco mission statement, vision, core values, employee alignment, and company culture as of 2026.
Costco Mission Statement — TLDR
Costco’s mission statement is: “To continually provide our members with quality goods and services at the lowest possible prices.”
The Costco vision statement focuses on being a place where efficient buying and operating practices give members access to unmatched savings.
Costco’s core values are codified in a five-part Code of Ethics: obey the law, take care of members, take care of employees, respect suppliers, and reward shareholders — in that order.
The company operates 923 warehouses across 14 countries, employs 341,000 people, and holds 145.2 million total cardholders as of FY2025.
Costco’s average US hourly wage exceeds $31, and annual employee turnover sits at roughly 7% — far below the 60–70% retail industry average.
Costco Mission Statement
The mission statement of Costco reads: “To continually provide our members with quality goods and services at the lowest possible prices.” The company has used this same 18-word sentence since James Sinegal and Jeffrey Brotman opened the first Costco warehouse in Seattle, Washington, in 1983.
Three ideas carry the Costco company mission statement. The word “continually” signals an ongoing commitment, not a one-time promise. “Quality goods and services” puts product standards ahead of sheer volume. And “lowest possible prices” defines the competitive strategy that runs through every operational decision.
Costco’s mission shapes how it stocks shelves. Each warehouse carries about 3,200 to 4,000 SKUs at any time — compared to 30,000+ at a typical supermarket. The limited selection lets buyers negotiate harder with suppliers, secure better unit costs, and pass those savings to members. Kirkland Signature, the company’s private label, now accounts for over 25% of total sales, often undercutting national brands by about 20% while matching or exceeding them in third-party quality tests.
How Costco’s Mission Translates to Revenue
Costco recorded $269.9 billion in net sales for fiscal year 2025 (ending August 2025), up from $249.6 billion in FY2024. For the trailing twelve months ending February 2026, that figure reached $286.3 billion. The company plans to spend between $6.0 billion and $6.5 billion on capital projects in fiscal 2026, including 35 new warehouse openings.
The membership model is the financial engine behind the mission. Total paid memberships stood at 81.0 million at the end of FY2025, with 145.2 million total cardholders. Executive members — 38.7 million of the total — generated 74.2% of worldwide sales. Membership fee income rose 10.5% year over year in FY2025, partly driven by the late 2024 fee increase to $65 for Gold Star and $130 for Executive tiers.
Costco Vision Statement
The vision of Costco is: “To be a place where efficient buying and operating practices give members access to unmatched savings.” While the Costco mission statement defines what the company does day to day, the vision statement for Costco describes a future state — a retailer so operationally efficient that no competitor can match its pricing.
Three elements anchor the Costco vision statement. Business efficiency comes first: the company runs a no-frills warehouse format where products sit on pallets under high ceilings, cutting overhead. Accessibility of products comes second: Costco wants everything a member might need under one roof, from groceries to electronics to gasoline. Savings tie it together: every process decision — from in-house logistics to local sourcing for Kirkland products — feeds back into price reduction.
In practice, the vision shows up in metrics. Costco’s revenue per warehouse averaged roughly $272 million in FY2025. The company operates fewer stores than most large retailers but extracts more revenue per location than nearly any competitor. That store-level productivity is exactly what “efficient buying and operating practices” looks like on a balance sheet. For a comparison of how other retailers approach their vision, see how Amazon frames its customer-centric vision and how Walmart built its discount model on a different structure.
Costco Core Values
Costco’s values are spelled out in its Code of Ethics, a five-item list the company treats as a strict hierarchy. Leadership has stated that following these principles in order — not just as a set — is what makes the business work. Here are Costco’s brand values as they appear in official company documents:
1. Obey the Law. Full compliance with the laws of every community and country where Costco operates. This sits at the top because legal violations threaten everything else.
2. Take Care of Our Members. If members stop renewing, the business ends. This principle explains why the $1.50 hot dog combo hasn’t changed price in decades and why Costco maintains a nearly unconditional return policy.
3. Take Care of Our Employees. Costco pays entry-level workers $20 per hour, with top-of-scale senior clerks earning $31.90 per hour in 2026. Over 90% of employees receive employer-sponsored health insurance. First-year employees now get paid vacation from day one under the 2025 Teamsters contract.
4. Respect Our Suppliers. Costco treats vendors as partners with fair terms. That relationship secures priority access to quality products and keeps the Kirkland Signature supply chain stable.
5. Reward Our Shareholders. Shareholders come last by design. Costco’s position is that if the first four principles are followed properly, shareholder returns will follow. FY2025 net income reached $7.4 billion, up from $7.0 billion in FY2024.
The ordering matters. Other large retailers — like Target and Dollar General — structure their corporate values differently, often placing shareholder value or growth targets higher. Costco’s deliberate choice to put shareholders at the bottom of its values hierarchy has been a point of discussion among analysts for years.
Costco Employee Alignment
The Costco mission and vision translate into employee behavior through a few measurable channels. On Glassdoor, Costco holds a 3.9 out of 5 rating based on more than 18,600 reviews. Roughly 73% of employees say they would recommend the company to a friend. Employees rate compensation and benefits at 4.2 out of 5, culture and values at 3.7, and career opportunities at 3.8.
A 2025 CloudResearch survey found that 88% of Costco employees reported satisfaction with company culture, work-life balance, compensation, and training. That figure compared to 56% at Walmart and 33% at Best Buy for the culture category alone. On employee safety, Costco scored 82% satisfaction; Walmart scored 67%.
Promotion from within is standard practice at Costco, and it is one of the clearest ways the company aligns employees to its mission. CEO Ron Vachris started as a forklift driver at a Price Club warehouse in Arizona in 1982 and worked his way up over four decades. Nearly all Costco warehouse managers are promoted internally. New supervisors go through a 12-week Supervisor in Training program. High-potential employees can enter a structured leadership development track.
Costco’s annual turnover rate is about 7%. In a retail sector where 60–70% turnover is normal, that figure means Costco keeps experienced staff on the floor — people who know the products, the layout, and the members. The company added 8,000 net workers in FY2025, bringing the global headcount to 341,000 across 923 warehouses. About 7,000 of those employees work at the Issaquah, Washington headquarters. The other 95% are warehouse-based.
Costco Company Culture
Costco’s culture rests on a few identifiable traits: a shared goal of excellence, positive attitude, high energy and fast pace, service orientation, and teamwork. These aren’t abstract ideals — they show up in how stores run. Managers are trained to greet employees before delegating tasks. Scheduling policies aim for predictable shifts and two consecutive days off per week. The 2025 Teamsters agreement added a sixth week of vacation for US employees with 30+ years of service.
Co-founder Jim Sinegal set the tone early: “No one was going to be able to say we’re making money off the backs of our employees, because we were going to pay the highest wages in all of retail.” He noted that about 70 cents of every dollar Costco spends goes to employee wages. That philosophy persists under Ron Vachris. The Costco purpose statement — embedded in its Code of Ethics rather than published as a separate document — ties compensation directly to retention and service quality.
Diversity and inclusion are part of the stated culture. CEO Vachris has said: “We believe that embracing employees’ individual backgrounds, points of view and opinions leads to increased creativity, satisfaction and a sense of belonging.” Costco also emphasizes sustainability, with a stated obligation to be mindful of the company’s impact on people and the environment. The ownership structure of Costco — roughly 70% institutional investors, 30% retail investors, and under 0.2% insiders — means these cultural choices face regular scrutiny from major shareholders like Vanguard and BlackRock.
The culture extends to community investment. Costco’s corporate documents state that business success includes contributing to the well-being of communities where the company operates. Employee testimonials published on the company’s careers page reflect this, with workers citing medical benefits, career growth, and a sense of belonging as reasons they stay. As other companies like Starbucks, Nike, and Apple have formalized their own culture statements, Costco’s approach stands out for linking culture directly to its Code of Ethics rather than issuing a separate document.
FAQs
What is Costco’s mission statement?
Costco’s mission statement is: “To continually provide our members with quality goods and services at the lowest possible prices.” The company has used this same wording since its founding in 1983.
What is Costco’s vision statement?
Costco’s vision is “to be a place where efficient buying and operating practices give members access to unmatched savings.” The vision centers on operational efficiency and passing cost reductions to members.
What are Costco’s core values?
Costco’s core values follow a strict hierarchy: obey the law, take care of members, take care of employees, respect suppliers, and reward shareholders. These are codified in the company’s Code of Ethics.
How many employees does Costco have?
Costco employed 341,000 people globally as of August 2025. About 227,000 work in the United States, 53,000 in Canada, and 61,000 in other international markets.
How much does Costco pay its employees?
Costco starts entry-level positions at $20 per hour. Top-of-scale senior clerks earn $31.90 per hour in 2026, with a $1 raise scheduled for March 2027. The average US and Canada wage exceeds $31 per hour.
