Jan. 25 (UPI) — Aficionados of Costco’s famous $1.50 hot dogs will once again be able to top off their cheap treats with a Coca-Cola after more than a decade of unavailability at the discount retailer, its CEO says.
Costco’s promotion of the inexpensive hot dog coupled with a Coke at its food courts became one of its signature branding elements in the decades after its founding, but in 2013, the chain opted to drop Coke products in favor of competitor Pepsi.
That decision is now being repealed, Costco CEO Ron Vachris said Thursday at a shareholder’s meeting, according to CNN.
“We will be converting our food court fountain business back over to Coca-Cola,” he said.
The impending decision was first reported on Dec. 17 by the Costco Insider online blog.
The switch to Pepsi 12 years ago came because Costco was trying to cut costs in a way that would enable it to retain the $1.50 hot dog price, according to the Insider. The retailer ended up going with Pepsi because Coke wouldn’t match the prices it was offering to rival Walmart and it was imperative for Costco to retain the hot dog price point — per the orders of co-founder Jim Sinegal.
The promotion was so beloved by Sinegal that he warned his successor as CEO, W. Craig Jelinek, not to raise the price under any circumstances, even though it was a money-loser, Jelinek reportedly told a local Chamber of Commerce audience in 2022.
Now, after a 12-year absence, Coke will finally be back the fountains at the Costco food courts, sparking joy among some fans.
“Coke is a much, much better option. I’m happy for this news!” poster Rexpiper wrote in Costco Insider’s comments section, while another, Wanda Flora, added,
“Thank you!! I only drink Pepsi when it’s a last resort. Glad you are going back to the good stuff.”