Costco’s Bold Plan: Unveiling 29 New Locations in 2025

Costco’s ambitious 2025 expansion plans will transform shopping experiences across the U.S., promising both customer satisfaction and new opportunities for employee growth.

At a Glance

Costco plans to open 29 new locations during the 2025 fiscal year.
New warehouses aim to reduce pressure on existing stores.
Ten new locations will be outside the U.S.
The Pleasanton, CA warehouse set a record with $2.9 million opening sales.

Costco’s Strategic Expansion in 2025

Costco intends to launch 29 new warehouse locations during its 2025 fiscal year, providing much-needed relief at its overcrowded facilities. Predominantly located in the United States, the new stores will predominantly be in California, Texas, Michigan, and Massachusetts. This move reflects Costco’s commitment to capture new market segments and enhance customer convenience, as evidenced by its record-breaking opening in Pleasanton, California, where sales hit $2.9 million on the first day.

The company plans to open six warehouses by March 2025 across states including Brentwood, CA, Genesee County, MI, and Highland, CA. This course of action indicates an effort to strategically position new warehouses near successful existing locations, a tactic aimed at mitigating congestion at high-traffic stores.

Costco will surpass 900 locations with six new U.S. warehouse stores opening in early 2025. Will a Costco open near you? Here are the sites and dates. https://t.co/klI1CsejMf

— Knox News (@knoxnews) December 21, 2024

Impact on Employees and Global Expansion

Beyond the United States, Costco’s global expansion will include ten new locations opening outside the United States. This international focus is part of a broader strategy to continue expanding by an estimated 30 locations annually, venturing into Europe, Asia, Canada, and Mexico. These efforts not only improve customer experiences but also create pathways for career development, strengthening Costco’s reputation as a supportive employer.

“Some of these projects take a lot longer than other ones will, so they’ll come on at different times. But I think the outline of 30 a year seems very realistic and a good portion of those, not quite half, to be outside of the U.S.” – Ron Vachris

As part of its expansion strategy, Costco opened seven new buildings in the first quarter of the fiscal year, which began in September. Four of these are international, underscoring the company’s commitment to global growth. Relocating some warehouses provides employees with opportunities for career advancement. The strategic nature of these relocations benefits both the company and its workforce.

Positive Outcomes and Challenges

Recent trends indicate that new Costco locations are poised to significantly enhance the customer experience through better parking and more efficient checkout. These improvements are expected to be well-received by loyal customers seeking convenient shopping. Additionally, Costco raised membership prices in September 2023, which led to a 7.6% increase in membership fee revenue for the first quarter of 2025, reaching $1.17 billion.

The ongoing expansion presents challenges such as staying ahead of logistical demands and maintaining high standards of customer service. However, Costco’s proven track record and forward-thinking strategies position it well to manage these challenges while continuing to thrive both domestically and internationally.