Costco Founder Told The Current CEO He'd Kill Him If He Raises The Price Of Hot Dogs

September 23, 2020

Costco's hot dog has remained $1.50 since it was first introduced in 1984.

During a recent one-hour presentation at a Chamber of Commerce luncheon, the wholesale chain's current CEO W. Craig Jelinek addressed the reason he has not raised the price.

Costco hot dog price will not change

At the luncheon Jelinek said he once told Costco co-founder and former CEO Jim Sinegal they needed to raise the price of the iconic $1.50 hot dog and soda combo.

"I came to (Jim Sinegal) once and I said, 'Jim, we can't sell this hot dog for a buck fifty. We are losing our rear ends.' And he said, 'If you raise the effing hot dog, I will kill you. Figure it out.'

Taking his words to heart, Jelinek — who became Sinegal's successor in 2012 — has never raised the price on Costco's hot dog.

"That's all I really needed," Jelinek said.

"By having the discipline to say, 'You are not going to be able to raise your price. You have to figure it out,' we took it over and started manufacturing our hot dogs. We keep it at $1.50 and make enough money to get a fair return."

Today, Costco sells over 100 million hot dogs annually.

In 2009 a Seattle Times reporter asked Sinegal, "If that price ever goes up, what will it mean?"

"That I'm dead," he replied. "We're known for that hot dog. That's something you don't mess with."

Click Here For The Most Popular On Sunny Skyz

feel good videoThese Cat Reactions To Owners Calling Them Through Security Cameras Are Absolutely Hilarious

feel good storiesKentucky Nurse Saves Drunk Raccoon With CPR After Dumpster Mishap

feel good storiesShoulder Labrum Tear Symptoms And The Causes Behind Them

feel good stories'Everyone Gets A Kick Out Of It': Baby Born At McDonald’s Parking Lot Has Perfect Nickname

feel good storiesThe Mechanical Nurse At Guy’s Hospital Is Equal Parts Creepy And Brilliant

feel good storiesDad And His Dog Share Breakfast Together Every Morning — And It’s The Sweetest Routine

feel good videoEpic ‘Bohemian Rhapsody’ Flashmob Takes Over the Streets of Paris

feel good videoTexas Cheerleaders Perform Emotional 9/11 Tribute That Brings Crowd To Tears

feel good videoFDNY Honors Bride Whose Father Died On 9/11 With Touching Wedding Surprise

feel good videoHoney Badger Picks Fight With Elephant, Gets Hilariously Booted Away

feel good videoTiny Soccer Rivals Choose Hugs Over Competition

Chris Filippou 12:17 PM (3 minutes ago) to me