How A Single Hot Dog Cart Turned Into Costco's Iconic Food Court

A warehouse that boasts a treasure hunt-style shopping experience, Costco is beloved for its great deals and fan-favorite food court. The iconic $1.50 hot dog and soda combo ranks highly among Tasting Table's assessment of every Costco food court item, and for good reason. This staple offering was first introduced in 1984, and its price has remained unchanged since. Flashing back to 1980s San Diego, it all began with a modest cart featuring hot dogs sold by Costco's original frank supplier, Hebrew National. Having a quick snack on the go was great fuel for shoppers just entering Costco or those on their way out who wanted to stop and refresh. Over time, this evolved into an entire food court, offering club members a variety of delicious and low-priced foods to elevate their shopping experience.

Costco's dedication to fair pricing and quality products has been evident from day one, and its hot dog cart-turned-food-court is a prime example. In 2008, Costco brought hot dog production in-house to cut down on supply chain costs and ensure the combo pricing would stay consistent. The food court is not only a means of incentivizing shoppers to stop for a brief and affordable nosh but also to provide a "return on investment" to make the price of a club membership even more worthwhile. With a bevy of hot and cold foods, beverages, and desserts, the enduring popularity of its food court has garnered Costco a near cult-like following among devoted fans.

Following the success of its freestanding hot dog cart in the mid-1980s, Costco created an outdoor stall called "Cafe 150," the first iteration of its now famous food court. The name corresponded to the $1.50 price tag for the hot dog and soda combo, and the warehouse also offered a Polish sausage option at the time. In addition to the widely favored frank and drink, the Costco food court also welcomed a new menu item, a slice of pizza. In the early 2000s, salads, sandwiches, desserts, and new varieties of pizza all joined the menu, priced between two and five dollars each.

Many fan-favorites have come and gone over the years, but the reliably priced hot dog and soda combo has always been the same. Though Costco has pivoted between hot dog suppliers and, more recently, changed soda fountain giants, the focus has always been on keeping costs low while maintaining standards of quality. It's worth noting the length to which Costco has gone to maintain the integrity of its most famous meal and how this has only helped to grow the business to include more food court favorites. It's no wonder that loyal customers return time and time again.