Nationwide Costco Delivery
DoorDash and Uber Eats expand nationwide Costco delivery to intensify competition with Instacart.
Anonymous
Key Points
1
Uber and Costco are offering eligible Costco members a discounted annual Uber One membership as part of the expanded partnership, with a further discount in subsequent years.
2
Uber Chief Operating Officer Andrew Macdonald said the expansion is intended to bring Costco’s selection and value to more consumers and demonstrate Uber’s ability to help retailers meet everyday shopping needs.
3
Costco.com has resumed selling discounted Uber/Uber Eats and DoorDash gift-card multipacks: two $50 cards cost $79.99, representing a 20% discount.
4
Costco Executive members can receive an additional 2% back on the discounted Uber and DoorDash gift-card purchases, according to the gift-card report.
DoorDash and Uber Eats are bringing Costco delivery to nearly every corner of the U.S., intensifying a direct threat to Instacart's grip on warehouse shopping. DoorDash now delivers from all U.S. Costco locations, while Uber Eats expanded service to 47 states and nearly 600 warehouses this week. Both platforms let members order groceries, bulk goods, and exclusive items straight to their homes.
The expansion marks a major shift in how Americans shop for staples. Costco is sweetening the deal with discounted memberships: eligible members get 50% off annual Uber One subscriptions in year one, then 20% off afterward. Costco is also selling discounted DoorDash and Uber gift-card bundles—$100 worth for $79.99—adding another layer of savings.
How This Breaks Instacart's Costco Dominance
For over a decade, Instacart held an iron grip on Costco's same-day delivery, powering its official app and website. Now it faces real competition from two delivery giants at once. While Instacart still runs Costco's white-label platform, DoorDash and Uber Eats let shoppers bypass it entirely and order directly through their own apps.
The stakes are enormous. Costco's digital sales grew over 20% last year, and third-party delivery orders are now outpacing overall e-commerce growth. Both DoorDash and Uber are betting that convenience and membership perks will pull shoppers away from Instacart, which has faced criticism for high service fees and marked-up prices.
Why Costco Opened Doors to Two Rivals
Costco's CFO confirmed in March that same-day delivery growth from multiple partners is racing ahead of traditional e-commerce. By spreading orders across DoorDash and Uber Eats, Costco reduces dependence on any single player and ensures its members have choices. The warehouse retailer tested both platforms internationally for years before committing nationwide this month.
Andrew Macdonald, Uber's Chief Operating Officer, framed it as a win for shoppers: *"We are thrilled to expand our partnership with Costco nationwide, giving Costco members more ways to shop."* For Uber and DoorDash, non-restaurant retail is a goldmine—a way to diversify beyond food delivery and tap into a trillion-dollar opportunity.
The Real Cost of Third-Party Delivery
The discounted gift cards and membership offers look tempting, but savvy shoppers need to do the math. ConsumerAffairs warns that third-party apps often mark up item prices by 10–15% above in-warehouse rates. Add delivery fees, tips, and service charges, and the 20% gift-card discount can vanish quickly on a $100 order.
Gig drivers, however, view Costco orders as a win: large basket sizes mean bigger tips and higher earnings per trip. The catch is logistics—parking at busy Costco lots and navigating checkout lines add friction and time. For Costco members in rural areas or those without cars, the new delivery options are genuinely transformative.
Sentiment
Mostly PositiveNEGATIVENEUTRALPOSITIVE
Publishers
29
Articles
149
Reach
178
A
AnonymousAuthor
