Why are Costco’s Same-day Powered By Instacart prices higher than Costco’s in-warehouse prices?

Costco’s item prices are marked up higher than your local warehouse. Instacart uses the markup to pay for their delivery service. The order minimum is $35.

Instacart uses the markup amount to provide competitive pay to all shoppers working with Instacart. Unlike a tip, which can only go to the shopper delivering your order, a markup allows us to pay all shoppers (including those for example, those that also pick ordered items in the warehouse).