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- The Costco Playbook: Loyalty Over Hype
The Costco Playbook: Loyalty Over Hype
The Most Trusted Brand Strategy You’re Ignoring
Welcome to Authenticity Report - Issue #85
This week, we’re breaking down how Costco quietly built one of the most trusted brands in the world and why its authenticity playbook is something every founder, marketer, and consumer should study.
Our Roundup: from Bad Bunny spotlighting everyday people on the Super Bowl stage to brands and platforms proving authenticity beats algorithms, this week’s stories all point to the same truth — real human connection is still the ultimate growth strategy.
This Week’s Report
—> The Costco Playbook
—> Tell Us
—> Takeaways
—> Authenticity Roundup
—> Top Voices
What Do You Think? We are reshaping and expanding our Authenticity platform, we'd love to have you on board and contribute! Email us directly at [email protected]
Read Time: 3.5 mins
| The Costco Playbook: Loyalty Over Hype
For years, I’ve watched Costco (#52), the leading membership-only warehouse club, not just dominate retail, but do it in a way that feels real, like a brand that actually keeps its promises.
The secret sauce isn’t flashy marketing or celebrity spokespeople, it’s consistent value and trust.
Take its Kirkland Signature line: in 2025, its private-label brand alone generated about $90 billion and accounted for a third of Costco’s sales, all without much traditional advertising.
Costco relies on word of mouth and quality that often matches or beats national brands in price and performance.
You can see this authenticity in both the products and the stories people share online.
One Costco member on Reddit recently described how Costco gave them price adjustments and rebates on a TV purchase without being asked.
This gesture left them “shocked and impressed” by the company’s integrity and willingness to help customers.
For example, Costco and Nike surprised customers with a sudden product release in January 2026.
Some warehouses quietly sold Kirkland Signature × Nike SB Dunk Low sneakers, with only about 500 pairs per location.
They sold out in minutes, leading to long lines and a rush to resell them online. Some resellers asked for much more than the original $135 price.
On social media, people posted reactions like “I hit the drop!” and “They’re crazy ugly but so fun.”
These were genuine, unfiltered responses to a brand moment that felt real, not staged.
These are real customer voices, not paid influencers, and that’s why the Costco brand feels trustworthy.
Costco’s authenticity also comes from its leadership.
Co-founder Jim Sinegal famously said, “If you raise the hot dog, I will kill you,” when others suggested raising the price.
He kept the $1.50 hot dog and soda combo as a symbol of value and consistency, even when raising the price seemed reasonable.
That story is more than just funny; it’s a key part of the brand, showing that loyalty comes from keeping promises to customers.
Even after CEO Craig Jelinek retired in 2024, this approach continues.
Costco keeps investing in low prices, growing the Kirkland brand, and using digital tools to make shopping easier.
All of this reflects Costco’s commitment to authenticity.
While many retailers follow trends, Costco stands out by focusing on doing the right thing for its members, employees, and communities.
Its values page still puts people first, saying, “When we do the right thing, good things happen.”
It emphasizes caring for members, respecting differences, and building long-term trust instead of chasing short-term profits.
This is why people pay high membership fees and keep coming back—they trust Costco to keep its promises.
In a time when many brands only talk, this kind of authenticity is rare and powerful.
| Tell Us
Would you trust a brand more if it refused to raise prices?Choose One & Comment |
| Takeaways
1. Keep Brand Promises — Consistency builds trust faster than clever advertising ever will.
2. Let Customers Talk — Organic praise from actual users is brand gold.
3. Champion Value Over Hype — Long-term relationships beat short-term sales spikes.
4. Ground Leadership in Principles — Values that guide decisions shape a brand’s real reputation.
| Time To Choose
What Brands Are Authentic? It is time once again to choose which brands you feel are authentic. Please tell us via our survey (it takes less than 5 minutes to fill out).
The results of your decisions will be part of our annual Authenticity 500 Index rankings, which you will receive for free.
| Authenticity Roundup
This week's curated reads from web
photo: Apple Music
entertainment
• The Everyday People Who Made Bad Bunny’s Halftime Authentic
By centering real community members instead of celebrities, Bad Bunny turned the Super Bowl halftime show into a deeply human celebration of Puerto Rican identity, proving authenticity resonates louder than spectacle.
Read More → ny times
business
• Why Authenticity Still Wins in an AI-Driven Marketplace Full of Numbers
In today’s market, where AI and data are everywhere, brands that focus on real human connection, openness, and trust tend to grow stronger and last longer than those that only care about the numbers.
Read More → autogpt
culture
• Authenticity Attracts 80M People Weekly To Reddit Search
As AI skepticism rises, Reddit is proving that real human conversation and verified authenticity can drive massive search growth, with over 80 million weekly users choosing trust and community over algorithmic summaries.
Read More → mediapost
| Tools
NEW PORTAL FOR TOOLS
We are excited to launch a new platform that gives you access to powerful tools from Authenticity.co, along with insights to help you master business fundamentals and implement authentic strategies for personal and brand success.
Unlock your potential with us!
For a limited time, these will be available for free to our subscribers.
• Authenticity 500 - Top 5 Brand Recap
• Authenticity 500 - Brand Takeaways
• Enhancing Your Personal Authenticity - Worksheet
More tools to come soon!
| Past Reports
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| Top Voices
What Does Authenticity Mean To You?
This newsletter is an exclusive benefit to our Authenticity community.
Our weekly guide explores the meaning of Authenticity as it relates to our personal and professional lives and the brands we connect with, bringing you the latest insights, curated news, and guest authors.
Our tools to help you:
• Brand vs. Consumer Values Alignment Checklist
• Brand Storytelling Scorecard
• Authenticity 500 - Top 5 Brand Recap
• Authenticity 500 - Brand Takeaways
• Enhancing Your Personal Authenticity - Worksheet
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Disclosure: Some content in this newsletter may be generated with the assistance of AI tools for research and drafting. It was reviewed, edited, and fact-checked by our human editorial team before publication.
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