Walmart introduces up to 10-cent-per-gallon gas savings for Walmart+ members, challenging Costco’s price advantage amid rising fuel costs.
Walmart is targeting Costco’s dominance in low-cost fuel with a new perk for Walmart+ members, offering savings of up to 10 cents per gallon at participating gas stations. The move comes as gasoline prices have surged 40.5% year over year, increasing demand for cheaper alternatives.
Costco has long led the market by undercutting competitors by about 30 cents per gallon, drawing customers despite slower service. Walmart’s strategy mirrors Costco’s membership-based model but appeals to budget-conscious shoppers who prefer its broader retail offerings over Sam’s Club.
The Walmart+ membership costs $12.95 per month or $98 annually and includes additional benefits like free grocery delivery on orders of $35 or more. The fuel discount expands Walmart’s competitive edge in retail and energy sectors.