Costco’s food court has long been a haven for bargain hunters and hungry shoppers alike, with one particular deal standing out as a symbol of value: the $1.50 hot dog and soda combo. Since its introduction in 1985, this meal has remained untouched by inflation, holding steady at the same price for four decades. But in late 2025, the warehouse giant made a subtle yet significant tweak—one that’s stirring debate among its fiercely loyal customer base.
For the first time in 40 years, Costco began offering members the option to swap the classic 20-ounce refillable fountain soda for a 16.9-ounce bottle of Kirkland Signature water, all while keeping the combo’s price at $1.50. According to USA TODAY, the quarter-pound, all-beef hot dog itself hasn’t changed, nor has the price—a point of pride for the company and its fans. The new water option, however, is making waves both online and in food courts across the country.
The move is, on the surface, a simple one. For customers who don’t drink soda, want a lower-sugar or no-calorie drink, or just prefer the portability of a resealable bottle, it’s a welcome change. As reported by Southern Living, the bottled water option appeals to those who want to take their drink on the go, or who have concerns about the cleanliness of soda fountains. “Being able to carry a water bottle home would be infinitely easier than a soda container that risks spilling,” one Reddit user remarked, reflecting a common sentiment among shoppers who value convenience and hygiene.
But not everyone is cheering. The rollout, first noticed in states like California, Nevada, and Virginia, has sparked a lively debate on social media and in Costco aisles. According to Mashed, some customers see the bottled water combo as a step backward—arguing that it’s less of a value than the original soda pairing. The soda cup holds 20 ounces, compared to the water bottle’s 16.9 ounces, and comes with free refills. For frugal shoppers, that extra sip and the ability to top up their drink is a key part of the combo’s enduring appeal.
“It should be $1.25 since the waters cost 25 cents,” one Instagram commenter argued, referencing the fact that Kirkland Signature bottled water is typically sold for just a quarter at Costco’s vending machines. Others echoed the sentiment, noting that a 20-ounce fountain drink costs 79 cents on its own, yet the combo price doesn’t change whether you choose soda or water. For a store famous for its unbeatable deals, even a difference of a few cents can feel like a big deal to its most cost-conscious patrons.
The environmental angle has also entered the conversation. Some shoppers are concerned about the increased use of plastic, pointing out that water is already available from the soda fountain. “Why use more plastic when water is available in the soda dispenser?” one commenter wondered, highlighting the ongoing tension between convenience and sustainability. Still, others countered that the soda combo comes with its own share of plastic—a cup, straw, and lid—much of which may not be recycled properly. As one Redditor dryly put it, “The regular offering comes with a plastic straw and plastic lid and an absolutely not going to be recycled cup as well.”
Despite the mixed reactions, there’s no denying the hot dog combo’s enduring popularity. In 2025 alone, more than 245 million were sold, according to Mashed. The combo’s staying power is partly due to its status as a loss leader—a product sold at little or no profit to draw customers into the store. As Eat This, Not That! noted, Costco’s food court started as a single hot dog cart, and the hot dog and soda combo has since become a near-mythical deal in American retail. Its price, if adjusted for inflation, would be nearly $5 today, but Costco’s commitment to keeping it affordable is the stuff of legend. In fact, NBC once reported that a co-founder threatened, “If you raise the price of the effin’ hot dog, I’ll kill you.”
So why make the change now? While Costco hasn’t formally announced its reasoning, some observers speculate that offering bottled water as part of the combo could help the company sell individual bottles from broken bulk packs—an efficient way to avoid waste and keep prices low across the board. Others see it as a simple nod to evolving customer preferences, as more people seek healthier or more convenient drink options. And for those who still want their soda, nothing has changed: the original combo remains available, complete with free refills and the same classic condiments—ketchup, mustard, relish, and onions—served on a soft, fluffy bun.
The addition of bottled water isn’t the only recent change at the Costco food court. The chain has also introduced new bakery items, like blueberry sourdough bread and sourdough bread bowls, and a limited-time Caramel Churro Sundae dessert, as reported by Martha Stewart and Southern Living. These tweaks, along with new packaging for rotisserie chickens and faster checkout options, suggest that Costco is willing to innovate when it comes to customer experience—so long as it doesn’t mess with the fundamentals that made it a household name.
Of course, there’s a catch for would-be deal hunters: at most U.S. locations, you now need an active Costco membership to access the food court, as noted by USA TODAY. The company offers both Gold Star and Executive membership tiers, with occasional promotions for new members. For many, though, the lure of a $1.50 meal—unchanged in price since 1985—is reason enough to sign up.
As the dust settles on this minor but meaningful update, one thing remains clear: the Costco hot dog combo is more than just a cheap lunch. It’s a cultural touchstone, a symbol of value, and, for many, an essential part of the Costco experience. Whether you’re sticking with the classic soda or trying out the new bottled water option, the deal’s resilience in the face of inflation and changing tastes is, in its own way, something to celebrate.