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Have you ever been amazed at how much money you saved at Costco and left with a cart full of goodies? It’s not just you. In 2023, Costco made a huge $176.6 billion just from their U.S. business. Sales in other countries brought in even more revenue. This is a clear sign for business owners to develop a shopping app like Costco.

“If you do build a great experience, customers tell each other about that. Word of mouth is very powerful.” – Jeff Bezos.

Costco’s business plan is based on giving members access to high-quality goods at low prices. In 2022, the world’s e-commerce market was worth $18.98 Trillion. By 2030, the market is expected to be worth $47.73 trillion. This has led to a huge demand for shopping apps like Costco.

What really matters, though, is how much it would cost to make a shopping app that’s as good as Costco? Hold on tight, because we’re going to take a deep dive into the realm of ecommerce app development costs and explore what it takes to develop a shopping app like Costco.

So, let’s begin!

Quick Summary: This blog will assist you in understanding the aspects, costs, and essential features of developing a shopping app similar to Costco. It will also help you figure out what tech stack you need to use and the main steps you need to take to build it.

A Brief History Of Costco!!

Costco is the largest online marketplace that has its roots in Canada. It has easily made the switch to mCommerce, even though it is known for its membership-based warehouse business.

Their unique mix of member-only benefits and an easy-to-use digital cash app that shows value and honesty is what makes them stand out. Club warehouse wholesalers are one way that Costco gets their products to users, but they also sell their own brand straight to customers.

Today’s shoppers want a digital shopping experience that is similar to shopping in-store, and Costco has met those needs. These perks that can’t be found anywhere else make customers want to come back, which is good for long-term growth.

So, if you are fascinated with the success of the Costco app and want to create a similar type of app, then avail on demand app development solutions.

Is It Worth Investing In Costco App Development?

The company made 166 billion U.S. dollars in net sales in 2020, and it was expected to make over 250 billion U.S. dollars by 2026.
The businesses that Costco ran in the United States brought in 176.6 billion dollars in 2023.
There are 120,9 million users around the world.

The company made 33 billion Canadian dollars and 32.6 billion American dollars from its foreign business.
Costco has a market value of $359.11 billion as of May 2024.
At the end of 2024, there were about 71 million paid Costco members around the world. This was up from 65.8 million the previous year.

As you can see, Costco marketplace solutions have gained popularity among users in a very short time. This has made it possible for new startups to invest in Costco mobile app development. But if that isn’t enough to convince you, consider all the below benefits to develop a shopping app like Costco.

i. Enhanced Customer Experience

Costco already has a lot of loyal customers, but a well-made app could make shopping a lot better for them. Digital shopping lists, tools for finding products in stores, and mobile checkout could make shopping easier and get people to come more often.

ii. Increased Sales and Membership Growth

Member-only deals and discounts could be offered by the app, along with personalized product suggestions and the option to reorder things that are often bought. This might bring in more customers and maybe even new members.

iii. Streamlined Communication and Marketing

The app would give Costco and its members a straight way to talk to each other. Investing in Costco marketplace development could send targeted ads, information on new products, and reminders to renew memberships through the app.

iv. Improved Inventory Management

Costco could use the app to get real-time information about what members buy and how often they buy it. This information could be used to make sure that popular things are always in stock and that the right amount of inventory is kept on hand.

Costco Business Model: How Does It Generate Revenue?

Since it first opened, the store has added further investment routes, which has made its sources of revenue more diverse. The main source of income comes from selling goods in bulk at lower prices. That being said, Costco also makes money from other places:

1. Membership Fees

Costco is different from other stores because customers have to first become members. That’s the only way to get good buying power. Costco also has a tier system, which means that membership fees may change from time to time. This kind of fee makes up more than 2% of Costco’s yearly income.

2. Merchandise Sales Volume

More than 90% of the store’s income comes from selling store-keeping units. The company can make more than $150 billion a year even though it only keeps 3,700 things in any of its warehouses at any given time.

3. eCommerce Offers

Costco opened an online marketplace platform in 2001 and has become very famous since then. Costco’s low prices can be enjoyed by customers and members who don’t have to go to the store’s stores. As a result, more comfort!

4. Home Programs

Costco can put a lot of things in your home, from floors and carpets to countertops and HVAC systems. The store owner can make a lot of money from this model of the business.

5. Auto Sales Program

Costco works with more than 3000 car lots these days. For this scheme, customers can buy both new and used cars. Costco gives extra benefits to its customers in addition to low prices.

I have extensive experience managing the development of ecommerce apps, particularly shopping apps, for clients all around the globe. Making e-commerce apps is more than just adding virtual try-on options and nice designs. It needs amazing features, security, and tight adherence to data privacy. I will show you the steps you need to take to develop a shopping app like Costco based on my own experience.

Mohit Nag (Project Manager):

How Much Does It Cost to Develop a Shopping App Like Costco?

Budget is an essential aspect to think about before investing in a Costco app development clone. You would likely be thinking “how much will it cost to create a shopping app like Costco?”.

Well, we can give a rough estimate which will be between $10000-$25000. The Costco app development cost might go up even more if you make a lot of modifications after providing a ballpark figure. To get more clearer image, look at the below table of cost to build ecommerce app:

Factor / Integration	Cost Range ($)
Basic UI/UX Design	$1000 – $3000
Frontend Development	$2000 – $6000
Backend Development	$2000 – $6000
Database Setup	$500 – $1500
API Integration	$1000 – $3000
Authentication System	$500 – $1500
Push Notifications Setup	$500 – $1500
Analytics Integration	$500 – $1500
Version Control System	$200 – $500
Deployment Setup	$500 – $1500
Testing and QA	$1000 – $3000
Project Management	$500 – $1500
Contingency (10-20%)	$800 – $5000
Total Cost	$8000 – $25000

Besides, you can also calculator the cost to build a shopping app like Costco with the below given formula:

Total Online Shopping App Development = Developer’s Hourly Rate * Development Time

Thus, if you want to know the exact cost to develop a shopping app like Costco, it would be best to talk to the mobile app development company. They would suggest a close figure of Costco like shopping app development.

Factors Impacting the Cost to Develop An App Like Costco

After knowing the cost to build an app like Costco, it is vital to be well-versed with the factor. They play a major role in fluctuating the cost. So, below are the crucial factors to develop a shopping app like Costco given by an ecommerce app development services provider.

1. Platform Compatibility

The Costco eCommerce app development cost is affected by the platform used for the app. You will have to pick between Android, iOS, or cross-platform based on the goals of your project. Most of the time, iOS costs more than Android or cross-platform.

2. UX/UI Design

Customers love designs that are visually attractive and look outstanding. You need to spend money on UI UX design if you require users to install your Costco-like app. It will help your app improve the experience of users and bring in new ones, which will increase participation. Adding an advanced style to your app, on the other hand, will raise the cost to develop a shopping app like Costco.

3. Features & Functionality

Adding complicated or advanced features and functions to your eCommerce mobile app will make it cost more. Some of these advanced features are AR/VR try-ons, game-like experiences, and more.

4. Location of Development Team

The cost to develop a shopping app like Costco will also depend on where your ecommerce development company is located. This is mostly because of the cost of labor, overhead costs, and changes in the value of the dollar. Choosing the second choice will save your company a lot of money when it comes to making a shopping app like Costco.

5. Maintenance & Support

Regular mobile app maintenance and support and help keep the app flexible and make it easier to use. So, spending money on app maintenance is also an important part of the cost to develop a shopping app like Costco.

Best Shopping Apps Like Costco That Rock

Before you start developing an app similar to Costco, it is vital to be aware of the competitor apps. So, we have listed down the best marketplace apps like Costco that are popular in the market.

Apps Like Costco	Available Platform	Downloads	Ratings
Amazon	Android \| iOS	500M+	4.4
Walmart	Android \| iOS	100M+	4.8
Etsy	Android \| iOS	50M+	4.4
SHEIN	Android \| iOS	50M+	4.3
Poshmark	Android \| iOS	10M+	3.7

1. Amazon

With Amazon‘s mobile shopping app, users can shop in their huge store right from your phone. They can look through what seems like an endless number of goods. From everyday items and the newest books to high-end designer clothes and the newest technology.

2. SHEIN

The way SHEIN focuses on lightning-fast trends and rock-bottom prices has changed the fashion business. The Chinese app like SHEIN mostly sells to young people who are smart about their money and want the newest styles. For example, clothes, accessories, beauty products, and even home goods.

According to 83% of power users in the U.S., the easiest way to shop is through online platforms.

3. Walmart

A marketplace app like Walmart is a huge American store that has franchises all over the world. Walmart is a one-stop shop for everything from fresh food and pantry staples to the newest tech gadgets, basic clothes, and toys for kids. It is known for its huge hypermarkets, discount stores, and grocery stores.

4. Etsy

Etsy is an online shopping app that sells one-of-a-kind, old, and handcrafted items. This shopping app is all about new creations. With marketplace apps like Etsy, users who make handmade items or find unique vintage items can sell them to people who like unique things.

5. Poshmark

Poshmark is a great app for shopping because it lets users buy and sell new and used clothes, shoes, and other items. An app like Poshmark targets fashion lovers by combining the ease of an online market with the social media features that let them connect with each other.

Key Features To Develop A Shopping App Like Costco

If you’re wondering about how to develop a shopping app like Costco that works well together, these are a few essential features you should add. All of these features are useful for both buyers and sellers. Let’s have a look:

Feature	Description
User Registration & Login	It enables users to make accounts and operate profiles.
Membership System	Users can manage different membership tiers and associated benefits.
Product Listings	It showcases a wide variety of products with detailed information like pictures, descriptions, prices.
Shopping Cart	With shopping app development, users may add, remove, and operate products they like to buy.
Search & Filter	It enables users to find specific items utilizing keywords, categories, and other filters.
Order Management	It provides functionalities for tracking orders, checking delivery status, and managing returns.
Payment Gateways	You must integrate safe payment gateway options like cards or digital wallets.
Bulk Ordering & Discounts	Highlights bulk purchase options and associated savings.
Personalized Recommendations	It recommends products based on user buying history and searching behavior.
Push Notifications	With ecommerce app development, users are informed about deals, order updates, and other relevant information.
In-Store Pickup & Delivery	It offers options for picking up orders at the store or having them delivered.
Live Customer Support	It provides a channel for users to get help with app functionalities or purchase issues.
Scan & Go Functionality	It allows users to scan items while shopping and invest directly with the Costco-like app.
Smart Cart Technology	Hire dedicated developers to integrate with smart carts that automatically track and tally items.
AI-Powered Visual Search	It enables users to look for items by taking pictures with their phone camera.
AR/VR Try-On	It allows users to virtually try on clothes, furniture, or other applicable items.
Gamification & Rewards Programs	It gets people hooked by giving them certificates, badges, and special deals.

How To Create A Shopping App Like Costco?

A shopping app like Costco is easy to make if you partner with a marketplace app development services provider like Dev Technosys. When you develop a shopping app like Costco—it takes just five steps. Below is an outline of the steps involved in the Costco-like app development process:

1. Validate Your Idea

To create an app like Costco, you need to finish this vital stage in the development process. You should talk to a lifestyle app development company about your idea for a shopping app. You should also do a lot of market study to find out what users want, who your potential audience is, and what objectives are. Also, look at who your possible rivals are in the market. Making a good plan will help you ensure the success of your project.

2. Make A Features List

Find out what your mobile shopping app like Costco, needs in order to perform properly. It’s a good idea to add important features like a shopping cart, user accounts, payment gateways, and push alerts when you create a mobile app akin Costco. You can also improve the user experience by adding advanced features to your app, like AR/VR, award systems, or game-like features.

3. Create An UX/UI Design

Now give users a great experience by making an interface that is easy to use, personable, and looks good. When you develop a shopping app like Costco, make it easy to find your way around, clearly label your products, and check out without any problems. To keep people interested in your shopping experience, use bright images, icons, and dynamic features.

4. Develop Your Costco-like App

Before you develop a shopping app like Costco, pick a tech stack that works for you. With the help of an iOS or Android app development company, set up a scalable design so that it can handle updates and growth in the future. You can also work closely with developers to make sure things go smoothly and are delivered on time.

5. Test & Deploy Your App

Test your app on a lot of different devices to find and fix any bugs or problems with how it works. Once you’re sure your Costco-like app is error-free, it’s time to publish it on the desired app stores. Additionally, if you want to stay ahead in the market, you should update your Costco-like app with feature enhancement and error fixes.

Tech Stack Used To Develop A Shopping App Like Costco

Component	Technologies
Frontend	React Native, Flutter, Swift, Kotlin
Backend	Node.js, Python (Django/Flask), Java (Spring Boot)
Database	SQLite, MySQL, PostgreSQL, MongoDB, Firebase
API Integration	RESTful APIs, GraphQL, SOAP
Authentication	OAuth, JWT
Push Notifications	Firebase Cloud Messaging, Apple Push Notification Service
Analytics	Google Analytics, Firebase Analytics
Version Control	Git, GitHub, Bitbucket
Deployment	Google Play Store, Apple App Store, TestFlight, Firebase App Distribution

Ready To Build An App Like Costco?

Now that you know what it takes to develop a shopping app like Costco, time to get the ball rolling on the project plan. Just to remind you, there are many similar apps out there right now. That being said, if you want your Costco-like app to get noticed, it has to be special and distinct.

Being one of the first Canadian chain wholesale companies to offer services like these has helped Costco carve out a special place for itself in the online shopping world. So, if you want to develop a shopping app like Costco, make sure to keep it different by taking help from a marketplace development services provider. They will help you match your business’s goals and user needs.

FAQs!!

Q1. What Are the Features A Marketplace App Must Have?

Features make your online marketplace successful. So, it is vital to choose the best one that fits your budget. Below are some features that you must consider:

Secure Payments
Ease Of Navigation
Push Notifications
Swift Checkout Process
Wish List
Add To Cart

Q2. How Much Does It Cost To Develop a Shopping App Like Costco?

Depending on your project requirements, the cost to develop a shopping app like Costco varies. It can range between $10000-$25000 or can exceed if you go for more advanced functionalities. To know the actual cost, consult with an ecommerce app development company.

Q3. What Are the Benefits Of Creating An App Like Costco?

Costco app development from a reputable marketplace development company like Dev Technosys offers many benefits. Here are some of the common ones:

Boost Brand Visibility
Increased User Engagement
Cost-effectiveness
Data-driven Insights
Competitive Edge

Q4. How Long Will It Take To Develop a Shopping App Like Costco?

The time to develop a shopping app like Costco relies on many factors like app complexity, features etc. If you build a simple Costco akin app, it can cost you $10000-$15000. However, a complex shopping app may increase the cost up to $25000 or more. Moreover, the cost to build an online marketplace website will be up to $30000 if you add advanced features.

Q5. Why Should You Choose Us For Costco App Development?

Dev Technosys is a reputable online shopping app development services provider serving since 2010. We have a proven track record of developing ecommerce mobile apps and websites. From apps like Amazon to Walmart, we may create any type of ecommerce apps. For a Costco-like app that gets people to buy things, use our experience for Costco app development.