Costco leans – As whey protein concentrate tightens and prices rise due to low supply and strong demand, Costco is leaning hard into protein—bolstering sales of powders, bars, shakes, sodas, and its ultra-filtered Kirkland Signature protein milk. Executives linked the surge
For a lot of US shoppers, the trip into a Costco warehouse has stopped being just about bulk. It’s become a protein run.
In store after store, protein powders, bars, shakes, and sodas are stacked on pallets close to the registers—some of the most prominent “grab-it-now” items in the building. And the message from Costco’s own leadership is blunt: anything protein-related is moving.
“Anything protein right now is doing extremely well. ” Costco’s chief financial officer. Gary Millerchip. said during the company’s quarterly earnings call on Thursday. He added that Costco is “really leaning into those items. ” pointing to what the company is seeing from its members—both in demand and in how they weigh “value and quality.”.
Costco’s expansion isn’t limited to one product lane. As shoppers walk deeper into the warehouse, protein shows up across a range of other snacks and drinks, not just the powders and ready-to-drink options that are easiest to spot.
At the center of that push is Costco’s Kirkland Signature brand. CEO Ron Vachris said the company’s ultra-filtered protein milk has “taken off extremely, extremely strong,” tying that rise to the popularity of GLP-1 weight-loss drugs.
“Our buyers are right on top of the halo effect of GLPs and the needs of the members,” he said on the call.
Vachris also said GLP-1s are driving member interest in nutrients like magnesium and fiber, linking the protein boom to a wider shift in what shoppers prioritize in their carts—whether they’re actively using the drugs or simply adjusting their routines.
The demand surge, however, is colliding with a supply reality that is starting to show up beyond Costco’s aisles.
Protein is feeling the pressure across the ingredient chain as prices spiral higher. The US Department of Agriculture said last week that prices for whey protein concentrate—the ingredient used to add nutrition to otherwise ordinary food—are getting higher due to high demand and low supply.
The USDA said, “Production remains limited, and inventories are extremely tight.”
That squeeze is already making competition harder for some smaller brands. Bloomberg reported that smaller brands trying to compete with giants like Starbucks and Mars are struggling to secure enough powder to make their recipes.
Costco’s members may not see the full impact immediately. Scott Dicker, senior director and head of research and insights at market research company Spins, told Bloomberg it takes around 12 to 18 months for protein costs to show up in shelf prices.
The timing matters: executives are leaning into protein now, even as the underlying ingredient market tightens. The result is a warehouse-wide signal of where demand is headed—at least for the moment—while the broader price pressure is set to arrive later. potentially reshaping the cost of protein products well beyond Costco’s own lineup.
Costco protein demand whey protein concentrate USDA Kirkland Signature ultra-filtered protein milk Gary Millerchip Ron Vachris GLP-1 magnesium fiber Spins ingredient prices retail food supply
Protein aisle at Costco is basically the new ammo aisle now.
So they’re saying whey shortages are coming but also everyone’s already buying protein?? Kinda sounds like a self-fulfilling thing. My store just has bars stacked where the normal stuff goes.
If GLP-1s are the reason, then why is my friend still complaining his protein is too expensive? Like I thought the meds kill your appetite but apparently people still chug shakes. Also “ultra-filtered” milk sounds like marketing to me.
Costco is leaning hard into protein = they’re gonna raise prices again, just like everything else. Whey shortages loom… so of course they put it by the registers so you panic buy. I didn’t even know you could get whey concentrate at Costco like that. Next they’ll be selling protein soda in every flavor, and I’ll probably still grab the regular one by mistake.