If you’ve ever wandered through the towering aisles of Costco, you’ve probably experienced something that feels more like a scavenger hunt than a shopping trip. One moment you’re grabbing your usual rotisserie chicken, and the next, you’re deep in an aisle trying to remember where the granola bars went. Spoiler: they’re nowhere near where they were last week.

Welcome to Costco’s famous (or infamous) treasure hunt shopping model.

This isn’t just a quirk—it’s a deliberate retail strategy. Let’s break down what this model really is, how it compares to traditional shopping setups, what customers are saying online, and whether this kind of experience could ever work in the e-commerce space.

What Is the Treasure Hunt Shopping Model?

Unlike a typical grocery store, where you know exactly where to find the milk, bread, or your favorite cereal thanks to clearly labeled aisles and consistent layouts, Costco’s product placement is intentionally unpredictable.

Items are routinely moved. Aisles often have no overhead signs. Some products appear one week and vanish the next. Even staples like snacks or cleaning products might be found in completely different spots than they were the last time you visited.

This ever-shifting layout is part of Costco’s treasure hunt model—a system that encourages customers to explore the entire warehouse in search of items. It’s not just about finding what you came for; it’s about discovering something you didn’t know you needed.

Why Does Costco Do This?

At first glance, it might seem like a way to frustrate shoppers, but it’s actually a calculated sales tactic.

Costco operates with thin profit margins on many of its bulk goods. Instead of relying heavily on product markups, it makes much of its profit from membership fees and the volume of sales. So how do you get customers to buy more? You let them “discover” new things.

By moving items around and making shoppers browse the entire store, Costco increases the chances of impulse purchases. You might’ve walked in for dog food, but left with a $50 set of high-end kitchen knives or a discounted hammock.

This model leans into a key part of consumer psychology: the fear of missing out. Many of Costco’s unique or seasonal items are available for a limited time, creating urgency. If you don’t grab that great deal now, it might be gone next week.

The Psychology Behind the Hunt

Costco’s model taps into the same psychological reward systems that drive people to scroll endlessly through social media or hunt for clearance racks in department stores. It’s about discovery.

Finding something unexpectedly good—like an organic snack pack you’ve never seen before or a major brand at a shocking discount—gives shoppers a hit of dopamine. Over time, these positive reinforcements can make the inconvenience of navigating a chaotic layout feel worth it.

It’s a retail version of a treasure chest: you never know what you’ll find, and that unpredictability keeps you coming back.

The Pros of Costco’s Treasure Hunt Model

1. Encourages Exploration:

Shoppers often walk through parts of the store they wouldn’t normally visit, increasing exposure to more products.

2. Impulse Buying = Bigger Baskets:

Customers frequently leave with more than they planned to buy, which increases total purchase value.

3. New Every Visit:

The store feels fresh and interesting each time. There’s always the chance of spotting something new and exciting.

4. Sense of Urgency:

Limited availability of certain products creates urgency, which drives faster purchase decisions.

5. Builds Loyalty Among Deal-Seekers:

Shoppers who love deals and the thrill of the find are more likely to return frequently to see what’s new.

The Cons of the Treasure Hunt Model

1. Inconvenient for Mission Shoppers:

People who come in with a list and a time limit are often frustrated by the unpredictable layout.

2. Harder to Build a Routine:

Unlike traditional stores, it’s difficult to create a consistent shopping pattern at Costco.

3. Time-Consuming:

Browsing the entire store takes more time, especially when you’re looking for just a few basics.

4. May Alienate New Customers:

First-timers or those unfamiliar with the layout may feel overwhelmed, especially in a rush.

5. Inventory Inconsistency:

Popular items can disappear without warning, making Costco unreliable for certain regular purchases.

How Does This Compare to Traditional Retail?

Traditional grocery stores pride themselves on efficiency. Aisles are clearly labeled. Product categories are consistent. It’s easy to make a quick run for essentials or plan a weekly shopping trip with minimal surprises.

This model caters to mission shoppers—those who want to get in, grab what they need, and leave.

While Costco’s treasure hunt approach builds excitement and potentially boosts sales, it does so at the cost of predictability and convenience. For shoppers who value speed and consistency over surprise, this can be a real pain point.

Applying the Treasure Hunt Model Across Different Business Models

Costco's treasure hunt strategy isn’t limited to physical retail. The core idea—encouraging discovery and creating excitement through unpredictability—can be applied across various industries, including SaaS, e-commerce, and subscription-based models.

Let’s take a look at how it translates—and where it might hit or miss.

1. SaaS (Software as a Service)

How it could work:
In the SaaS world, a treasure hunt approach could mean rolling out surprise features, limited-time tools, beta access to experimental modules, or time-bound integrations that users can “discover” through regular engagement.

Examples:

• Productivity tools offering surprise mini-apps or Easter egg functions
• Design software releasing limited edition templates or visual assets
• Business analytics platforms unlocking seasonal data visualizations

Pros:

• Encourages users to explore the platform more deeply
• Drives engagement with features they might not otherwise use
• Adds a layer of fun and novelty to often utilitarian platforms

Cons:

• Can be distracting for users focused on efficiency and productivity
• May cause frustration if critical features seem hidden or inconsistent
• Could overwhelm users with too many surprise elements

Best fit: Freemium SaaS products or platforms that serve creatives, startups, or users who enjoy exploration.

2. E-Commerce

How it could work:
E-commerce businesses can mimic the treasure hunt with rotating homepage deals, mystery product bundles, or personalized shopping experiences that change with each visit.

Examples:

• Flash sales that change daily
• “Mystery Box” product bundles
• Limited-edition product drops without advance notice

Pros:

• Boosts impulse buying and time-on-site
• Encourages repeat visits and daily browsing
• Creates a sense of excitement and urgency

Cons:

• Can disrupt users looking for a quick, focused purchase
• Risk of reducing customer trust if surprises are perceived as gimmicky
• Hard to implement for stores with vast inventories without good filtering

Best fit: Lifestyle and fashion brands, niche product sites, or retailers that thrive on trends and exclusivity.

3. Subscription Boxes

How it could work:
Treasure hunting is practically built into this model. Many subscription services, especially in beauty, food, and hobbies, already leverage surprise contents as a core value proposition.

Examples:

• Monthly snack boxes with international treats
• Skincare boxes with mystery deluxe samples
• Book or craft kits with curated themes that change monthly

Pros:

• Creates anticipation and delight every month
• Drives long-term subscriptions through “fear of missing out”
• Builds community engagement through unboxing culture

Cons:

• Not all customers enjoy surprises—some prefer customization
• Risk of dissatisfaction if the surprise doesn’t match expectations
• Harder to retain customers if perceived value dips over time

Best fit: Direct-to-consumer brands with strong communities and products that can be easily themed or curated.

4. Brick-and-Mortar Retail

How it could work:
Many physical retailers are adopting the treasure hunt in small ways—rotating clearance sections, ever-changing “featured finds,” or seasonal pop-up sections that disappear quickly.

Examples:

• HomeGoods and TJ Maxx rotating inventory constantly
• Bookstores creating themed tables that change weekly
• Grocery stores featuring new international foods monthly

Pros:

• Encourages customers to linger and explore
• Promotes impulse buys and creates a sense of urgency
• Keeps the in-store experience fresh and engaging

Cons:

• Can cause shopper frustration if essentials are hard to locate
• Makes inventory management more complex
• May reduce appeal for mission-based or routine shoppers

Best fit: Stores targeting experience-driven customers, bargain hunters, or communities that value uniqueness.

Final Thoughts:

Costco’s treasure hunt model is more than just a quirky layout. It’s a psychological sales engine designed to keep customers engaged, curious, and spending. It appeals to the human desire for novelty, deals, and discovery—and it’s incredibly effective.

But it’s not for everyone.

Some shoppers revel in the unexpected finds and sense of adventure. Others just want to find their frozen berries and go home.

Ultimately, the treasure hunt model works best in environments where exploration is part of the fun and where consumers have time to browse. In-store, it’s a high-reward game for retailers. Online, it needs to be implemented carefully to avoid friction.

So, next time you walk into Costco and find yourself detouring past a piano, a 100-pack of protein shakes, and a life-sized Christmas reindeer in April—just remember, you’re not lost.

You’re on a treasure hunt.

‍

Further reading: Mediocrtiy doesn't win: Pick a side