Walmart Is Coming for Costco With Its Latest Dining Option

Walmart may be the go-to for household supplies and everyday groceries, but its prepared food offerings shouldn’t be overlooked. Walmart could easily be compared to other retailers like Costco with its expanded line of heat-and-eat meals, bakery-quality desserts, and hot deli items. The retailer has even caught on, selling its own version of items that quickly sell out at Costco (we’re looking at you, Peppermint Bark).

And now, Walmart’s latest addition—this time to its dining options—may offer some serious competition to Costco’s most beloved in-store food offering.

Walmart Is Launching a Hot Dog Chain in Select Locations

While the fate of the $1.50 Costco food court hot dog combo was up in the air for a minute last year, we have since been able to breathe a sigh of relief after Costco’s CFO said it was staying. (Phew!) But now, Walmart is shaking up things by getting in on the hot dog game.

Crave Hot Dogs and BBQ is expanding its footprint by opening locations in select Walmart stores nationwide. It appears to be an effort by Walmart to provide more dining options to shoppers; Recently, the retailer added Uncle Sharkii Poke Bar and Wonder Food Hall in some locations as well.

What does the latest Walmart announcement mean for Costco hot dog fans? Well, here’s what we know.

Crave has multiple franchise business models, including brick-and-mortar locations, food trucks, and express units; the latter is the model to be featured in Walmart stores. The chain serves grilled 100% all-beef hot dogs with an array of toppings. Highlights include a classic chili cheese hot dog; a loaded baked potato hot dog with tater tots, bacon, sour cream, and cheese; and a mac-and-cheese-topped hot dog.

According to the express menu on Crave’s website, the “Craveable Dogs” start at $5.45. In terms of price, Costco wins here, but the variety at Crave is incomparable.

Besides hot dogs, Crave also offers a wide range of barbecue including smoked brisket and pulled pork sandwiches, salads, and bowls. It also offers a breakfast menu with egg biscuits and chicken and waffles, “munchies” like pulled chicken nachos and chili cheese fries, loads of sides, and even a few desserts.

When the fast-casual chain initially announced its plan to launch within select Walmarts last July, Samantha Rincione, CEO and co-founder of Crave, noted the new venture offers quick and delicious dining for shoppers. “We’re excited to see the positive impact it will have on the community,” Rincione said in a press release.

Express locations are currently under development at some Walmart stores in Ohio, Florida, and Kentucky. The company plans to expand its footprint nationwide by the end of the year with additional locations in New York, Georgia, and Texas. 

But the big question remains: Will Costco customers be swayed to hit up their local Walmart rather than Costco to quell their hot dog cravings? It’s a dog-eat-dog world, and every retailer is fighting for a piece of the pie (bite of the bun?). We’re eager to see how it all plays out.