People across various income levels recognize Costco as a go-to destination for amazing deals, whether it’s their famous $1.50 hot dog combo or even luxury vehicles, as noted by the company’s chairman, Hamilton “Tony” James.

Since joining the board in 1988, James has expressed his enthusiasm for attending board meetings, describing Costco as a valuable lens into consumer behavior—what people are purchasing or ignoring.

In a recent interview with Chief Executive Magazine, James shared that Costco has consistently monitored its competitors while prioritizing expansion, ranging from small supermarkets in Seattle to giants like Walmart and Amazon.

“From the start, we understood that if the quality was excellent and the prices attractive, we could successfully sell anything in bulk—Rolex watches, Dom Perignon, and 10-karat diamonds,” he explained.

James highlighted that while the majority of Costco’s members can be classified as “average-income earners,” a significant portion of affluent shoppers with double the average income enables the corporation to achieve remarkable feats.

He cited an anecdote: “A Porsche dealership in Seattle displayed their cars inside a Costco, and they were sold out within a week. Wealthy individuals appreciate a great deal.”

James also commented on the gold bars that have recently gained attention for rapidly selling out.

“I can’t say for sure if wealthy buyers are the ones snatching them up, or if it’s just those concerned about the economy. I’d be interested to analyze the demographics of the purchasers,” he stated.

Earlier this month, Costco announced its net sales reached $19.51 billion for January, indicating a 9.2% growth compared to the previous year.