Costco is a master at building customer loyalty

• Costco is raising its membership fees, but its fans don't seem to mind.
• The warehouse retailer has built up a loyal following of shoppers over the decades it's been operating.

Costco announced this week that it's raising its membership fees — and Reddit users seem indifferent. Some even said they didn't mind paying more, as the news came hand-in-hand with an announcement that Costco was raising wages for retail workers.

Nearly as well known as Costco's giant blocks of cheese, $4.99 rotisserie chicken, and $1.50 hot dog combo is its league of loyal superfans.

The wholesale retailer has cultivated a huge following of shoppers who discuss their love for its stores and their latest bargain buys — both among friends and online. One Facebook group dedicated to finding the best buys has over 1.7 million members.

Here's why they love the retailer so much.

Membership fees rarely get hiked

Costco just announced that it will raise its annual fees to $65 from $60 for Gold Star and Business members in September. This will be the retailer's first membership fee hike in seven years.

Members don't seem to mind the increase in fees, either.

"I'm ok with it," one person wrote on Reddit. "Doesn't even catch up with inflation since I've been a member." Another Redditor wrote that membership prices had only gone up by $10 since they first joined 13 years ago.

Cheap goods

The myths aren't true: You don't have to buy in bulk when you shop at Costco. And you can still get good deals, even on items that aren't sold in huge boxes or massive multipacks. Its famous rotisserie chicken, for example, costs just $4.99 for a whole bird.

Costco can keep its prices low for a number of reasons: It has no-frill stores, it sells a limited range of goods, and it stocks a lot of own-brand products. Low prices are offset by its membership fees, too.

And with such a broad range of products on offer, you never know what you'll find.

It pays its workers well

Costco is known for paying its staff well — it has some of the best hourly starting wages in the retail industry. This week it increased starting wages for service assistants, service clerks, and meat cutters by $1 an hour, bringing them up to $19.50.

It's understated

Costco doesn't advertise itself.

Superfan Susan Schwartz previously told Business Insider that the retailer was "inherently modest."

"They don't brag about themselves," she said.

She added: "They do the right thing when no one's looking."

Unlimited returns

Costco generally allows you to return any item at any time. Some electronics are exempt from the policy, though, and need to be returned within 90 days of purchase for a refund. Items that can't be refunded include gold bullion, airline tickets, and gift cards.

Costco also says it will refund membership fees if customers are "dissatisfied."

The $1.50 hot dog and soda combo

Costco's food court has long lured in hungry shoppers. It's perhaps best known for its $1.50 hot dog and soda combo, which has been on the menu since 1985. If the price had increased in line with inflation it would cost nearly $4.50 now.

The food court is also known for other items like its massive pizza slices and chicken bakes.

Are you a Costco superfan? Email this reporter at gdean@insider.com.