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Why has Costco stopped selling soy milk?

4 min read

According to reports from online forums like Reddit, many long-time members were devastated by the disappearance of Kirkland Signature soy milk, prompting a flurry of customer inquiries and complaints. This sudden gap in the warehouse's extensive lineup leads to a common question: Why has Costco stopped selling soy milk?

Quick Summary

The discontinuation of Kirkland Signature soy milk was due to multiple factors, including slow sales and supplier negotiation issues, leading to its removal from many stores. A branded replacement was later introduced to the warehouse shelves.

Key Points

  • Slow Sales: Costco officially cited 'slow sales' as a primary reason for the discontinuation of its Kirkland soy milk, according to customer service responses.

  • Supplier Issues: Reports indicate a heated dispute or an inability to agree on pricing with the former supplier, leading to the product's removal.

  • Market Shift: Soy milk's popularity has waned in recent years, with almond and oat milk seizing significant market share, prompting retailers to adjust their inventory.

  • Inventory Rotation: The removal aligns with Costco's strategy of regularly rotating products to maximize shelf space and offer newer, trendier items.

  • Branded Replacement: In response to customer feedback, Costco has since introduced a branded soy milk replacement, such as 'Your Good Foods'.

  • Other Options Available: The warehouse continues to offer a variety of other popular non-dairy milks, including several Kirkland Signature almond and oat beverages.

In This Article

The Disappearance of a Fan-Favorite

For years, Costco members could count on the familiar sight of the Kirkland Signature Organic Soy Beverage in bulk cartons. It was a budget-friendly staple for many shoppers, particularly those who were vegan, lactose-intolerant, or simply preferred a plant-based option. However, beginning in early 2025, customers began reporting the item's sudden and puzzling disappearance from store shelves across the country. The initial confusion gave way to frustration as members realized this was not a temporary stock issue, but a more permanent change. Online communities, like the r/Costco subreddit, became a hub for speculation and shared disappointment.

The Multiple Reasons Behind the Discontinuation

Several factors contributed to the removal of the private-label soy milk from the warehouse chain. While Costco itself rarely provides a single definitive reason for discontinuing a product, member reports and company-level analyses offer a comprehensive picture of the decision-making process.

Slow Sales and Shifting Trends

One of the most concrete explanations came directly from a Costco customer service representative, who cited 'slow sales' as the primary reason for the discontinuation. While the Kirkland soy milk had a dedicated following, its overall performance did not justify its shelf space compared to other plant-based beverages. This aligns with broader market trends. Sales of soy milk have been on a downward trajectory for years in the U.S., largely losing market share to the soaring popularity of almond and oat milks. Consumers have increasingly turned to these alternatives, attracted by different flavor profiles, textures, and perceived health benefits.

Supplier Negotiations and Contract Issues

Another frequently reported reason revolves around the relationship with the product's supplier. At least one Costco manager reportedly indicated that the company and its supplier were in a heated dispute over pricing. Costco is known for its meticulous contract negotiations aimed at securing the lowest possible price for its members. If an agreement cannot be reached, the company often opts to discontinue the product rather than compromise on its value proposition. One Costco customer service agent told a news outlet that the "suppliers and buyers could not agree on a price" for the product.

Costco's Inventory Management Strategy

The warehouse giant operates on a highly competitive and limited product strategy, constantly evaluating the market demand for every item in its stores.

Key considerations in Costco's product management:

  • Performance Metrics: Products that underperform in sales are at risk of being culled to make room for more profitable, faster-moving items.
  • Shelf Space Optimization: With limited floor space, every product must earn its spot. New, trending items often replace older, slower-selling ones to keep the inventory fresh and compelling for members.
  • Supplier Relations: Disagreements with suppliers over cost or volume requirements can lead to a product's discontinuation.
  • Product Evolution: Sometimes a product is removed to make way for an improved version or a different brand that meets changing consumer needs.

A Comparison of Plant-Based Milk Options

To put the soy milk discontinuation in context, it's helpful to compare it with the other non-dairy milks that have gained favor with consumers and at Costco.

Feature Soy Milk Almond Milk Oat Milk
Protein Content High; comparable to cow's milk Low; significantly less than soy or dairy Moderate; higher than almond milk
Flavor Profile Nutty, slightly beany; versatile for cooking Milder, nutty; some brands are thin Naturally creamy, slightly sweet; excellent for coffee
Texture Smooth and creamy; excellent frothing Thin, watery consistency Very creamy and rich
Market Trend Decreasing in popularity in the U.S. Steady and strong market share Fastest-growing in the market
Availability at Costco Branded replacement now available Multiple Kirkland and other brands Multiple brands, including Kirkland

The Replacement and What's Next

For those who were mourning the loss of the Kirkland brand, there is some good news. According to correspondence received by upset customers, Costco stated plans to bring in a branded soy milk replacement. The new product, often from brands like Your Good Foods or Silk, would rotate through the store's inventory. This is a standard practice for the retailer, ensuring members always have access to a variety of products while still managing stock efficiently.

As of recent reports, a branded, organic, unsweetened soy beverage from 'Your Good Foods' was indeed stocked in many warehouses, directly addressing the previous gap in the lineup. For members who frequent Costco Business Centers, other options like bulk Silk brand soy milk have also appeared on shelves. This indicates that while the Kirkland version is likely gone for good, Costco acknowledges the demand for soy milk and is adapting its offerings to meet it. For more insight into Costco's general discontinuation process, check out this article on Allrecipes.

Conclusion

The discontinuation of Kirkland Signature soy milk was a disappointing moment for many loyal customers. It was the result of a combination of factors, including declining sales in a market increasingly dominated by alternatives like oat and almond milk, and challenges in supplier negotiations. However, the story does not end there. Costco has since listened to its members' feedback and introduced branded replacements, ensuring that a budget-friendly soy milk option remains available. This situation highlights the evolving nature of the plant-based market and Costco's pragmatic, sales-driven approach to its product inventory.

Allrecipes

Frequently Asked Questions

Costco discontinued its Kirkland Signature soy milk due to a combination of slow sales and ongoing contract disputes with the product's supplier.

Yes, following customer feedback, Costco began stocking a branded, unsweetened soy beverage from 'Your Good Foods' as a replacement for the Kirkland version.

Market trends show that oat and almond milks have surpassed soy milk in popularity over recent years. Costco's inventory reflects this shift, with prominent placement of both oat and almond milk varieties.

While it's not impossible, it is highly unlikely. Costco has introduced a new branded soy milk to fill the gap, suggesting they do not plan to bring back the private-label version.

At Costco, check for the branded 'Your Good Foods' soy beverage or visit a Costco Business Center, which may carry bulk Silk brand soy milk. Other grocery stores like Trader Joe's also offer popular soy milk options.

Products are often discontinued at Costco due to a variety of factors, including underperformance, supplier disagreements, or a need to make room for newer, trendier items. Customer feedback may sometimes prompt a return or, in this case, a suitable replacement.

The rapid growth of oat milk is often attributed to its creamy texture and rich flavor, which many consumers find superior to other plant-based milks, especially for use in coffee.

References

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Medical Disclaimer

This content is for informational purposes only and should not replace professional medical advice.