7 Design Tips for Costco Packaging (2025 Guide) – Holidaypac

Why this matters

Costco merchandises right on the sales floor. Your packaging is both protection in transit and the display in-store. Nail these seven tips and you’ll pass compliance checks and move units quickly.

1) Start pallet-first: fit, height, weight

Design from the pallet up. In North America, plan for a 48″ × 40″ pallet footprint with no overhang; build to ≤58″ total height (including pallet) and keep total load ≤2,500 lb. If you want double-stacking in trucks, target ~52″ pack height. 

2) Make it truly “display-ready”

Costco wants retail-ready (SRP/PDQ) loads that roll straight to the floor. Use a butterfly pallet skirt, make the 48″ side the hero facing, and keep product shoppable from multiple sides with clean tear-aways. 

3) Engineer for strength & rough handling

Club-store loads should survive clamp trucks, cross-docks, and floor time. Use proper flute and board grade, layer sheets/caps, and pack patterns that resist crushing. Many suppliers validate with ISTA pre-shipment tests for unitized loads. 

4) Labels that scan first time

Follow GS1 best practices for logistics labels (e.g., SSCC on pallets) and keep unit UPCs unobstructed on sell faces. Apply pallet/master labels on accessible sides—easy for receivers to scan through wrap. 

5) Club-store story: big, simple, instant value

Members stand several feet away. Use large type, one core benefit, and clear count/value cues (“24-pack”, “90-day supply”). Limit badges to the essentials to prevent visual noise. (General best practice)

6) Design sustainability in (and say it plainly)

Costco is pushing packaging reductions. Show real material cuts (less plastic, right-weight corrugate) and call out recyclability/FSC where applicable. Even hot items like rotisserie chicken shifted packaging to reduce plastic and freight impact—sustainability is visible on the floor. 

7) Plan for clamps & “large item” handling graphics

For large/heavy packs, add Costco’s required handling pictograms (upper-left corners on all four sides) and build for clamp pressures and tall warehouse stacking without deformation.

Quick spec cheat sheet (North America)

• Pallet footprint: 48″ × 40″; no overhang (optimize packout; aim ~47–47.5″ × 39–39.5″ inside).
• Max total height: ≤58″ (includes pallet).
• Max total load: typically ≤2,500 lb.
• Facing: design primary shop face on the 48″ side; consider 3-side shopability.
• Transit: enable double-stack when practical; use layer sheets/caps.
• Floor-ready: SRP/PDQ with clean tear lines; butterfly pallet skirt preferred. 

Design checklist (save for your packaging brief)

• Pack plan fits 48″ × 40″; height ≤58″; projected load ≤2,500 lb
• 48″ side as the hero facing; 3-side shop access where possible
• Butterfly skirt art + SRP/PDQ tear-aways aligned to planogram
• Layer sheets/caps + tested clamp/stack performance
• GS1 logistics label on pallet; clean UPCs on sell faces
• Clear value message in ≤7 words; one badge max per view
• Material-reduction notes + recycle icons/FSC where applicable
• Large item pictograms added (if applicable)

FAQ

Q1: Can I exceed 58″ if the item is oversized?
A: Oversized or unique categories may have exceptions, but they require buyer approval—don’t assume. Use the current spec and align early. 

Q2: Do I have to use butterfly skirts?
A: It’s a common Costco preference because it speeds setup and looks clean on the floor. Confirm with your buyer for your category. 

Q3: What about pallets outside the U.S.?
A: Many international warehouses use 1,200 × 1,000 mm pallets. Verify destination country requirements in advance. 

How Holidaypac can help

As a factory partner, Holidaypac engineers display-ready PDQ/SRP and full-pallet POP that align with Costco norms—fast prototypes, flexible MOQ, and FSC options. Share your pack count and target price point; we’ll return a compliant dieline, palletization, and art grid ready for your team.