Costco Discontinues Half Sheet Cakes - Reasons Explained

Walk into any Costco and you’ll still see giant chocolate cakes, tiered birthday creations and the familiar Kirkland Signature cheesecake, but the Costco half sheet cakes that used to line the bakery case have vanished. If you’ve ever bought a half sheet for a kid’s birthday, a family reunion or a simple celebration, the sudden emptiness can feel like a mystery. This article breaks down exactly why Costco stopped selling half sheet cakes, what that means for shoppers, and where you can still get a similarly sized cake without breaking the bank.

What Exactly Is a Half Sheet Cake?

A half sheet cake is a rectangular cake baked in a 12×18‑inch pan, usually 2‑inches tall. The dimensions translate to roughly half sheet size, offering about 24 servings - perfect for mid‑size parties. The standard frosting options at Costco were vanilla buttercream, chocolate ganache, and seasonal flavors like red velvet or pumpkin spice. Because the pan is a common commercial size, many local bakeries and grocery stores stock the same dimensions, which is why the loss feels noticeable.

How Long Did Costco Carry Half Sheet Cakes?

Costco introduced the half sheet cake in the early 2010s as part of its expanding bakery line. The cakes were marketed under the Kirkland Signature brand, promising “premium quality at a wholesale price.” Over a decade, they became a go‑to option for busy parents who wanted a large cake without the custom bakery price tag. Sales data from 2019 indicated that half sheet cakes accounted for roughly 12% of the bakery’s total revenue, a modest but steady slice.

Why Did Costco Pull the Plug?

Several forces converged to make the half sheet cake less viable for Costco’s business model. Below are the main drivers, each backed by recent industry reports or Costco’s own statements.

• Supply‑chain bottlenecks: In 2022‑2024, global grain shipments faced disruptions due to climate events and container shortages. Flour and sugar price spikes forced Costco to prioritize its highest‑margin items, and the half sheet cake, with its large ingredient footprint, fell lower on the list.
• Inventory turnover pressure: Costco’s warehouse model relies on rapid sell‑through. Half sheet cakes require a 48‑hour bake‑and‑sell window. If demand dips even slightly, the cakes either sit stale or must be discounted, eroding profit margins.
• Food‑safety regulations: New stricter temperature‑control guidelines for ready‑to‑eat bakery items were introduced in several states in 2023. Maintaining compliance for a large, pre‑decorated cake involves additional monitoring equipment that many locations found costly.
• Member feedback trends: Survey data released in Costco’s 2024 annual report showed a 15% decline in interest for large, pre‑decorated cakes, with shoppers opting for custom orders or smaller single‑serve desserts.
• Space optimization: Every square foot in a Costco warehouse is premium real estate. Replacing the half sheet cakes with higher‑turnover items like ready‑to‑eat meals or healthier snack options freed up space for products with higher per‑square‑foot profitability.

Combine these factors, and the decision becomes a clear business move: discontinue an item that’s costly to produce, store, and regulate, while opening the shelf for higher‑margin goods.

What Does This Mean for Shoppers?

For the average member, the immediate impact is the loss of a convenient, budget‑friendly cake size. Here are the practical consequences you’ll notice at the checkout line:

1. Need to purchase a full‑sheet cake (24×18 inches) and cut it yourself, which can be messy and time‑consuming.
2. Rely on local bakeries for a half‑sheet size, often at a 20‑30% price premium compared to the former Costco price of $19.99.
3. Shift toward alternative celebration options, such as cupcakes, cake pops, or layered desserts that fit in a standard 9‑inch round pan.

Fortunately, Costco still offers a range of smaller cakes (9‑inch round, 12‑inch square) and custom full‑sheet orders that can be trimmed to size, so you’re not completely out of options.

Where to Find a Comparable Half Sheet Cake

If you’re determined to stick with the 12×18‑inch format, several retailers fill the gap. The table below compares price, availability, and key features of the most common alternatives.

Notice that while Walmart and Sam’s Club price their half sheets similarly to the old Costco price, local bakeries offer the most flexibility if you need a themed design. If you’re comfortable with a kitchen knife, buying a full‑sheet cake from Costco and trimming it to a half‑sheet size can still save you a few dollars.

Tips for Getting a Half‑Sheet‑Sized Cake from Costco

• Order a full‑sheet cake ahead of time: Approach the bakery counter a week before your event and ask for a 12×18‑inch cake. The staff can bake it early, store it under refrigeration, and have it ready for pickup.
• Ask for a “half‑sheet” cut: While the bakery won’t pre‑cut, they’ll gladly slice the cake in half upon request, leaving you with two neat halves.
• Use the “cake‑by‑the‑slice” section: Some locations have a pre‑cut slice area where you can pick a single layer from a larger cake and add your own frosting at home.
• Combine with cupcakes: Purchase a full‑sheet cake for the base and add a tray of cupcakes for decoration or extra servings, which spreads the cost.

These workarounds keep the celebration budget-friendly and still let you enjoy Costco’s reputation for consistent taste and quality.

Frequently Asked Questions

So, while the empty space where half sheet cakes used to sit might be disappointing, there are clear reasons behind the change and plenty of ways to still enjoy a big, tasty cake without overspending. Whether you adapt with a DIY trim or explore other retailers, your next celebration can stay sweet and stress‑free.