Yahoo Finance I Stopped Buying Things From Costco: Here’s What I Learned
Costco isn’t hurting for customers. After all, it has 125 million members. However, not everyone who becomes a member of the warehouse shopping club stays a member, including Max Shak, founder and CEO of nerDigital.
Check Out: 10 Costco Meals That Are Cheaper Than Buying Takeout
Learn More: How To Get Cash Back on Your Everyday Purchases
Here’s why Shak stopped buying things from Costco and what he learned.
More: 10 Costco Meals That Are Cheaper Than Buying Takeout
Why I Started Shopping at Costco
Shak initially started shopping at Costco for a few key reasons.
Bulk Savings
Shak said that Costco is known for offering substantial savings due to the bulk products it offers.
“The idea of purchasing non-perishable goods, household items and even electronics in larger quantities was appealing, as it often meant lower unit prices,” he said.
Quality and Variety
Shak said that Costco’s wide range of products, from high-quality food items to electronics and clothing to furniture were major draws to him when deciding whether to shop at Costco.
Membership Benefits
“The exclusive membership benefits, such as access to Costco’s gas stations and discounts on services like travel, were attractive incentives,” Shak said.
Reasons I Stopped
Despite the initial appeal Costco held, Shak eventually stopped shopping there for the following reasons.
Membership Costs
A Costco Gold Star membership is $60 a year, includes two membership cards and allows you to shop in the warehouse and online. Additionally, if you are dissatisfied at any time, you can cancel your membership and get a full refund.
“While the membership benefits were attractive, the cost of a Costco membership began to outweigh the savings I was gaining,” Shak said. “Especially when my shopping frequency decreased.”
Limited Selection for Small Households
Shak is a single person and found that buying in bulk often led to him wasting items.
“The family-sized portions didn’t align with my consumption patterns,” he said.
Impulse Purchases
Shak also fell victim to Costco’s enticing displays and unique products. “I found myself making impulse purchases that I didn’t need, which added to my shopping bill and cluttered my home,” he said.
Distance and Time
It wasn’t exactly convenient for Shak to shop at Costco either. “The nearest Costco store was a significant distance from my home, and the time spent on travel and navigating the crowded store began to feel like an inconvenience,” he said.
Alternatives to Costco
After discontinuing my Costco membership, Shak explored these various alternatives.
Local Grocery Stores
“I started shopping more at local grocery stores,” he said. “Where I could buy smaller quantities of fresh produce and items that suited my household size.”
Online Shopping
“I embraced online retailers, which offer the convenience of doorstep delivery and the ability to purchase precisely what I need without the temptation of impulse buys,” said Shak.
Farmers’ Markets
Shak said, “I began supporting local farmers’ markets for fresh, seasonal produce, promoting sustainability and reducing my carbon footprint.”
Warehouse Club Comparison
“I compared the offerings and prices of other warehouse clubs and found some that were more suitable for my needs — both in terms of product selection and location,” said Shak.
Still Committed to Costco?
For those who still find value in shopping at Costco, here’s some advice from Shak.
Plan Your Purchases
Shak said to make a shopping list and stick to it to avoid impulse buys. “Only purchase items in bulk if they have a long shelf life, or if you have the storage space,” he said.
Assess Membership Benefits.
“Evaluate the cost of your membership against the savings,” Shak said. “Ensure the benefits outweigh the annual fee.”
Check for Local Alternatives
“Explore local grocery stores, farmers’ markets or other warehouse clubs to compare prices and product availability,” said Shak.
Avoid Peak Hours
Shak suggested shopping only during off-peak hours to avoid things like crowds and long checkout lines.
Parting Advice
“Ultimately,” Shak said. “Whether or not to shop at Costco depends on your individual needs, household size and shopping habits. While it didn’t align with my circumstances, it can be a great option for families and those who can fully utilize the benefits of bulk shopping.”
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