My First Trip to Costco: Why I Hate Club Stores

Image courtesy of David Castillo Dominici / FreeDigitalPhotos.net

I’m not a fan of “club” stores. Vonnie and I have a membership at Sam’s Club, but to me it’s useful only for the selection and price of certain cuts of meat worthy to be put on my smoker. Other than that, I could dump the membership and not miss a beat. My problem with club stores is the magical trance that comes over people (including myself) once the store is entered.  It’s the perspective  that if you find a product that you use (no matter how rarely), it should be snatched up immediately because every product is the sale of the century just because you’re at a club store and it comes in bulk.

I also seemed to be the only person in the entire city that did not join in the excitement as the gigantic new Costco was built. Nor was I excited when our neighbor called us while we were Christmas shopping this past weekend and asked if we wanted to go with them as guests to check out the new store. The official reason for going was to look at the products and prices to decide if we would switch to a Costco membership when our Sam’s Club membership expires.

But I had my doubts as to what was about to transpire as we walked through the brightly lit doorway of Costco.  I invite you to  follow along as I recall my first trip through the isles of Costco and play a riveting game of “Club Store Deal? Or No Deal?”

Getting Charged Up

It didn’t take long to reach the first item in our game: a package of 40 Duracell AA batteries for $12.99. Vonnie put this item in the cart so fast I honestly thought it was a reflex reaction. This was an item that was on our Christmas shopping list for our son as he always seems like he’s looking for AA batteries. The package was big, and the price included a $2 instant manufacturer’s rebate so it was definitely a good deal, right?  I wasn’t so sure so I compared prices after the fact.

Was this a Club Store Deal? Or No Deal?

Verdict:  I found a pack of 20 AA Duracell batteries at a different store for $12.49.  I got twice as many batteries for only 50 cents more?  ChaaaaaaChing!  DEAL, and it was on our Christmas gift list! 

Getting Some Fiber, Club Store Style

As we rounded the corner, a 48 count box of chocolate granola squares for $9.98 caught my wife’s attention. We hadn’t bought this item for awhile, and this was a mega box that would last a long time. There wasn’t even any thought given to whether it was worth it to buy this.

So now that it’s sitting in our cupboard, was it a Club Store Deal? Or No Deal?

Verdict:  At $9.98 for 48 of them, that works out to about 21 cents per square.  Purchased at my grocery store, a package of 10 costs 2.59 at about 26 cents per square saving us 5 cents per square.  DEAL!  Barely.

Chew On This

Heading for the checkout we passed bulk boxes of gum. Our son is constantly asking us to get him gum, and taking ours when we have some. The thought was it would be a funny and fairly inexpensive Christmas gift for him. The bulk package held 12 packs of gum for $7.74.  Did we really need to get this item at Costco?

What do you think, readers? Club Store Deal? Or No Deal?

Verdict: The bulk pack prices out at 65 cents per package of gum.  At the grocery store I can buy 3 packs of the same gum for $2.98 which is almost $1 per pack. DEAL!

As we got to the checkout line, the cashier asked if we found everything OK.

“Absolutely, Including things we didn’t even know we needed!” replied my neighbor.

Shortly after that our bill rang up to $55.05.  While everything we purchased was at a reduced cost per unit compared to our grocery store (not all listed in this article), we ended up paying for weeks or months worth of a product all at once.  That can be a weekly budget killer.  I also remembered that we walked into the store expecting to spend exactly $0.

My neighbor’s reply to the cashier echoed in my head.

Yes, we did get a gift that was actually on our list to purchase (batteries), but everything else was purchased because we became enamored with big packages and the love of the deal.

A friend of mine once referred to this as the, “Ooooh, Shiny!” effect. 

On the way out, we did stop by the Costco liquor store and found a bottle of Miscato for $6 less than what we normally pay for it.  Great deal on something we were planning on picking up on our way home anyway.

After my first trip through Costco, that’s something I definitely needed.

 

About Travis

43 Responses to “My First Trip to Costco: Why I Hate Club Stores”

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  1. I love Costco. I’m only one person, but that doesn’t necessarily exclude me from the bulk buying bonanza. One thing I keep in mind when I’m at Costco is the price of my time. I could buy whatever paper goods are on sale at Target as needed every month or so and pay a similar amount per roll, but one trip to Costco and I’m set on paper towels for over 6 months. The higher upfront price and commitment of buying in bulk also cuts down on my impulse buys, where I’d be more tempted if I were just purchased one or two of an item. I want to be sure I really want what I’m about to buy 10+ of.

    I also saved about one hundred dollars by buying my contact lenses at Costco instead of my optometrist’s office, and gas is slightly cheaper at Costco than our surrounding gas stations. In a city with higher than average gas prices, every penny helps.

    As a side note, I have that huge package of AA batteries, too.

    • Travis says:

      That’s a valid point, Lyn – Paper towels or laundry detergent and things that are purchased infrequently anyway could be a great thing to get at a place like Costco. I just have to make sure to keep my blinders on as I go to the section where they’re at. LOL.

      That package of batteries IS a good deal, isn’t it? Great minds think a like! 🙂

  2. I love Costco as well! The key, just like with any shopping, is to buy only what you need and watch the unit pricing. We find that it actually stretches our grocery budget because we get things that we’d normally buy grocery shopping, but for a fraction of the cost. This is not always the case and you have to do your math, but it is possible. Alcohol is one of the things we love buying there because it really can work out to be a better deal and save a nice little sum to boot.

    • Travis says:

      I think in addition to sticking to buying only what you need, is to plan a head for a “Costco run.” Maybe that’s the key – to save some money each week in preparation for a potentially large bill buying bulk packages of things. I do that on a smaller scale for those weeks when I need to buy things like laundry detergent, paper towels, cat liter, etc. Buying bulk sizes would cost more, but last longer and maybe save me money in the long run.

  3. Kevin says:

    Generally my parents shop at Costco for items that they would buy and use in bulk anyways such as towel papers, toilet paper, and some snacks. The gas at Costco is very cheap too. And lets not forget the best part of Costco: free food samples!

    • Travis says:

      LOL, Kevin….Food samples indeed. During my trip there I had samples of : 1.) BBQ rib 2.) cheeseburger 3.) ham and 4.) cheesecake. That is certainly good quality samples. The ham was so good I nearly bought one…….luckily I came to my senses and remembered I didn’t need one. But I did tuck the memory of the yummy ham in the back of the head for when I do need one. 🙂

  4. KB says:

    I think Costco has some great deals and the convenience of buying in bulk is great too. I just find that I impulse buy way too much there.
    I’m not sure I’m reading this right but are you giving your son a pack of batteries as a Christmas present?

    • Travis says:

      The impulse buy – exactly, KB….that’s my whole problem. 🙂 Yes, we did buy a huge pack of batteries for my son as a stocking stuffer. That’s the kind of stuff we put in our kids’ stockings: batteries, candy, iTunes gift cards, etc. Who wouldn’t want a ginormous package of batteries? Haha!

      • KB says:

        That’s not a bad idea! I have to say that stocking stuffers were my budget buster this year. Once the kids are older, I really struggled for ideas and just ended up just throwing money at the situation!
        I don’t do any grocery shopping at Costco, Wal-Mart, etc. because people often can’t help peeking in the other departments and then you come home with a whole bunch of stuff that you may or may not need so I stick with just straight old grocery stores for now!!

        • Travis says:

          Oh, don’t even get me started on stocking stuffers, KB….they’ve killed my Christmas budget more than one year. I’ve promised myself we’d do better this year…so far so good!

  5. debtgirl says:

    I like Costco for a few things only. Pancake mix for which I blogged about today… very interesty um.. not really! I like the frozen berries and their deli chicken is way cheaper than any other store and HUGE.
    However, I don’t pay membership, I go with a buddy who has card! I cheat!

    • Travis says:

      Hey debtgirl! I read your post on making pancakes….I was EXTREMELY impressed with the fluffiness of your pancakes! Maybe I’ll have to try that brand as mine never turn out that fluffy. Seriously, readers……you want to see some kick ass fluffy pancakes? Follow the link to debtgirl’s blog!

      • debtgirl says:

        Thanks for the shout out and the complement!

        That is the best brand I have found anywhere, (Costco has huge inexpensive bag) They usually about 1/2 inch think and DD loves them she even eats them plain at times.

  6. Kathy says:

    The, “Ooooh, Shiny!” effect … LOVE IT! and it sure gets me every time. Buying such large amount of paper products, etc. – well, that explains why my budget gets killed each time I go to one of these stores. Now, if I were REALLY good about it – which I ain’t – I would figure out how long each of those bulk purchases cost & how long it would last, break it down into managable amounts that could be put aside weekly or monthly and have the cash ready for the next time I need to buy in bulk. nah – am too busy consoling myself with the wine I bought at a cheaper price. only kidding! But seriously, those bulk store shopping trips kill my budget. And I find my family of 5 is more wasteful when I have a bulk supply of items, so is there really any savings? I think not.

    • Travis says:

      Ha! I’m glad you like the “Oooooh, Shiny!” Kathy! You touched on something that I neglected to mention in the post but agree with 100%. If you have more on hand, you tend to use more. If I buy a package of 10 granola squares, it may last 2 weeks just due to the frequency we use the product and we make sure we *really* want one before we take one. If we have a box of 48, we figure we have LOTS of them, so why not have another! It would be interesting to see if a package 5 times as large really lasts 5 times as long. Thanks for sharing that point, kathy!

  7. Jane Savers says:

    I really save shopping at Costco but I am able to restrain myself and avoid impulse buys. Tea, oats, toilet tissue, cereal and hot sauce have prices that can’t be beat at Costco. Costco has regular sales and I am not brand loyal to toilet tissue or laundry detergent so I wait for whatever brand is on sale and stock up. My little house is not set up for Costco shopping and I have toilet paper in my son’s bedroom closet.

    It is worth the savings even though I live in a Canadian province that does not permit liquor sales at Costco.

    Most of the gifts wrapped and under my tree are from Costco as well. I have been watching for sales since July and I have clothes, towels and pillows wrapped for my children who are both in college.

    • Travis says:

      I’m glad you can restrain yourself from the impulse buys, Jane Savers….maybe you can teach me how. 🙂 Funny you should mention pillows….my wife found a pillow there that she absolutely loves – and I’ve been having some trouble determining what to get her for Christmas this year. I may have to have my friend take me back. At least I had money budgeted for an “unknown gift.” LOL. Thanks for sharing your thoughts!

  8. Costco is my bank cards nemesis. I am a pretty disciplined individual but I sometimes get caught by the oooh shiny, or Spaving (spending money to save money)
    Squawk fox did a great post comparing lots of products. You should check it out. http://www.squawkfox.com/2011/04/15/costco/

    Great post Travis, I really love your writing style. It’s very readable. 🙂

    • Travis says:

      “Spaving” – LOVE that term….I’ll have to keep that in mind next time I head into a Club store! I will definitely check out the post over at Squawk Fox – thanks for the point. Thanks so much for the kind words, too, Mandy – very much appreciated! I’m happy and honored to have you as a reader. 🙂

  9. we don’t belong to Costco but our relatives do and they swear by it. I personally don’t see the savings but some say that it’s worth every penny buying in bulk. I’m sure there are some products you can swoop up for a great deal here and there. Since we use coupons regularly to buy toilet paper, paper towel etc etc it would be VERY hard to justify buying in bulk knowing we can get it for dirt cheap with a coupon and flyer sale.

    • Travis says:

      I agree, Mr. CBB – if you can get a regular sized package for dirt cheap using coupons at your regular grocery store….the savings of buying bulk packages is completely offset. We currently run a week to week budget – which means when I go grocery shopping (except for things like paper products and detergent) I buy what I need for that week only. It keeps me on task and on budget. To switch to buying bulk products, I’d have to completely switch budgeting philosophy. If I found big enough savings by buying in bulk maybe I’d give it a try though….

      • Kathy says:

        I considered a week-to-week budget, only buying what is needed for the upcoming week, but am sooooo afraid of missing out on good deals & stocking up … I swear I would start to hyperventilate. I think I need an intervention!

        • Travis says:

          We’re complete opposite of each other! Although I see how having a “bigger picture” grocery budget (longer than a week) would allow us to take advantage of bulk purchases at a store like Costco (see my response to Jean’s comment further down). This could end up being a future post! 😉

  10. Ed Wheeler says:

    I’m with you on the club stores not being the best for everybody.

    I rationalize it this way: I usually end up using two grocery stores. One for the “bulk” stuff (Warehouse but not club style grocery store), and one for the “convenience / last minute” stuff (neighbourhood grocery store / corner mart).

    Costco is pretty good for pricing, however I find that when I shop there I usually end up buying way more at the “convenience / last minute” store, because either I bought too little, too much, or they just didn’t have the selection.

    Meanwhile I’ve got a good warehouse style store nearby, and can usually get about 98% of what I need there… as opposed to maybe 70% at the Costco…

    Also not having to buy massive quantities of bulk means that I have less food wasted – I’ve found that long term planning makes for more spoilage for me personally…

  11. Travis says:

    Yeah, I don’t think I could ever use a club store for my “main” grocery store, Ed. Having huge packages of everything in my freezer or fridge would drive me absolutely nuts, and kill my budget. A trip to a club store usually happens only when a.) we’re entertaining guests and we need a lot of something b.) I’m firing up the smoker or c.) to get something that we can only find at that store. Thanks for your comment and sharing your experiences!

  12. Corey says:

    Costco is a relatively new addition to Australia and we were not the earliest adopters but after keeping away for the first 6 months we took up a membership. We find that they are not always the cheapest for everything or that we can find a house brand that does the same job at another retailer for less. A couple of example for us are alkaline batteries and kitchen wipe…the big hardware chains here in Australia do those things cheaper.

    People often ask me ‘where I got that’ and as often as not the thing they are fascinated with came from Costco. So now when I respond with ‘I got it at Costco’ often enough they start asking questions about Costco. I am there at least every 2 weeks and I think my family are concerned I have joined some kind of retailing cult! Anyway, I kept getting so many questions and so few people understand what Costco is over here that I started a website about it…mainly because of a discussion I had with a work colleague about the cost of toilet paper there versus the supermarket.

    • “retailing cult” – LOL, Corey……I can understand that though – my brother-in-law and wife are HUGE Costco fans. It seems everything in their home is from Costco! Very interesting that you have an entire website devoted to Costco….even though it may not completely apply to me here in the US, I’ll have to go check it out! Thanks for your comment and sharing, Corey!

  13. Jean says:

    Travis,

    Costco is my favorite place to shop… True, it is a dangerous place, especially in the absence of a list but when gas prices start to skyrocket, membership has its benefits. Last summer gas prices went over $5/ gallon in certain parts of Northern California and my Costco was $0.50 less per gallon than other places. Even when gas is somewhat tolerable, I find that making fewer trips to Target (another land of temptation) to get TP and napkins saves me time, additional money on gas and the many shiny things that I may suddenly “need”.
    I could go on and on about Costco… (Ask Coblentz) but one thing I really want to point out is that for parents with little ones you can stock up and save a fortune on diapers, wipes, and Carter’s baby clothes. Little ones grow so fast and are constantly staining clothes. When you’re on a budget it is nice to be able to buy an entire outfit for $8 vs. $25 for the same thing at a department store. I’ll get off my soap box now. 🙂

    • Travis says:

      Hi Jean! I’m always excited to get comments from my CareOne friends. 🙂

      I did notice that gas was cheaper at Costco (about 15 cents currently where I live) which did raise my eyebrow a bit…..some quick math shows that just buying gas at costco at that discount for an entire year would pay for the membership fee. Hmmm, now my eyebrow is raised even more.

      As I’ve worked my way through responding to the comments on this post, it’s become apparent to me that my dislike of Club stores is mainly due to my own lack of self control…and really under-use of the store. I wonder if I could re-design how we do grocery shopping to be more on a monthly basis at somewhere like Costco (some things would still need to be purchased weekly) to take advantage of bulk purchasing.

      The thing in your comment that really got me thinking (and it was in a few of the other comments as well) is the savings of time. There are some weeks where I stop at the grocery store every night on my way home from work. I say I don’t mind because it’s not much out of my way……but if I could eliminate those trips it would save me 30 minutes or more each day.

      Thanks for stopping by and sharing your thoughts, Jean – always great to hear from you!

  14. I steer clear of these stores for this very reason–anytime I’ve ever been in the store, I’ve at least found myself contemplating a completely random purchase just because of the perceived value. Perhaps once I have a family I’ll reconsider, but until then, no thanks!

    • Travis says:

      I would think that bulk purchasing would be much more difficult for someone on their own, or with a small family. Many things would have to be frozen to stay fresh and you may end up with a lot of things becoming outdated or stale before they were fully consumed. Maybe now that I have the whole “perceived vs real” savings thing out in front of me, I can use that and learn how to squash the “Oooh, Shiny!” effect and utilize Club stores to my advantage. Anything is possible, right? Thanks for your comment The Happy Homeowner!

  15. There are a few things that I’ve purchased at club stores such as Costco that have been a great deal – condiments tend to fit that bill, as do things like cooking oils (olive oil) and pasta sauces.

    However, just as you mentioned, it’s easy to get sucked into the attitude where you are buying things just because they are perceived as a good deal, even if you wouldn’t normally buy them.

    • Travis says:

      I do like the idea of getting large packages of condiments, Tushar……do you ever have a large jar of pasta sauce go bad on you before you use it all? That would be my fear of some products….

  16. I agree that warehouse stores are “Shiny” and have lots of free samples but I go in with a one track mind but I CANNOT bring anyone with me I repeat I CANNOT bring anyone with me….here’s my list 2 gallons of milk, one four pack of butter (most go to freezer), huge bag of fresh spinach, big pack of mushrooms, and enough tortillas to feed an army and my super expensive low fat cheese for my sandwiches……..The tortillas get made into breakfast burritos for the month by my husband I blogged about this at my lil’ blog and we use most of these items very practically. I am the one trying to lose weight though so I have just a few things that are higher than I would like to pay! Great article! Thanks for sharing! By the way Mr. CBB sent me 🙂

    • Travis says:

      Nice to meet you, KarenLynn – I’ll have to thank Mr. CBB for the referral! 🙂 I completely agree that it’s sooo much easier to put the blinders on and only get the things on your list when you go into a store by yourself. That goes for me and pretty much any store (especially the grocery store!).

      Thanks for sharing your thoughts, and hope you keep reading – I’ll have to head on over to your blog and check it out as well – I love meeting new bloggers – thanks so much for stopping by!

  17. Jamie says:

    Kind of off topic, but Staples and Office Depot both offer “free after rewards” deals on AA and AAA batteries this time of year. Pay for them now and wait for your rewards certificate to come after the first of the year. We buy printer ink there anyway, so I just plan on cashing it in for that.

    • Travis says:

      Ooooh, Great Tip Jamie! I have an Office Depot nearby – I actually drive right by it on my way to work – so I’m gonna check that out – it feels like we ALWAYS need batteries!

  18. April says:

    I do not do club stores and glad I am not under the Costco (or other such place) spell. I do feel like I am the only one who does not shop there but that does not bother me. Basically, I love to shop and I just feel I have enough places to go without needing to purchase a club card to shop there. I think going to Costco would complicate my shopping/grocery shopping life so I keep it simple and do without. But for those of you who love it, carry on!

    • Travis says:

      It’s ironic that you would mention that you think you have enough places to go without having to purchase a club card. My Dad lives in a small Community (that just got a super Walmart, but he doesn’t go there)…..he went with me to Walmart and he said, “Does one person really need this many choices?” My response was that I should take him to Sam’s Club. LOL. Keep on doing what works for you, April!

  19. David Landen says:

    I have found that if I go into a place like Costco or Sams and don’t have a very specific list of what I need that I will come out with a bunch of stuff! I am sure everyone does this but if the whole idea is to save money then you should probably stick to what you need or what is on your list.

  20. Tameka Mayer says:

    I heart Costco. They usually get really nice package deals on items, and give you extras that best buy and the like don’t include. Plus, they have amazing prices on things that are super expensive in the regular grocery store, such as cheeses, potstickers, egg rolls and produce. Obviously it’s good to be careful and make sure you don’t overbuy, but I really love having a Costco Membership. They also get fresher better fish than our grocery stores do, and the return policy is amazing. Costco releases its own set of coupons every month or so, and I’ve saved even more using them, and it was completely hassle free.

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