At a time when shopping is increasingly moving online, Costco still draws faithful shoppers to its warehouses. Read on to learn the tricks the wholesaler has to keep you coming back, and the secrets you can take advantage of.
Secrets that Costco managers don't want you to know
Despite the fact that prices at this wholesale warehouse club are already practically at the market's lowest point, you can still obtain even bigger deals by learning some (absolutely legal) secret tricks.
You can buy certain things even if you’re not a member
Though you may not pay the annual membership, you can still take advantage of some of the deals at Costco. This may vary depending on what state you’re in. For instance: in California and Connecticut, non-members can shop the store's notoriously cheap alcohol section, and residents in any of the 50 states can head to the pharmacy to pick up their prescriptions.
Non-members can shop normally using a Costco Cash Card
Ask a friend with a Costco card to help you out if you want to go on an all-out Costco shopping spree and are not a member. If they buy you a Costco Cash Card (which can be loaded up with as much as $1,000), then you can shop at the store just like any member would and use the gift card to pay for your purchase.
Stick to the edges for the best bargains
This is a secret you need to know! If you want to find the absolute best deals that Costco has to offer stick to the edges and the back of the store and steer clear of the center. Companies want to have shelf space in those sections and are willing to keep their prices competitive just to stay there.
The store will honor a sale price.
The store's policy dictates that if you buy something and it goes on sale within 30 days of your purchase, you can bring in your receipt to get back the difference.
Take advantage of items that end in 0.97.
Though Costco doesn't openly advertise it, they will slash the price of a product if and when it isn't selling well. When this happens, the price always ends in 0.97, so be careful to check these items out when you have options.
Costco loses money every time it sells one of its rotisserie chickens
One of the most sold items at Costco is its rotisserie chicken, but this product does not make a profit for the company, but on the contrary, it brings it losses. Find out why.
According to Reader’s Digest, the $ 4.99 rotisserie chicken is among the favorites of Costco repeat customers. This is because they are priced lower than most places and also because they weigh at least three pounds, while their competitors weigh, on average, a pound and a half or two.
Therefore, it is not by chance that the company sells approximately 60 million chickens throughout the year. But, if this leads you to assume that Costco is making a huge fortune from this product, you couldn't be more wrong.
The truth is that the company loses money every time it sells one of these popular chickens. In fact, it is estimated that Costco loses between $ 30 and $ 40 million a year selling them.
So why is the company refusing to price them up and still giving them $ 4.99?
The reason is that, by selling them at such a low price, they make customers go to the store more often to buy them, and by doing this, they also manage to increase the sales of other products.
For this reason, Cost considers that, in reality, it does not have losses with the sale of chickens, since they are a factor that promotes greater traffic of people to its branches.
Costco Has Left Its Hot Dog Prices At $ 1.50 Since 1985
One of Costco's most popular items has always been the soda and hot dog combo, which is only $ 1.50. However, what is striking is that they have been selling it, for decades, at the same price, according to Mashed.
In 1984, Costco's food court consisted of only one hot dog cart, and the hot dogs began to gain more and more fans over time.
Today they are so in demand that the chain sells more than 100 million hot dogs a year.
In addition to the fact that its price has not changed, the combo is now bigger. In the eighties, the soda was 12 ounces and the hot dog was a quarter pound. Today the soda is 20 ounces and the hot dog is 10% larger.
According to the chain of membership-only warehouse clubs, the reason they have not raised the price of hot dogs is that it is a benefit that adds value to the membership that people acquire to be able to buy in the store.
This means that, in a way, it is the store's way of indulging customers to maintain their loyalty.
Pampering customers is only one of the many tricks Costco has to make people spend more money when they are in the store and to keep them coming back.