You all know how much I like warehouse clubs stores. I LOVE Costco and shop there quite often. That said, club stores aren't all milk and honey -- they do have their downsides. And while this list of 10 problems with warehouse clubs is over-blown IMO, they do have some legitimate points. For instance, here are a couple disadvantages of shopping at club stores:
7. "Try our website. It will try your patience."
10. "You'd better like what we like."
My thoughts:
1. I've already detailed the problems I had last year with the Costco photo calendars. My understanding is that they went with a new online provider. The process was much more difficult to complete (the forms were much slower to react), there weren't as many style choice, the pictures weren't as crisp, and one of the calendars came back wrong. Not sure whether or not I'll use them this year.
2. If you've ever shopped at a club store you know that you'll get great prices on the items they have, but they only have a few items in every category. It's a bummer because if you like Brand A even though it's not the leading brand, it's likely they won't carry it. Ugh.
These things said, I still like club stores and enjoy shopping at them (for obvious reasons). :-) I know I won't find every brand I want, so I simply deal with that problem. As for the photo calendars/online photo store, I hope Costco fixes their problems from last year. Otherwise, my photo purchases with them are history.
My problem with places like COSTCO is that the prices are great, but every time I go I end up spending like $300 on things that I usually do use, but in the end don't *really* need. And those items don't replace the need to go to my regular grocery store on top of the trip to COSTCO. My boyfriend's COSTCO membership expired, and we haven't been since (6 months or so) and we're surviving just fine. I do miss COSTCO, but in the end, we ended up spending a lot more on groceries/toiletries/etc. each month when we shopped there... which is not ok for people who are trying to get out of debt. Just my 2 cents.
Posted by: Juliet | September 29, 2009 at 10:34 AM
Juliet:
Your problem is nothing whatsoever to do with Costco. You just need to learn how to live within your means. Living within your means is where financial success and security begins. If you never learn this lesson you are doomed to a life of being in debt.
For one thing, you won't find a better deal anywhere for gasoline than Costco. They always have the lowest price in the area surrounding each store and on top of that if you use the Costco/Amex card you save an additional 3% in cash rewards. The same card also saves you 3% in restaurants.
It's all about having discipline, something that the "Want All" generation seems to lack.
Posted by: Old Limey | September 29, 2009 at 11:00 AM
My problem with Costco is the $50 membership fee. I never feel like I will recoup that in savings since I have a small household. $25 or $30 would be more managable. Plus the Costco by me is always super crowded and it doesn't have a gas station, so no savings there. We've considered joining a couple times when we were in the market for a big-ticket item, but still haven't been convinced it's worth it.
Posted by: Christy | September 29, 2009 at 02:49 PM
It all really comes down to knowing what is best to buy at a warehouse club and what is not. Things that you know that you will be able to use before they spoil/are wasted should almost always be purchased in bulk at the warehouse club with the exception being the buy one get one free specials that one can take advantage of at regular grocery stores (since most warehouse clubs will have significant savings but not more than the 50% that you can save with the buy one get one free offers).
Posted by: Credit Card Chaser | September 30, 2009 at 01:38 AM