Kiplinger does a "deal or no deal" piece on what you should and shouldn't buy at warehouse (or club) stores. Their thoughts:
- Caskets: DEAL
- Beer: DEAL
- Diamonds: NO DEAL
- Designer watches: DEAL
- Televisions: DEAL
- Tires: DEAL
- Appliances: NO DEAL
Here's my take on these:
- Caskets -- Is it just me or does it seem strange to buy a casket at a club store? Uncle Charlie just bought the farm and what do we do? We go off to Costco to pick him up a new home! Then again, I'm guessing that funeral homes have rather nice mark-ups when they sell you a casket, so why not? Anyone out there ever shopped around for a casket? Anyone buy one at Costco?
- Beer -- I don't drink beer, so I can't comment on this one.
- Diamonds -- Last diamond I bought was 20 years ago for my wife's engagement ring. If I bought her one now, she'd ask me why I was wasting hard-earned money. ;-)
- Designer watches -- The last designer watch I bought was...NEVER! And I don't plan on buying one either.
- Televisions -- We got our last TV at Costco and I can say that it was a great deal. We purchased it a year and a half ago or so and I'm still seeing prices for similar TVs that are ABOVE what we paid (on "sale" at Best Buy and the like.) In addition, Costco will add an extra year on to the warranty when you buy a television from them AND they have a tech hotline you can call with any questions on set-up, operation, etc. I doubt if I'll ever buy another TV somewhere besides Costco (as long as they keep their prices low and service high.)
- Tires -- Pros to a club store: Great prices. I've looked all around for tires several times and Costco was certainly the best price each time -- especially with the coupons/discounts they run regularly on Michelin and other tires. Cons to a club store: You can't make an appointment for the free tire rotation they give you. So it's first-come, first-served. That's fine if you're #2 in line and they'll be done with you in 30 minutes. Not so great if you're #10 and it will be two hours.
- Appliances -- We used to buy all our appliances at Sears, but since I now hate Sears shopping there is out of the question. So we shop around and haven't even looked at warehouse stores (and probably won't after this review.)
How about you? Do you agree or disagree with their findings? Anything you'd like to add?
Know thy prices.
Some great deals, some not so great.
Posted by: Matt | June 28, 2011 at 07:28 AM
My dad has always had good luck with laptops as he has bought his last two or three from Costco. We've ended up with them as hand me downs and I have no complaints either, even after getting them a few years old.
Posted by: Money Beagle | June 28, 2011 at 07:28 AM
I completely agree with the prices on tires. Another big money saver for us is printer cartridge ink. I've tried the refilling it yourself method, and it ended up being a huge mess and waste of time. I paid roughly half of what I could buy the ink cartridges for off of Amazon and any other online retailer I found.
Posted by: STRONGside | June 28, 2011 at 07:48 AM
We've found the alcohol prices at Costco to be very reasonable. Not a steal, but a little better than average.
Posted by: No Debt MBA | June 28, 2011 at 07:50 AM
Diapers alone has made my Costco membership worthwhile. I estimate an annual savings of $150-200, even after paying the membership fee.
Posted by: Paul | June 28, 2011 at 07:59 AM
Costco Gas = DEAL, or at least in my area.
Tires = Sometimes deal. Discount Tire was less expensive for me.
Posted by: Jessica | June 28, 2011 at 09:14 AM
Caskets: Just cremate me in a cheap pine box. And I agree, it seems odd to buy a casket in a Sam's Club...
Beer: Tastes bitter to me but I do buy Powerade occasionally at Sam's.
Diamonds: No deal anywhere...
Designer watches: Also seems silly for me to buy...
Televisions: Sam's Club was beaten out by a pre-Thanksgiving special at Wal-Mart in our case.
Tires: NO DEAL. Sam's Club tires here in Houston are more expensive than Discount Tire.
Appliances: I really don't know, but we got a fantastic deal at Conn's.
Posted by: Crystal | June 28, 2011 at 10:03 AM
I did shop around for a casket. I didn't go to Costco but the Funeral home wanted approx 3500 for the casket and I bought the exact same one for $900 at a place that only sold caskets. What was the difference the cheaper place got their caskets from China and the funeral home was from the US. Sorry but thats a big difference in price.
Posted by: rgrrabbit | June 28, 2011 at 10:55 AM
Gas is definitely worth it at Costco!
Beer? Eh, if there are no sales anywhere else. We typically tend to do better for beer at the Mexican grocery store. And lately Rite Aid too, of all places.
Posted by: Claire | June 28, 2011 at 11:43 AM
My washer and dryer came from Costco. Just like TV's you get a two year warranty with them. Buying on sale somewhere else may have been a little cheaper. However, my husband bought them as a gift for me and he likes walking in and purchasing something with no hassle and not a lot of decision making.
Posted by: turtlemom | June 28, 2011 at 02:03 PM
Costco is brilliant for finding deals, but I think you just have to shop around. Deals are not so hard to find if you simply know where to look! Thanks for the post.
Posted by: Mike | June 28, 2011 at 02:43 PM
Cheese, butter, and eggs are good deals at Costco. Same with tortillas, bread, nuts, cereal, and movie tickets. Produce - pre-washed mixed lettuce, bananas, potatoes, strawberries, sweet Vidalia onions - all good deals. A lot of things I see in the grocery store and think, 'why is this always so expensive?' - like tortillas and Vidalia onions - are a good deal at Costco.
We have a Costco Business Center in my town, and they have better deals on meat than the regular warehouses.
Posted by: LL | June 28, 2011 at 02:43 PM
I shop almost everything to great length and rarely buy at Costco. The Internet has been a great money saver for me.
Posted by: JimL | June 28, 2011 at 06:03 PM
Like Claire, I've found that my local Rite Aid has good prices on beer. It's also walking distance, so I save on gas as well.
Tires, I found a local shop that beat Costco's price. No Sam's Club and the regional Wally World is like visiting a war zone.
Jewelry and Designer watches? Not now.
I'll shop around for the best prices next time I'm in the market for a casket, TV or major appliance.
Posted by: JerryB | June 28, 2011 at 10:27 PM
Costco has Hearing Aid centers with audiologists and premium hearing aids, about half what a private audiologist charges. I've had great, professional, service from my local Costco Hearing Center.
Posted by: Don | June 29, 2011 at 09:44 AM
My wife and I have both Sam's and Costco memberships (Sam's is through my work) and we've been pleased with the deals on larger-ticket items we've purchased over the years.
I bought tires from Sam's in April (first time I purchased tires from either chain). I was in the middle of a business trip out of state, driving in a torrential rainstorm, and as I hydroplaned across the highway, I realized I had driven over 80,000 miles on my tires and it was surely time for a new set.
I took just a minute to think about where I was going to go for tires while on my trip (was in the western edge of West Virginia, headed for Ohio) and Sam's Club popped into my head. I searched for the nearest one on my iPhone, found one that was just a few miles away, and headed over there.
It was a Saturday, and about lunch time, when I arrived. They said it would take about an hour, and it did. I didn't have any shopping to do (since I was traveling) so I brought my MacBook into the waiting area, so I could do some work, and then was pleasantly surprised to find that they provided free wi-fi.
Posted by: Rich A. | June 30, 2011 at 12:09 AM
CostCo really goes have good deals on caskets, though if you want to really save money, ask the soon-to-be-deceased if they are considering cremation ... it's much cheaper than a funeral. You can donate the extra money to a charity of the deceased's choice.
Posted by: Paula | July 05, 2011 at 02:56 PM
caskets - I bought mine from the funeral home. I got a cardboard casket for $800. It was sturdy (holds up to 665 lbs.) and beautiful. No one knew it was cardboard unless I told them. Beautifully covered in thick gray material with really neat carrying handles. One other advantage so far - my husband has been gone almost 4 years and no sunken gravesite.
I live 60-90 miles from Sam's Club and 25-90 miles from Walmart's (which I love.) I don't even know if there is a Costco nearby. Since I am on my own, I do not need many big ticket items or bulk anything.
I have found unbeatable bargains at Walgreen's, Aldi's, etc. when I am in a larger town. In my area I can take the OATS bus for a reasonable amount (suggested donation is $3 for each county you travel through. A 160 mile trip here in NE MO usually costs me $9. A great boon for everyone. It used to be for senior citizens only, but now, anyone can ride. Check your state for any comparable systems.
Posted by: Georgia | July 14, 2011 at 02:32 PM
Any more information on why diamonds are NO DEAL at Costco? That your wife doesn't want any more diamonds doesn't explain why others shouldn't shop for them at Costco. After deciding against the whole diamond ring thing when my husband proposed to me in lieu of more pragmatic uses of limited resources (i.e. buying a home, saving for a family), we are now at a stage in our lives where a diamond ring would be a luxury we can afford, and hubby wants to besparkle my finger for our 25th anniversary. Why not Costco? And if not them, where else?
Posted by: Mrs. Z | August 31, 2011 at 11:21 AM