Sam's Club vs. Trader Joe's: Which Is Actually Cheaper for Weekly Groceries
When you’re trying to cut down your grocery bill, sometimes “cheaper” can mean two different things. There’s the price you pay per item and then there’s the amount that actually comes out of your bank account during a weekly shopping trip.
That might sound like hairsplitting, but it’s a distinction that matters when comparing grocery shopping options like Sam’s Club and Trader Joe’s. That’s because Sam’s Club is built around bulk buying and member discounts, while Trader Joe’s offers reasonably-priced groceries without an annual membership.
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Due to those differences, which store saves you more money depends largely on how much you buy, how many people you’re buying for and whether you actually utilize everything you purchase. Find out more below.
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Sam’s Club Can Stretch Your Dollar (If You’re Buying in Bulk)
Per 24/7 Wall St., Sam’s Club’s bulk-buying model can make it a particularly good fit for families. The warehouse club sells food and household items in large quantities, with built-in discounts that make those purchases cheaper over time.
That advantage becomes more meaningful when you have several people in the household who will actually use what you buy. A family might reasonably work through a large package of food or household supplies, allowing the lower bulk price to translate into real savings.
There is, however, a catch. Specifically, buying something cheaply doesn’t save you money if you don’t use it.
24/7 Wall St. noted that bulk purchases can be wasteful for people who live alone, particularly when it comes to perishable foods. A large package might have a lower price per unit, but throwing part of it away erases some — or all! — of that savings.
Also, Sam’s Club isn’t free to join. Its Club membership is $50 per year and its Plus membership is $110, meaning you also have to shop there enough to make the membership fee worthwhile.
Trade Joe’s Makes More Sense for Smaller Households
Trader Joe’s takes a different approach, as the chain offers quality products at reasonable prices and specifically to young professionals, individuals and small families. That makes Trader Joe’s potentially better suited to the person whose weekly grocery trip is more about buying what they need for the week, rather than buying in bulk.
In MoneyLion’s own comparison of Costco, Trader Joe’s and Walmart, we made a similar distinction, noting that while Trader Joe’s isn’t always the cheapest choice for grocery staples, its private-label products and specialty ready-to-eat options offer value for shoppers who want interesting food without spending heavily on specialty ingredients.
So Which Store Is Actually Cheaper?
Here is where the hairsplitting comes back a bit, as there isn’t actually an apples-to-apples comparison between the weekly costs for these two stores in which we can say that $100 of apples at one business only costs $80 at another.
What we can tell you is that these two grocery stores have business models aimed at two different types of households.
For a large household that will actually use every bulk purchase, Sam’s Club makes the strongest case for overall savings, week over week.
For a smaller home or individual person, Trader Joe’s offers the more practical weekly savings, especially if buying in bulk would leave you with food you don’t use.
Sometimes, the cheapest grocery store isn’t necessarily the one with the lower price tag; rather, it’s the one where your purchases actually get used.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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