Shoppers Overspend at Costco on These 6 Items — Cut Your Bill Fast
Costco is typically thought of as the magical land of good deals and free samples. Patrons flock to stores all over the country to buy chicken wings and paper towels in bulk — then leave reborn, impressed by how many items they've amassed for so little cash. Without knowing it, however, they may actually be overspending on several of those items. Why is that?
As chief growth officer at The Barcode Group Brandon Warren said, "The core issue with warehouse club overspending isn't bad value — it's psychology. Costco's business price model relies on unit price savings masking total spend increases. One sees 15 cents per ounce in one store and 22 cents in another, so instead of just buying 2 pounds (what they need), people will buy 5 because now they are getting a 'deal.'"
In other words, bulk buying isn't always your friend. Here's a rundown of which Costco items are hurting your wallet and some tips for what to do about it.
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1. Produce
It may seem like you're getting a great deal on 5 pounds of spinach; but, unless you have a family of 10 or are throwing a party, most perishable items like fruits and vegetables will go bad before you have a chance to make a dent in them.
You're saving money only if enough people are actually consuming all of that produce quickly. Otherwise, you'll end up overspending by throwing most of it away. Purchasing smaller amounts at traditional grocery stores or farmers markets winds up being cheaper and less wasteful.
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2. Junk Food
When it comes to Cheetos, trail mix and snack foods, it may seem like a bomb deal buying a 2-pound container. And it can be -- if you're purchasing snacks for the entire office.
If you're purchasing it just for you and your partner, all you're realistically going to do is increase your consumption of junk food. Either that or half the container will go stale before you can finish it. Instead, buy a standard amount of snack food at a regular grocery store.
3. Brand-Name Cleaning Supplies/Personal Care Products
Attorney at LawBike Motorcycle Injury Lawyers, Chad Watwood knows a thing or two about the importance of a clean windscreen. He said brand-name cleaning supplies and personal care products like Windex and Pantene Pro-V don't always equate to savings at Costco. These items can actually be less expensive at drugstores when on sale or with promotions.
"Drugstores are known for aggressively discounting them with buy-one-get-ones, frequent shopper points and manufacturer coupons," Watwood said.
Do your research ahead of time. It could be smarter checking your local CVS for your favorite shampoo instead of reaching for it at Costco.
4. Giant Tubs of Spices or Condiments
Oftentimes, spices lose much of their flavor and aroma after about 6-12 months. Twenty ounces of turmeric may seem like a good buy in the moment, but most of it will wind up in the garbage can. Similarly, unless you are purchasing condiments for the entire fraternity house, large bottles of ketchup and mustard can separate, change color or go bad prior to your ever finishing them.
Instead of overspending, buy smaller bottles at your local grocer based on how much you actually use in a given year.
5. 'Middle of the Store' Items
Items located in the geographic middle of the store include electronics, clothing, furniture and home goods. But you're not overspending because these items necessarily cost more than other retailers; you're overspending because few people actually go to Costco intending to buy them.
As Allrecipes said, the center of the store has the highest foot traffic. Items are strategically located here because that's where customers are most likely to impulse-buy them. You likely never intended to purchase new pajama pants with your tuna fish and canned pears, but somehow you did. To avoid unnecessary spending, Watwood advised your shopping trip be purposeful, not exploratory. Make a grocery list ahead of time to stay on task.
6. Large Bags of Flour
To state the obvious, 20 pounds of flour is a lot of flour. Especially when it comes to whole wheat or almond flour which, per Money Talks News, contain high concentrations of oil and tend to go rancid quickly. White flour has a longer shelf life but can attract weevils if it sits in the pantry too long. You could theoretically store excess flour in the freezer, but finding space for 20 pounds of it may prove challenging. Don't waste money buying sumo bags of flour. Instead, opt for smaller bags at the corner store.
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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