A Costco Membership Isn't Right for You in These 3 Situations
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Joining Costco has many perks, including great deals on Kirkland Signature brand products. However, this doesn't mean a membership is a smart move for everyone.
In fact, there are three situations when it would most likely be far more sensible to say no to a Costco membership. Here's what they are.
1. You like to use coupons
Coupons can save you a lot of money, especially if you combine them with store sales and diligently clip them to maximize your discounts.
Unfortunately, you don't have any chance to score savings from manufacturer coupons at Costco, as it doesn't accept them. The warehouse club distributes its own offers, but that is not the same as the manufacturer coupons available every week in the Sunday paper.
Since couponing can provide deals that may equal or exceed the savings Costco offers -- especially when you factor in membership fees -- you could be better off passing up the club and continuing to shop at your regular stores with your coupons instead.
2. You like to shop online
Costco isn't a great option for online shoppers since the warehouse club charges more for purchases at Costco.com than in-store purchases.
Exactly how much extra Costco charges for online purchases compared to the warehouse is up for debate, and it differs depending on the item. Some users report paying around $1 to $3 more per item bought online.
If your goal is to spend less money and put more into savings by buying a Costco membership, you might be disappointed to find out that you'd have to give up online shopping to get the best bargains. If you aren't willing to do that, then Costco probably isn't for you.
Online shoppers also miss out on another big perk that makes Costco worth it: buying discounted gas. If you're going to shop online and not visit the club to get fuel savings or other cheap in-club deals, Costco probably isn't a great choice. You can consider Sam's Club instead as it charges the same prices for online and in-store purchases.
3. You tend to get sick of products quickly
Finally, if you have a tendency to get tired of products, Costco may not be for you. Most of its products come in bulk sizes. In fact, bulk buying is one big reason why Costco can offer such good savings.
If you're buying something like a vacuum cleaner or winter boots from Costco, then it may not matter if you tend to have a short attention span when it comes to your items. However, for many people, the savings on these one-off items alone won't make joining the club worth it unless you can take advantage of the deals on food and other things you purchase regularly.
The problem is, if you buy something like a bulk food or beauty item and get tired of it, you've wasted money -- far more than if you'd bought a smaller version in a different store. If this happens to you often, you may want to pass up shopping at Costco.
Ultimately, it's important to consider whether you're in any of these situations, because if you are, Costco membership may simply not be something you should spend your hard-earned money on.
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We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Christy Bieber has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy.
