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Since Costco doesn’t advertise frequently, you have to hunt out its best deals. Learn which products pose the best savings opportunities here.
When I first got a Costco membership, I had already heard about the free samples, the $1.50 hotdogs, and the great savings on bulk items. What I wasn’t expecting, however, was just how many different items Costco actually sells. No lie — I think I went in for seltzer and CLIF Bars and came out with an air fryer and some socks.
One problem with finding Costco’s best products is that the warehouse retailer doesn’t spend money on advertising and leaves it up to customers to dig out the treasure it’s buried. I’m not complaining — a low marketing budget means lower prices — but it might leave you purchasing items at higher prices simply because you didn’t know Costco sold it cheaper.
With that in mind, let’s take a look at some lesser-known products at Costco — as well as some all-time favorites that deserve more praise.
1. Sheds
Building a shed on your own can get expensive (most homeowners pay between $4,000 and $6,000, according to HomeAdvisor). But if you’re willing to do-it-yourself, Costco will sell you a shed and ship it to you as a flat-pack for about half the price. Right now, you can buy an 8 ft. x 12 ft. wooden shed for $2,000 (after a $600 discount) or a 10ft. x 12ft. for $2,400. Compare that to Sam’s Club ($2,700 for an 8′ by 12′ and $2,500 for a 12′ by 10′) and the savings on Costco sheds are pretty incredible.
2. Car insurance
Yes, Costco can help you buy cheap car insurance. While the warehouse doesn’t underwrite car insurance policies itself, it can get Costco members exclusive discounts through its partner, CONNECT, which is backed by American Family Auto. According to Costco, you can save around $600 in the first year you switch by buying Costco car insurance.
3. Greenhouses
For another head-scratcher, Costco is also in the greenhouse business. Similar to its sheds, Costco sells greenhouses as pre-assembled flat-packs that you’ll build yourself. Its greenhouse prices are generally lower than competitors, but you’ll need to be handy to put it together.
4. Gift cards
My absolute favorite Costco product — gift card packages. Costco often sells bundles of gift cards for as much as 25% off the pack’s face value. For example, I’ve seen Southwest Airlines gift cards with a total value of $500 priced at $449.99, $50 of Cinemark gift cards for $40, and $100 of Miller Paint gift cards for $69.99.
5. Wine
Costco sells multiple types of wine, like Pinot Grigio, Cabernet Sauvignon, and Prosecco, and from popular regions, like Bordeaux, Toscana, Napa Valley, and Friuli Grave. To be fair Costco wine isn’t the cheapest you can buy — it’s hard to beat Trader Joe’s “Two Buck Chuck” — but if taste is as important as price, it’s worth giving these Kirkland Signature wines a try.
6. Tires
When Costco is offering promotions on new tire installations — like $150 off four tires — its prices can be far cheaper than its competitors. Costco tires also come with a free five-year roadside hazard warranty and lifetime maintenance service for each tire. These are often sold as separate services at other tire shops, but Costco will throw it in for free.
7. Clothes
Finally, don’t underestimate Costco’s selection of clothes. When compared with Amazon and other ecommerce sites, Costco’s clothes are often cheaper or at least on par with them. For instance, you can buy a Pendleton Ladies’ Rain Jacket on Costco.com for $58.99, whereas a similar Pendleton jacket is sold on Amazon for $125.
The best credit card to use at Costco
If you’re a frequent Costco shopper, there’s probably no better combination than a Costco Anywhere Visa® Card by Citi and a Costco Executive membership ($120). When you use both at checkout, you’ll earn 4% back on most purchases, giving your personal finances a big smile. A Costco Executive membership also automatically subscribes you to The Costco Connection magazine, which is another way to find great products at Costco.
As the seven products mentioned above demonstrate, there’s a lot more to Costco than just groceries and $1.50 hot dogs. Keep digging online and in the warehouse — you might be surprised at what great products you might find.
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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.Citigroup is an advertising partner of The Ascent, a Motley Fool company. John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. The Motley Fool recommends Amazon.com, Costco Wholesale, Southwest Airlines, and Visa. The Motley Fool has a disclosure policy.