Here’s Why Costco’s Rotisserie Chicken Is Still the Best Deal in the Store

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These chickens are an amazing deal. 

If you shop at Costco, you may have noticed how affordable the rotisserie chickens are. This item is a cost-effective way to prepare an easy meal, whether you’re planning to shred the chicken and use it for soup, make chicken pot pies, or whip up a quick chicken salad. But have you ever wondered why Costco sells its rotisserie chickens for such a low price? Keep reading to find out why this is still one of Costco’s best deals.

Cheap buys get customers in the door

You probably know someone who raves about the prices of Costco’s rotisserie chicken — and for a good reason. It’s a steal. Each chicken sold at the store is around three pounds or slightly over, so while you’re paying $4.99 for the entire chicken, the per-pound price works out to be $1.66. It’s no wonder why so many shoppers stop here for this budget-friendly buy.

But why does Costco price this food item so low? Well, Costco wants to entice more people to become members and get more customers in the door. Selling rotisserie chickens at such a low price is a great way to attract more customers. It’s a winning strategy for Costco.

You’re probably going to buy more than chicken

Rotisserie chickens are a good bargain, especially for busy families looking for a convenient meal solution that doesn’t break the bank. Costco gets you in the door with this deal, but another reason the warehouse club prices its rotisserie chicken so low is they know that you’re unlikely to walk off with only a chicken in your cart — even if you try really hard not to spend more money.

Costco is confident that most customers will buy other products while in the store. The retailer even goes as far as to keep its rotisserie chickens in the back of the store, so customers have to pass by other products. Once customers see other available deals and buy more than planned, Costco makes more money.

Four tips to avoid overspending at Costco

So, you recently invested in a Costco membership but want to avoid buying unnecessary items? It can be easy to overspend if you’re not cautious, but there are techniques that you can follow to keep your spending in check. Here are some tips.

Make a list: Don’t walk in the door without bringing a shopping list. This strategy may help you keep your spending on track as you pass by enticing deals that you don’t need.Use the retailer’s mobile app to check prices: Before you head to your local club, take a few moments to check prices in the Costco mobile app. You can use the prices shown to plan your shopping list and ensure you don’t break your budget before getting to the checkout line.Figure out which items are a deal: Not everything you see at Costco is sold at a bargain price. While items like the rotisserie chickens are a good buy, other items may be priced similarly to traditional retailer prices. Learn what to get at Costco and what items to buy elsewhere to avoid falling for a bad deal.Pay with cash: Using cash is another way to keep your spending in check while at Costco. For some shoppers, paying with cash instead of a credit card is a guaranteed way to avoid overspending — especially if they only keep so much cash in their wallet.

Go ahead and buy that rotisserie chicken at Costco. But don’t neglect your personal finance goals in the process. Going in with a plan may help you spend less as you fill your cart with groceries and other essential items. As you develop new shopping habits, it may be easier to make spending decisions that don’t negatively impact your checking account balance.

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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.Natasha Gabrielle 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.

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