Thousands of cut-price products line the shelves at Costco. But shoppers say one staple stands out for its value.
Fans of Costco say families stocking up on bocks Tillamook cheese can pay for the $65 annual membership fee on its own. That is because it is so much cheaper than normal stores.
Costco shoppers say they often find 2.5 pound blocks at Costco for $5.95.
When one member spotted the deal, they bought 17 blocks – 34 pounds in total – to cover their cheese needs for the year.
‘You never see Tillamook Sharp Cheddar for less than $9 on its best sale, and it usually sells for $10 to $11,’ the user wrote on Reddit, adding that the Costco price was far better than what they had seen at other retailers.
But even at Costco’s normal regular price, it can pay for itself.
Experts at Business Insider recently compiled a list of the best Costco purchases for recouping the membership fee – and the Tillamook cheese made the cut.
They created a ‘payback score’ to measure how much of the $65 fee could be offset by buying a single item at Costco for one year instead of at a traditional retailer.
Thousands of cut-price products line the shelves at Costco. But loyal shoppers say one item in particular stands out for its value
Experts recently compiled a list of the best Costco purchases for recouping the membership fee – and the Tillamook cheese made the cut
A payback score of 100 means the savings cover the full fee, 200 means they cover twice the fee, and 50 means they cover half. This is a conservative estimate because it assumes you buy nothing else at Costco, which is unlikely.
According to the analysis, Costco typically sells 2.5-pound blocks of Tillamook cheddar for about $4 per pound – roughly $2.60 less than at typical grocery stores.
If a household consumes half a pound per week, or about 25 pounds per year, the annual savings nearly cover the cost of membership, resulting in a payback score of 102.
However, the biggest savings were found in the pet aisle. A 38-pound bag of Blue Buffalo dog food costs about $65 at Costco, compared with roughly $111 at a regular store.
That means the membership fee is effectively covered in fewer than two purchases. Buying the product 10 times per year would generate savings that far exceed the annual fee.
Costco also offers its highly rated Kirkland brand dog food for around $35 for a 40-pound bag.
Diapers rank next. A large pack of Huggies diapers costs about $50 at Costco, compared with approximately $70 for the same 156-count pack at other retailers.
At that price difference, the membership fee would be covered in fewer than four purchases.
Fans of the warehouse retailer recommend stocking up on Tillamook Medium or Sharp Cheddar, typically priced at around $11.23, though prices vary by location
While the $65 annual fee for a basic Costco membership can deter some shoppers, fans of the members-only warehouse club argue that stocking up on staples like cheddar cheese can quickly offset the cost
The $65 price of a Costco membership is enough to deter many people from shopping at the famously discounted emporium
Buying one pack per month would result in savings that exceed the fee several times over. Costco also sells its own Kirkland brand diapers at an even lower per-diaper cost.
Baby formula is another major money-saver. Large containers of Similac sell for around $55 at Costco – about $13 less than at typical stores.
The membership fee would be covered after five purchases, and buying one per month would yield a payback score of 240.
Costco also offers generic baby formula at roughly half the per-unit price, produced by the same supplier that manufactures store-brand formulas for other retailers.
Coffee beans are another standout bargain. Costco sells Starbucks Pike Place coffee for about $8.40 per pound, compared with roughly $12 elsewhere.
The savings would cover the membership fee after nine purchases, or 18 pounds.
For a household that drinks 30 pounds per year, the payback score reaches 166. The retailer also carries local and specialty coffees at competitive prices.
Bacon lovers can also stretch their dollars further. While preferences vary, comparable thick-cut bacon costs around $4.33 per pound at Costco versus about $8 per pound at a typical Midwest grocery store.
One of the biggest saving items on offer is pet food
Bacon is another great way to get the most bang for your buck with a Costco membership
With three pounds per pack, shoppers save roughly $11 per purchase – enough to cover the membership fee after six purchases.
A household buying 15 pounds annually, or five packs, would achieve a payback score of 85.
Other items with high payback scores include chicken stock, Greek yogurt, paper goods such as toilet tissue and paper towels, pasta, water filters, dishwasher pods, HVAC filters, contact lens solution, allergy medication, cooking oil, laundry detergent and vitamins.
Another popular way members maximize value is by visiting the warehouse’s food court, where $1.50 buys Costco’s signature hot dog and soda combo.
Purchasing roughly one combo per month – 14.4 per year -would also amount to $65 in savings compared with similar offerings at other fast-food chains.
