Inflation has been rattling consumers these past few years, to the point where 63% of Americans still say it’s a big problem for the country, according to Pew Research. And one area that’s hitting hard is groceries.
In January, supermarket prices rose 1.9% annually, per the Consumer Price Index. And a late 2024 survey by Swiftly found that 70% of Americans are struggling to afford their groceries.
đź’°đź’¸ Don’t miss the move: Subscribe to TheStreet’s free daily newsletterđź’°đź’¸
It’s these economic conditions that make a Costco membership so valuable.
Related: Costco makes a big change members will love
Costco’s business model is centered on offering members the lowest prices available. On a recent earnings call, CFO Gary Millerchip said, “Our goal is always to be the first to lower prices where we see the opportunities to do so.”
Costco members can enjoy savings by purchasing groceries and household staples in bulk. But that’s not the only way to save big. Here are some Costco hacks that can put even more money in your pocket.
The right Costco strategies could save you money.
Justin Sullivan/Getty Images
1. Buy the Kirkland brand
If you’ve ever roamed the aisles at Costco, you’ve no doubt noticed the Kirkland name on a host of products. Kirkland is Costco’s signature brand. And in case you’re wondering, the name comes from the company’s original Washington state headquarters.
Not only does Costco take pride in its Kirkland brand, but it prices its lineup strategically with the goal of offering Kirkland items at a minimum of 20% below the national brands it otherwise sells.
2. Load up on Kirkland fuel
There’s a reason you’ll often see long lines at Costco fuel stations (and don’t worry – they tend to move quickly). Just as there’s savings to be reaped with the Kirkland label inside the store, so too can you enjoy huge savings by filling your tank with Kirkland gas.
Not only that, but Kirkland fuel holds the Top Tier designation. This means it’s designed to clean your engine and lead to better mileage for added value.
Related: Costco does one thing differently than nearly any other business
3. Know the pricing codes
Costco is known for its ability to undercut competing supermarkets and big-box stores with its unbelievably low prices. But if you want to save even more on your Costco shopping, it helps to know the system.
Standard Costco prices end in .99 – so a $7.99 label means you’re getting the standard price. But Costco often further discounts inventory with the .97 or .00 designation. So an item listed for $7.97 represents a markdown from the original price.
You might also occasionally see a Costco price tag that ends in .88. Though not as common as .97 or .00, the .88 designation means the item in question is a manager markdown. You might see that label on items that were returned but are still in sellable condition, or on seasonal items a manager is trying to move off of shelves.
4. Buy the rotisserie chicken
Costco’s rotisserie chicken is one of the most affordably priced take-home meals you’ll find today, period. At just $4.99 for roughly three pounds of meat, it’s almost a no-brainer.
Not only is that price competitive in its own right, but it’s stayed the same since 2009. Adjusted for inflation, that chicken should cost $7.39 today – which would still be a pretty good deal.
Related: Walmart issues stern warning about unexpected customer behavior
5. Upgrade to the Executive membership
Costco’s Executive membership costs $130 a year, versus $65 for the basic Gold Star membership. But the Executive membership gives you 2% back on your Costco purchases. So if you shop at Costco often enough, you can come out a winner by paying more to join.
The break-even point you need to keep in mind is $3,250 in annual spending. That’s what it takes to recoup the extra $65 an Executive membership costs at a rate of 2% back on purchases. So if your annual Costco spending comes to more than $3,250, you’re saving money with an Executive membership.
More Retail:
Target’s latest policy change sparks massive boycott threatBounty, Tide, Dawn owner issues stern warning about its pricingGameStop makes a drastic move amid weak sales
6. Order a food court pizza to go
When life gets busy, falling back on takeout meals can become a necessity, despite the higher cost of purchasing restaurant food. But Costco’s food court pizza makes it easy to outsource dinner without breaking the bank.
Costco’s giant 18-inch food court pizzas cost just $9.95 for either the cheese or pepperoni version. And if you don’t want to wait around for your pizza to be ready, just place an order at the food court, do your shopping, and then come back and fetch your pie on the way out the door.Â
Maurie Backman owns shares of Costco.
Related: Veteran fund manager issues dire S&P 500 warning for 2025
