9 Downsides of a Costco Membership in 2023 — Are You Being Taken Advantage of?

 9 Cons of Costco Membership in 2023 — Are You in Advantage?

Despite cult favorites like the legendary barbecue chicken and $1.50 hot dogs, Costco memberships don't come cheap. In the absence of offers or discounts, Gold Star membership costs $60 per year, while Executive membership - which offers a 2% annual reward - will set you back double that amount.

Recently, Costco has adopted some practices that have drawn the ire of fans on Reddit and other shoppers. Be aware that there are some downsides to being a Costco member. And while most of them have easy solutions, some can be costly.

Are they surmountable? Read to the end to see what regular customers think and make your own decision.

So many people have heard about Costco's amazing deals that sometimes the store has long lines. “The checkout time is CRAZY. Inconvenient and not designed for busy people with places to go and small children,” said Christine Doughty Callen, a busy mother in Washington, D.C.

These are of course first world problems with first world solutions. Avoid the crowds by shopping off-peak. It is strongly recommended to avoid Fridays, Saturdays and Sundays. Shop weekday mornings for the best selection of products. Check Google Maps to see when your local store is least crowded.

Personally, I'd recommend using self-checkout, but that comes with another set of headaches, according to the Reddit community.

Self-control can be stressful

As Costco rolled out more self-checkouts, employees and customers alike were confused about the policy.

Reddit user Stranger_Dangus recently posted her story: “For weeks, staff told me to use a handheld scanner to speed up self-checkout. I went there today and had about 7 items, several of which were larger. I used the handheld scanner and got to my last 2 items (steaks) and the lady approached me saying I needed to use the actual tabletop scanner on my steaks.

 I told her I only had 2 items left, I scanned one of the packages and she ripped the handheld scanner out of my hand and told me I had to use the desktop scanner.Free Costco Membership Benefits in 2023 — Are You Taking Advantage?

Several customers on Reddit have also complained about the level of employee involvement at self-checkout, which makes the transaction inconvenient. “Employee [T] came and manually scanned each item in my cart and let me do part of the payment. I'm not sure how it was any different than going to a self-checkout other than not putting things on my belt,” TheOtherPete wrote on Reddit.

CoffeeJunkieJeannie added, "My Costco self-checkout also allows people to check your receipt before you leave...I think the theft was a big problem."

No scan and go

Sam’s Club makes checkout easy by allowing you to scan items as you shop, pay in the app, and check out. No self-service checkout, no long queues.

However, you can shop at Costco.com and get free two-day grocery delivery with any order of $75 or more.To keep costs low, Costco accepts cash and most debit cards, but only Visa credit cards. Wholesale Club has a partnership with Visa that offers transaction fees of just 0.4%, another way Costco helps keep costs down.

The solution is simple: Make sure you have cash, a Visa credit card, or a debit card in your name when you make the purchase.

Access to membership

If you are paying by debit or credit card, you should ensure that the name on your membership matches the debit or credit card you are using to pay. Costco has cracked down on people sharing their membership card with others, thanks to a few TikTokers who suggested you could use anyone's Costco card as long as you use self-checkout.

Related: Has Costco Messed Up Membership Sharing? 4 ways to get around it and still get a bargain

Redditor "daddysxenogirl" told her story of being caught using her husband's card — even though he was in the store with her. "Yesterday I was checked. The cashier saw my husband hand me the card and go get food with my son. Because my face didn't match the face on the card, he had to go get my husband from the food line to check out because I left my face card at home,” she wrote. “They also made us use a debit card with only his name on it, mine with my name on it was not allowed.

Bottom line: Make sure the person checking out has their own card. Costco controls membership to keep costs down by making sure customers pay a membership fee. As Redditor ElDub73 said, “It still amazes me that people are offended or insulted that a club membership company is checking their club membership ID.

Additional adult family member cards cannot be purchasedSometimes people in the same family like to shop together and not all of them are present at the checkout, as the story above shows. But what if parents want to send their grown children to shop for them?

Gold Star Membership and Executive Membership allow you to have only two additional cards on your account, which will be for anyone over 16 in the same household. "There are several families that could benefit from having an extra card fee added for each additional member of the household," said a Costco employee, who asked not to be identified. 

“Like, my kids are grown and they could shop for me if I was a paying member. I would like to be able to have my husband and two adult children on one account.”

Employees get free membership with three additional cards for adults in the household. That sounds like a generous perk of working at CostcoLimited locationsLet's call this downside "Costco Envy."

Several shoppers I spoke with said they didn’t have a Costco near them, so they made do with shopping at Sam’s Club or BJ’s. With 587 Costco stores in the U.S. and 107 in Canada, with the lion's share (133) in California, Costco outnumbers BJ's by more than double. But that's just not enough.

There are roughly 700 Sam's Clubs in the US, so it's likely that Sam's Club will be your second choice. If you're visiting friends in another city, you can always spend some quality time at Costco to see what's in stock. Members are allowed to bring up to two guests on each visit, but only members can shop.

They constantly change the goods

While some Costco customers find it beneficial to experience new and different items each trip, some customers are frustrated that Costco doesn't always have the same brands every month. Once you start loving something, it disappears from store shelves.

“I stopped going to Costco because I tend to be brand loyal because of diabetes. They never had the same markings from one road to the next,” said Darice Lang of Plano, Texas.

You need to know the codes to get the best sellers when they are on sale. If you see an asterisk on the price tag, stock up because Costco will not be restocking this product.

Of course, you'll always be able to find some of Kirkland Signature and Costco's staplesCostco has long been a favorite among shoppers for its bulk discounts, wide variety of products, and friendly shopping experience. However, like any membership program, there are always two sides to the coin. In 2023, despite the many benefits, a Costco membership may not be the best fit for everyone.

 In this article, we'll explore nine disadvantages of a Costco membership that might make you question whether you're really benefiting or being taken advantage of.

Annual membership fees:

One of the significant downsides of a Costco membership is the annual fee. While the cost may be justifiable for frequent shoppers, occasional buyers may struggle to get their money's worth. For budget-conscious consumers, this fee could outweigh the potential savings of buying in bulk.

Limited number of stores:

Costco's warehouse-style stores are usually located in larger cities, putting suburban and rural residents at a disadvantage. The inconvenience of traveling long distances to reach the nearest store could undermine the benefits of membership for those who live far away.

Astounding size and quantity:

Buying in bulk can be great for certain items, but it may not suit everyone's needs. Smaller households or individuals may find it difficult to use large quantities of perishable goods before their expiry date, leading to wastage and lost savings.

Impulse purchases:

Costco is known for its attractive displays and limited-time offers that can tempt shoppers into impulse purchases. These unplanned purchases can quickly add up and negate any membership savings.

Limited selection of products:

Although Costco offers a diverse range of products, its selection may not be as wide as that of specialty stores or online retailers. If you have specific preferences or unique dietary requirements, you may need to visit other stores besides Costco.

Quality over quantity:

While the value of Costco lies in bulk buying, the quality of some products may not always meet your expectations. As they prefer to offer competitive prices, some items may not be up to the standards of more premium brands.

Membership Sharing Concerns:

Costco memberships are non-transferable, meaning you cannot share your membership card with friends or family. This can be a disadvantage if you wish to split the cost with others to save on the membership fee.

No online shopping without a membership:

Unlike some competitors, Costco requires a membership to shop online. If you prefer the convenience of online shopping but don't want to commit to an annual fee, this limitation may be a disadvantage.

A crowded shopping experience:

Costco's popularity often leads to crowded aisles and long checkout lines, especially during peak hours. This can make shopping stressful and time-consuming, discouraging some members from frequenting the store.

While a Costco membership can undoubtedly be beneficial for some consumers, it's essential to consider the downsides before committing. From annual fees and limited store locations to overwhelming numbers and crowded shopping, these drawbacks can affect your overall satisfaction with membership.

 Before renewing or signing up for a new membership, consider your shopping habits, household size, and store proximity to see if a 2023 Costco membership is truly beneficial for you.