3 Disadvantages Of Being A Costco Member

Navigating Costco can be frustrating thanks to the ever-changing layout, which the store uses to its monetary advantage. Then there are the high annual membership fees and complaints about the produce selection. These shortcomings relate to Costco specifically, but you should also know what you're getting when buying in bulk. The practice can be more environmentally friendly and help you save money, but it can also lead to overspending and food waste. If you're mulling a membership at Costco or other bulk retailers, factors like household size, storage space, and budgetary limits should be included in your decision.

Read more: 4 Tips For Buying The Best Ribeye Steak At Grocery Stores

Some members have found you should never buy produce at Costco for a few reasons. Fruits and vegetables don't have the longest shelf life, which is an issue when purchasing in bulk. Should produce spoil before you eat it, you'll lose out on savings, and worse, contribute to the pressing, widespread problem of food waste. Then there's the produce quality at Costco, which is a subject of aggravation among customers.

When a shopper on Reddit declared, "Fruit from Costco kinda trash," other members relayed their own bad experiences. "The broccoli smells terrible … every time I get it and it's like yellowing a day or two later," said one commenter, while another shopper stated, "I get a lot at Costco, but I've generally avoided their produce." Another Redditor complained, "Produce is consistently spoiled … purchased [strawberries] two days ago, half of them had spoiled spots or were half spoiled, and several of them had significant mold."

Not everyone had a dismal view of Costco produce, though, and some customers have praised the store's selection. As a self-described former Costco employee, one Redditor explained, "[Quality] depends heavily on who runs the [produce] department and how much of an eye for detail they have."

Costco is adamant about maintaining its $1.50 hot dog and soda combo, but it takes a different approach toward memberships. The chain raised membership fees several times since opening in 1983, with the most recent hike happening in 2024. Fee increases aren't unusual among warehouse retailers, but Costco also has the highest yearly fees among the top three warehouse chains in the U.S. (Costco, Sam's Club, and BJ's). Accordingly, you might find another grocery store better suited to your household budget.

Costco members pay $130 for an Executive membership, while Gold Star and Business memberships are each $65. In comparison, Sam's Club members pay an annual fee of either $120 (Plus) or $60 (Club). BJ's is the least expensive, as Club memberships are only $10, while Club+ memberships are $50 annually. Of course, membership fees aren't everything; grocery costs also matter. While grocery prices naturally vary from place to place, comparisons between Costco and Sam's Club show the latter store can be more affordable. As for BJ's, members have complained about high prices at the chain, which could detract from the store's affordable memberships.

When it comes to the most annoying aspects of shopping at Costco, the chain's frequently shifting layout ranks high. On Reddit, a member complained, "For the past couple of months, the locations of items have been changing. It was so bad, I only found half the things on my list after my standard loop through the store." According to Costco (via The Street), the constantly changing setup is part of the "treasure hunt" philosophy, which allows customers to discover new products they might otherwise overlook.

We love a fun shopping experience as much as the next person, but there's a less altruistic reason for making the layout confounding for shoppers. The more a person wanders around the store in search of their groceries, the more products they're exposed to, which increases buying opportunities. In the Reddit thread bemoaning the layout, a commenter put it this way, "The whole strategy is to promote impulse buying. It gets the customer in front of more items." You can't fault a business for trying to boost its profits, but shoppers who want a streamlined experience, and those who don't have room in their budget for impulse buys, should probably shop elsewhere.