Warehouse membership clubs can help you stretch your dollars when you shop wisely.
The major three — Sam’s Club, Costco and BJ’s — deliver notable savings and perks to their combined membership base of over 120 million, according to L.A. Times consumer columnist David Lazarus in an interview on Marketplace.org.
Although annual dues generally begin near $50 and increase for higher tiers that include extra advantages, many members fail to fully utilize all the benefits their membership provides.
How Much Can You Really Save?
While a trip to a warehouse club won’t completely replace your regular grocery runs, Today.com notes that, “according to a Consumers’ Checkbook survey published by the not-for-profit Center for the Study of Services, BJ’s prices were on average 29% lower, Costco’s 30% lower, and Sam’s 33% lower than the largest supermarket chains.”
Lazarus adds, “According to one recent study, any household that spends approximately $150 a week at a typical supermarket couldsave more than $2,000 annuallyby shopping at these large clubs.”
Use these tactics to ensure you’re getting the most from your membership fee.
See If the Store Has an App
Before you leave, check the App Store or Google Play for helpful tools.
For instance, the complimentary Sam’s Club Scan & Go app for iPhones allows you to scan items as you load your cart. When you’re finished, you can pay through the app and bypass checkout lines.
It may not reduce your bill, but how valuable is your time?
Compare Prices
It seems obvious, yet many shoppers overlook this: Compare prices on regularly purchased items between the warehouse club and your usual grocery store.
Lifehacker.com recommends “[using] old grocery receipts and a guest pass to the warehouse to determine how much a membership would — or wouldn’t — save you.”
Frugal Farmer blogger Laurie reports her greatest savings come from dairy. “Just on dairy items alone, our household saves roughly 30-40% compared to regular Walmart grocery prices when we shop at the warehouse club,” she writes on Frugalrules.com.
Split the Membership
Find a friend to share a membership fee and you’ll both benefit without one person needing to store or use everything purchased.
Alternatively, if relatives nearby already have memberships, you can join them on shopping trips to pick up items without committing to your own membership.
Broaden What You Buy
Warehouse clubs aren’t limited to toothpaste and paper products. Read the membership brochures and materials at the club you join to discover additional services and deals.
Other bargains your club might provide include:
Fuel
Many clubs also offer gasoline at reduced prices.
For instance, my father only fills up at his warehouse club, frequently saving as much as 10 cents per gallon compared with nearby stations.
Electronics
You can sometimes save up to half off on big-ticket electronics when buying through a warehouse club, according to Allyou.com.
Prescription Medications
Trent at The Simple Dollar highlights this as one of the best bargains.
“Many prescriptions cost considerably less through warehouses, which can be a major help to your budget. For example, 100 pills that cost $40 at WalMart may be only $10 to $12 at Sam’s Club. Surveys show you can save anywhere from 25 to 77% on many medications at a warehouse.”
Sam’s Club notes on their site that “in 2012, plus members using the discount saved on average $16 per prescription compared to the regular Sam’s retail price.” (Like this idea? Click to tweet it!)
Eyewear, Hearing Devices and Health Checks
While not every club lists all member perks online, Sam’s Club advertises $40 off a standard pair of prescription glasses and offers free hearing tests and health screenings at select locations.
Alcohol
You may save 35% or more on distilled spirits and about 25% on beer, according to Consumer Reports, with the biggest discounts on premium items.
Organic Options
The Organic Consumers Association suggests in its Dollar Stretcher piece that:
“Large warehouse chains are stocking more organic items, and you can often find great bargains. In our region, eggs, canned tomatoes, milk, pet food … and eco-friendly laundry detergent are cheaper here than elsewhere.”
Pet Food
Consumer savings specialist Sarah Platte told KARE 11 in Minnesota that “a 52-pound bag of dog food is $24.99 at a warehouse — the same cost as a 30-pound bag at the grocery store.”
She recommends stocking up since the warehouse rate can be about 40% less.
Tires
Yahoo Finance points out that “the sticker price may be lower and installation almost free. Plus, you can have your tires changed while you shop, which makes it an efficient way to knock something off your to-do list.”
Caskets and Urns
Although not pleasant to consider, these items often cost a lot.
BJ’s and Costco both sell caskets and urns online with shipping included. Prices are likely below those charged by local funeral homes, and FTC rules ensure you can buy a casket or urn from any seller without the funeral home adding extra charges.
Read the Membership Details
It’s wise to study the membership terms and materials at your local club.
Additional perks may include discounted movie tickets, small business loans, lower merchant processing fees for businesses, or savings on car purchases and travel.
You Don’t Always Need a Membership
Want an even better bargain? In many states, you can skip paying for a membership and still save on alcohol and prescription drugs.
KnowHowTo.com explains, “what Costco and other warehouse clubs such as Sam’s Club don’t mention is that there are a couple of items they are legally required to sell to anyone in the general public — even if you don’t have a paid membership.”
States where you can buy alcohol without a membership include California, New York, Hawaii, Texas and apparently my home state of Massachusetts. Check your state’s laws or ask a store manager at your local warehouse to learn the rules for alcohol sales in your area.
Regarding prescriptions, Trent at The Simple Dollar notes, “Federal law says warehouse stores cannot require club membership to use the pharmacy, meaning you don’t need to earn back a membership fee to benefit from prescription savings.”
KnowHowTo.com adds, “unlike the alcohol rules, buying medication without a membership is permitted nationwide and is widely known.” If you encounter problems, contact your state’s pharmacy board.
Your Turn: Are you a member of a warehouse club? How do you maximize your membership?
