Shop smart at membership clubs

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You could save 26 percent on groceries and get rock-bottom deals on many other items at warehouse clubs, such as Costco, Sam’s Club, and BJ’s. These stores keep their costs low by selling in bulk, running a no-frills store, hiring less staff, and not advertising as heavily as their competitors. They pass the savings along to you. Often, they sell appliances, office supplies, even electronics in addition to groceries.

Unfortunately, they have disadvantages, too.

* Most membership clubs do not accept coupons, offer weekly specials, or sell generic brands. You may do better doubling coupons, checking grocery ads, or buying generic from your local grocer.

* They sell in bulk, which can yield great buys, but 5 lbs, of butter at 30 percent off is no bargain if it goes bad before you use it.

* They may not tell you the unit price, such as the cost of shampoo per ounce, like grocery stores do. That makes it hard to comparison shop. Check unit prices at other stores before you go to a warehouse club, then bring a calculator and do your own math.

* Their low prices can tempt you to buy things you don’t need. Shop with a list and stick to it, and only carry cash to limit your spending.

* They offer lots of different products, but little brand variety. For instance, you might find 10 brands of spaghetti sauce at grocery store and only two at a warehouse club. Decide if you want better prices or more choices.

* They rotate their stock, so the brand you like may not be there next time you go.

* Some only accept one kind of credit card but offer their own as an alternative – at exorbitant interest rates. Sign up for one, and they may also sell your personal information.

* They charge an annual membership fee, usually between $25 and $40 dollars. Some give guests one-day passes, as often as you want, to shop there, but tack on a 5-percent surcharge at the register. Still, if you spend less than $500 to $800 dollars a year there, you are better off getting a guest pass than buying a membership.

Some clubs offer free trial memberships, up to 60 days. Call and ask about this policy then test the place out before you join.



All the best,



Timben