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Seriously?

You'd cancel a Costco membership over THIS?

I just find it kind of funny, honestly ... because just last week, I was thinking how ridiculous it's getting that you can buy iPad everyplace you turn, yet each of the stores getting to stock them is running ads like it's the greatest thing to happen this decade. Wal-Mart, Micro Center, Target stores, etc. etc. All wasting time with full page advertising telling you they're getting the iPad .... all MONTHS after all the initial excitement has worn off and inventories of them are plentiful.

I actually like Costco a lot better than Sam's Club, having had memberships at both at different times. Sam's is irritating because most of the time when I go into their stores, they carry a lot of stuff that's not discounted at all (especially things like computer software and peripherals!), and they seem to think I'm foolish enough to just buy it without price-shopping.

Costco always seemed to have more interesting items for sale, including what seemed to be buyouts of remaining inventory from other stores that went out of business, or last year's models of things that were still perfectly good products. (Even their frozen food section used to be kind of interesting. I remember they'd sell items that were the same things area restaurants got from their suppliers, like cakes or pies. Normally, you didn't have access to these products as an individual customer.)


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Well there goes my membership. That sucks too cause I kind of liked Costco.

Oh well.
 
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I shop at Costco but would not buy apple stuff in other Stores.
 
I am fine with this. Why Shouldn't Costco get to sell the iPad? I would be mad too!

I don't buy Apple from anyplace else other than the Apple Store (mostly refurbs), but for other items I prefer Costco. I can't stand, nor do I often set foot in Wal*Mart or Sams club. Just not a fan of those places, for whatever reason, Costco and Target are my top choices.
 
Holy flip... your reponses!!!!! :eek:

"Pot, Kettle. Kettle, Pot."

This from a petty, vindicitive, foolish company like Apple that's allowed to deny Adobe flash or Blu-ray (!!!!!) or "freedom from porn" (that's a nice one, Steve!) at their whim and to much acclaim here. :rolleyes:
 
After iPod supply is long gone, I say we get the Mac community to go to Costco and request an iPod to purchase! And when they try to sway you to some other music device because they have no iPods, say "No, iPod!"
 
Wife and I purchased our first iPods from Costco. It's a shame, good distribution partner, at least from a consumer perspective.
 
Apple doesn't need Costco so they don't care but I and many other people refuse to shop at Wal-Mart and Sam's Clubs due to their retched economic policies.

Sorry Apple. If there was a Costco in my neighborhood I would gladly shop there and will continue to deny Wal-Mart (and Dell too) any of my money... /tangent
 
... that's not abuse, that's what the warranty is for!

Abuse is the people who buy a mattress, use it for ten years, and then call Costco to come pick it up and refund their money (which, I have it on good authority, happens, albeit infrequently).

Exactly. I am not an abuser of their policies. I buy about $5k to $8k with of stuff from Costco every year. I am an executive member and I get cash rebates from them and Amex every year. That said I have returned stuff to them that broke or malfunctioned. That is part of the reason I shop there and pay $100 a year in membership fee.

I have never returned anything to them that did not malfunction.
 
Anyone who is a shareholder of Apple should be happy about this because Costco's return policy is moronic. Why should any retailer be allowed to sell a product, take it back in a few months and return it to the manufacturer?

Is that fair? Is that ethical. No. If you cannot decide if you want something, use a rent to own company, don't abuse return policies.

The two main factors in driving up prices are:
1. Shoplifters
2. People who abuse return policies to basically use a product for a few months and then return it for a full refund.

...words...

I'm a systems analyst for a retail supply chain management ASP. I helped develop our returns authorization, tracking and management system. About 5% of all products purchased through our order system are later returned and this has been static even as the economy has sunk. Return to supplier is a popular option with many retailers AND most suppliers -- because these liberal returns policies entice customers to take more and bigger risks, spend more, and in the end result in WAY more than 5% increases in sales.

What's more, returned merchandise is never truly a loss. On average, a returned product brings in 75% of the original selling price (preserving the supplier's margin), and broken products can be written off (in some areas twice, if you recycle them).

This isn't to say returns aren't costly, but that cost is mostly in manpower (and, online, shipping). Our business analysts tout a figure of up to $20 in manpower cost per return for ad-hoc returns, though I'm sure that's partly a sales pitch for our software. Companies like Newgistics drive that down considerably, to around $5.

Companies that do business with LL Bean, EMS, Costco and other companies with super liberal returns policies know what they're getting into, and they pad their unit costs accordingly. Lots of companies don't have business models that can handle returns, and so they don't.

This is not a moral issue. You do pay a little more for the right to return things you buy, but you've already paid it. It's your right. You don't want a product, take it back.

Oh, and for what it's worth, shoplifting also isn't generally that big an issue (nor is it on the rise), and prices aren't really "driving up" in the first place. CPI's currently increasing at 1% and that's with a 10% boost in energy prices.

In short, your analysis is weak and so is your kung-fu. My company's hiring, but we're not hiring you.
 
Dunno but this article sounds like a rumor. Generally places like Costco and Sams are places to close out inventory of items that are getting closer to expiration. Generally they didn't always carry the latest iPods there.

Regardless if true or not, these guys don't have a good way to showcase the iPads anyway and rarelyhave any knowledgeable staff. With an iPod, it didn't take tons of explaination, but an iPad could take a lot more and they just don't have the staff to handle that type of purchase.

I'm guessing it's been a while since you've shopped at Costco or Sams and are just pulling your assumptions from the depths below. Costco has been selling current model iPods for years. They sold the AppleTV when it came out too. And I bought a Nikon D90 there about a month after release.

Most of the items they sell are not closeouts, they are "exclusive" models. There is a difference. They always have the top selling books and videos games, etc.

Also, Sam's IS getting the iPad so, again, your rationale makes no sense. Sam's warehouse setup and staff is no different than Costco's.

Kudos to Costco. They're a ballsy company with paper thin margins, nice store layouts, an awesome returns policy and nothing but love for their members. If they can't offer the experience they want, they don't offer anything. This is a major grocery retailer who, for a time, stopped selling Coca-Cola because they didn't get the deal they wanted.

Apple doesn't NEED them to sell their products, but I'm betting they want them to (given that Costco members do a LOT of shopping at Costco). This is a typical move to get attention over their larger rivals without having to take a worse deal.

Yes, but the "deal" wasn't for their customers, it was for Costco. I can find Coke for a lot less than for what Costco sells it for. That is one item they are not cheap on. Also if the "experience" customers want is to be able to buy an iPod, how is not selling them fulfilling that mission?
 
Too bad. Costco is much more ethical than Walmart (owner of Sam's). They pay decent wages and give their employees health benefits. I'll never step foot in a Walmart, but I shop Costco time to time.

I agree totally.

Typical Macrumors, Fanbois love Apple HATE OTHER COMPANY! DUH!

Truth be told, COSTCO has better food and products than Walmart OR SAM'S CLUB, yet the SNOBS HERE STILL TAKE APPLE's SIDE!

INSANE FANBOISM. No other explanation except Steve Jobs patented "Reality Distortion Field" at work.

I love COSTCO by the way, SAM's CLUB is a rip off and their customers are buffoons. I live near a Walmart that is next to a SAM's Club (go figure) and often, the Walmart is CHEAPER THAN THE SAM'S CLUB ON SOME ITEMS AND I WAS PAYING SAM'S CLUB TO SHOP THERE! HOW STUPID AM I? HAHA!
 
I've never seen a Costco store anywhere in the Midwestern U.S., where are they exactly?

Costco.com

From Wikipedia:

Costco (NASDAQ: COST), is the largest membership warehouse club chain in the United States. As of July 2009 it is the third largest retailer in the United States and the ninth largest in the world.[1][2] As of October 2007, Costco is the largest retailer of fine wine in the world.[3]

I'd say it's a bigger loss for Apple then Costco.
 
After iPod supply is long gone, I say we get the Mac community to go to Costco and request an iPod to purchase! And when they try to sway you to some other music device because they have no iPods, say "No, iPod!"

With every post you make, you become more and more pathetic.
 
It's the people that you that cause companies like Costco to remove their return polices. If anyone didn't know, Costco used to have unlimited return on all items, but they had to reduce that to 90 days for electronics because people abused it like this person.

Wait, what? I'm not at all condoning abuse of return policies, but how is the guy you quoted abusing the system? He bought a Wii, which comes with a 2-year warranty from Costco. He said it's malfunctioning, and it's been just about two years. So he's planning to bring it back. Why, what would you do?

Edit: I see I've been beaten to the punch.
 
O well, Costco's loss...
This makes no business sense whatsoever. Ridiculous. Never heard of them before (being British) but they deserve to go bust. Cry babies!

It's not really Costco's loss, and it actually could be a very good business move.

Costco doesn't really make much money on any single product, and that's especially true for Apple products (which have been almost always sold at almost 10% less than retailers like Target or Best Buy). Instead, Costco relies on offering customers what they want when they want at attractive prices. Costco wants customers to make on the spot decisions about things like iPods and other consumer electronics. If Costco can't sell two of Apple's most popular products (and the two that are showing the most growth), then why should it bother to carry the less popular iPod (a product that is in decline)?

I don't understand why the membership stores carry price-fixed items in the first place.

It is pretty much pointless.

It's part of the one-stop-shopping experience they're after. Their profitability is heavily dependent on consumers buying as much as possible from them.

Considering the profit margins on Apple gear, I'm surprised that any store sells it, especially stores with liberal return policies. Costco won't be hurting from this decision.
I see this move hurting Apple a hell of a lot more than Costco.
Exactly. Costco is one of the best run retail businesses. Their decision is not going to be detrimental to them.


I
Yes, but the "deal" wasn't for their customers, it was for Costco. I can find Coke for a lot less than for what Costco sells it for. That is one item they are not cheap on. Also if the "experience" customers want is to be able to buy an iPod, how is not selling them fulfilling that mission?

IIRC, Costco was trying to get Coke to lower prices on 32 (or possibly 36) packs to match what Pepsi had committed to. Coke didn't want to, and eventually Costco agreed to carry Coke to satisfy the needs of business customers who sold Coke.
 
I remember last year when Costco couldn't come to an agreement with Coke Company to reduce the price (or to offer Costco members a lower price), they decided discontinue Coke products from the store, the food court fountain drinks and employee lounge vending machines.

Costco has been known to hold grudges, so I'm not surprise to hear this news.

And it worked for Costco--coke is now cheaper at Costco stores.

I can't believe how many apple zealots on this forum think Costco is overreacting. Does no one here understand hardball negotiation tactics?

If I was running Costco, I would ban your arse for life. As soon as the cameras detected your face, I would have security swarm and push you out the door after taking your membership card, refunding the fee and cutting up the membership card.

If you are serious then you are not a customer but a parasite. Ambulance chasing lawyers have more ethics than you apparently.

This is costco's sell point. I had one of their beds go bad after three years and mentioned it to a friend as I passed a similar bed they were selling. A manager was walking by and told me to bring it in and they'd swap it out.

I love how reactionaries like yourself don't understand a business's selling point and then ignorantly attack others for following the store's policy.
 
Pardon me

You're above the fray, right?

Nah, pardon me if I was making it sound as if I am. I am sure there is a third line of people who are entertained by this thread as well. I'm just as most of a Fan boy is the next guy (or gal) in here. Otherwise I wouldn't be posting here :)
 
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