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Would be interesting to know why Apple decided to pass on Costco with the iPad considering they're one of the biggest retailers. Costco is much better than Sam's Club. Sam's Club could not even survive here in Canada because Costco killed them with much better prices.

Also who cancels their membership because Costco will no longer carries iPod's?

Well, I'm guessing it would have something to do with the fact that Sams Club is owned by Walmart, and seeing as how Sams Club is a competitor to Costco.....
 
Costco is a good company that does right by its employees and members. The vast majority of costco's profit comes from its membership fees. The actual products have like 5% - 10% markup. In return for $50, costco goes out and finds members really good deals and sells stuff to us for great prices. On top of that costco has the best return/warranty policy around.

Its easy to see why apple wont sell costco ipads... jobs can make fatter margins selling them somewhere else. And people support apple - one of the richest corporations in the world - and criticize costco... really? :confused:
 
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.

The product should only be returned within 30 days of purchase with the original packaging, in working order and in saleable condition. If it is out of the original packaging and more than 14 days from purchase date or appears to have been "USED", a restocking fee should be charged as the store should sell it at a discount as an open box item. A small restocking fee should be charged if you used the earbuds for example as they are sort of like "underwear".

Wow! So YOU'RE the all knowing arbiter of the absolute correct return policy that I've been hearing about? Glad to meet you.

What a ridiculous bunch of tripe. Return policies should be whatever the market will bear. If manufacturers don't want to do business with a retailer under that retailer's policy, they can just choose not to do business with them. If you feel that a retailer's return policies are costing you extra money, SHOP SOMEWHERE ELSE. It's called commerce, you friggin' moron.
 
Sort of poor-man's Makro. They sell the s**t made in China that no-one else wants, not even the shopping channels, as well as large packs of baked beans, etc. Cash only.

Your comment brought back memories of the Simpson's "Pulp Fiction" parody - "... I went to the MacDonalds in Shelbyville on Friday night ....I never heard of it either ...".

I was a member for a year, used Liverpool and Edinburgh. Let's just say, you don't go to Costco unless you really have to.

In America, Costco sells much better quality products than Wal-Mart and Sams Club do. You can pay with a credit card, but the only one they take is American Express. Generally, shopping at Costco makes a lot of sense if you have a bigger family. Their food products are cheaper than grocery stores, but you have to buy in bulk. They have nice furniture, too. I have never seen anything of poor quality in Costco. But then again, what do we Americans know? Ever since we kicked you guys out, we have not seen or worn a nice suit. We also bastardized your language. I don't get it why you are so hung on Apple products; after all, they are made in China.
 
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.

I work at Costco and just wanted to clarify for everyone....the 2 year warranty only applies to TV's and Computers. The 90 day return policy applies to TVs, computers, cameras, and MP3 players.

While I don't generally have a problem with someone returning something that's 2 years old (assuming it's not destroyed beyond use or worn out), anything past that seems to be taking advantage of the policy, IMO.

Our store sells in the neighborhood of $7-8k worth of iPods EVERY week. As stated before, profits are pennies on the dollar so this won't kill Costco. It will probably hurt Apple more in the long run with Costco being the 3rd largest retailer in the nation.

We have been trying for years to get Apple computers in the store to offer our members, but Apple doesn't want to play.
 
I wish Costco sold apple computers. I'd feel much safer with my purchase than having to deal with Apple direct.

I love their return policies, takes the buyers remorse out of those expensive purchases.

Of course Apple doesn't want to play with them. Imagine all those imac's with yellow tint which would have been returned. Where would Apple have stored them all ? :)
 
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.

You have no clue what you talking about.. No matter where you work you always start at min wage for the first 90 days and then it goes up.. That goes the same when it comes to health benefits.. Walmart has the same decent wages and benefits as Costco or any big company for that matter..
 
I work at Costco and just wanted to clarify for everyone....the 2 year warranty only applies to TV's and Computers. The 90 day return policy applies to TVs, computers, cameras, and MP3 players.

While I don't generally have a problem with someone returning something that's 2 years old (assuming it's not destroyed beyond use or worn out), anything past that seems to be taking advantage of the policy, IMO.

Thanks for the clarification. I assumed the Concierge warranty applied to all electronics.

So since the Wii is neither a TV or computer or camera or MP3 player, that would seem to suggest that the Wii falls under the "everything else" return category, which, broadly stated, seems to be "feel free to return it any time for any reason".

I agree that there are definitely people who abuse the system, but you have to admit that Costco's return policy is pretty open-ended. I imagine that's very intentional. I'm sure that upper management is well aware of exactly how much the abuse costs them, and surely they know that with a few simple words they could rewrite the policy to close the apparent loopholes. I can only guess that the goodwill generated by such a generous policy outweighs the cost of the abuse.
 
I will start of by saying , I've been in retail for 20 years and have been a buyer for 6, It amazes me that some consumers really think that this is any type of "Big" loss for Costco,I will be you that Costco is making about 15.00 per unit after factored in overhead, not including LP standards for Shrink (Shrink is retail for theft internal/external)

People don't come to Costco to pick up an iPod........

This will most likely be a cost effective move for Costco.......

Do consumers really think there is some kind of magical profit/margin in selling electronics? just FYI , the manufacture makes the money, not the retailer, most stores only carry products like this for the customer draw, they count on making money else were in the store....

Costco is not worried about the Draw.......lol

In spite of everything you say, Costco apparently wanted to add the iPad to their iPod selection bad enough to throw a tizzy fit when it didn't happen.

However, I think this story says more about the "magical" drawing power of the iPad then anything about Costco.
 
You have no clue what you talking about.. No matter where you work you always start at min wage for the first 90 days and then it goes up.. That goes the same when it comes to health benefits.. Walmart has the same decent wages and benefits as Costco or any big company for that matter..

Costco starts everyone off at 11.00 per/hour. Which is about $3.00 above minimun wage. Ater 90 days you get your first raise to 11.25.

Just a FYI seeing as you think you know everything ;)
 
Wirelessly posted (Mozilla/5.0 (iPhone; U; CPU iPhone OS 4_1 like Mac OS X; en-us) AppleWebKit/532.9 (KHTML, like Gecko) Version/4.0.5 Mobile/8B117 Safari/6531.22.7)

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

Oh well.

I don't blame Costco at all. Apple chooses to sell a hot product in a dump like Walmart and Sams and doesn't give that same hot product to you.

Walmart absolutely sucks. Treats their people like crap. I thought Apple was a social responsible company? Not by favoring the likes of Walmart.
 
I wish Costco sold apple computers. I'd feel much safer with my purchase than having to deal with Apple direct.

I love their return policies, takes the buyers remorse out of those expensive purchases.

Of course Apple doesn't want to play with them. Imagine all those imac's with yellow tint which would have been returned. Where would Apple have stored them all ? :)

How about the size of the warehouse to hold the returned RROD XBoxes?
 
You have no clue what you talking about.. No matter where you work you always start at min wage for the first 90 days and then it goes up.. That goes the same when it comes to health benefits.. Walmart has the same decent wages and benefits as Costco or any big company for that matter..

You are the clueless one Slim.

Walmart only works full time employees 32 hours a week.

Walmart makes benefits available for purchase to full time associates, but not many can afford to pay anything for benefits on their minimum wage salary.

Nearly 50% of Walmart employees kids get public assistance.

In spite of Walmart having dramatically lower wages, Costco's productivity is higher.

Walmart does not really have lower prices. Their prices go up after the competition (mom and pop stores) goes out of business.

Walmart almost always gets tax abatements, so they don't pay their fair share of taxes.

If you're a small producer and won't sell to Walmart, they'll copy your design and sell it anyway. Good luck finding the money to finance your multiyear lawsuit against them.


In summary, Walmart has shipped more US jobs overseas that anyone else.
Costco pays more, provides benefits, and treats everybody much better than Walmart ever will.

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.

Costco really does stand behind the stuff they sell. Walmart - well I took some stuff back once and it took forever (where do they find cashiers so slow?), I needed the receipt, and I got the feeling they only took it back cause it was unopened. I have not shopped there or taken anything back since. Not worth it.
 
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.

I sell for a company with a 180 day satisfaction guarantee or 100% of your money back. For years their return rate has been 1% or less. It's really a great incentive for many customers.

Another story: I believe it was Lands End or LL Bean that opened outlets in Europe a number of years ago. Anyway, they offered a 100% money back guarantee. German courts couldn't believe any business would offer such terms and barred them from advertising such a guarantee in Germany.

So the company re-wrote their advertising to say:
"A guarantee so good it was banned in Germany!"
 
Costco really does stand behind the stuff they sell. Walmart - well I took some stuff back once and it took forever (where do they find cashiers so slow?), I needed the receipt, and I got the feeling they only took it back cause it was unopened. I have not shopped there or taken anything back since. Not worth it.

I try to avoid going to walmart if possible. They always feel dirty on the inside. Customer service is none not there.
There was one walmart I went to a few years ago when I lived in Dallas that I went there to get some odds and ends that I needed and I figure Walmart would have them. I also wanted to get the DVD Cars. Well found it at at walmart behind a lock case but I could not find an employee to come open it for me and I felt like they though I was a theaf. I said screw it bought my other items and drove home and stop at Fry's which was across the street from where I lived. I got my DVD and Fry's got my money.

I want to say it has been over 2 years since I set foot in a walmart and I am proud of that fact. Target is a much nicer store.
 
You are the clueless one Slim.

Walmart only works full time employees 32 hours a week.

Walmart makes benefits available for purchase to full time associates, but not many can afford to pay anything for benefits on their minimum wage salary.

Nearly 50% of Walmart employees kids get public assistance.

In spite of Walmart having dramatically lower wages, Costco's productivity is higher.

Walmart does not really have lower prices. Their prices go up after the competition (mom and pop stores) goes out of business.

Walmart almost always gets tax abatements, so they don't pay their fair share of taxes.

If you're a small producer and won't sell to Walmart, they'll copy your design and sell it anyway. Good luck finding the money to finance your multiyear lawsuit against them.


In summary, Walmart has shipped more US jobs overseas that anyone else.
Costco pays more, provides benefits, and treats everybody much better than Walmart ever will.

Really because that happens with most retails and other big companies.. Walmart is not the only one that does it... So move on with your basting only Walmart BS...

Costco starts everyone off at 11.00 per/hour. Which is about $3.00 above minimun wage. Ater 90 days you get your first raise to 11.25.

Just a FYI seeing as you think you know everything ;)

Again I know people starting at Walmart making $2 or $3 over the min wage too and get over 32 hours a week... See if people would stop basting Walmart and talk to people that work there they meant learn some thing..

P.S. Not all Walmart Stores are the same just like any another Store including Apple Stores...
 
Really because that happens with most retails and other big companies.. Walmart is not the only one that does it... So move on with your basting only Walmart BS...

No Walmart is not the only one but they are one of the worse offenders.

Go Google some of the crap about Walmart.
For example Walmart wages are below average of other retail companies in the same market. They offer crummier benfits. They have higher part time to full time ratio compared to other big stories. They are very strike and try to pay their employees as little as possible.
 
It's not really Costco's loss, and it actually could be a very good business move.

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.

It's a very common hardball negotiation tactic used by big outlets to pit one manufacturer against their prime competitor.

It rarely becomes public knowledge like this. Who's to know if Apple and the Costco buyer couldn't come to a deal each could accept, or if Apple refused to sell to them for sh*ts and giggles, but I'd put my money on the former.

Go Google some of the crap about Walmart.
For example Walmart wages are below average of other retail companies in the same market. They offer crummier benfits. They have higher part time to full time ratio compared to other big stories. They are very strike and try to pay their employees as little as possible.

"It must be true because I read it on the internet." :D
 
The Costco bashing here is amazing. They're a straightforward, ethical group that sells good stuff at decent prices. It's disengenuous to lump it in with Wal-Mart etc; they treat their employees far better, and unlike Wally World, you can't just indiscriminately point at any item in the store and assume it's cheap Chinese crap.

Interestingly, Costco has VERY high sales figures with high-income segments of the population--as the old saying goes, it's hard to get rich by spending money. There are a LOT of people who buy their $20 house-brand jeans /sneakers who can afford much fancier stuff. Same goes for their house-label foods (Mariani used to rebrand their dried fruit for Costco, etc etc) Seriously, though, Costco is a great deal for may things, and is a great organization to boot. Anyone else remember when they sold Steinway pianos back in the 90s? (Very short-term, then Steinway decided it wasn't good for their brand image.)

If Costco is dumping Apple, I'm inclined to think it's justified, and not just a capricious decision. And to the fanboys hoping this will be disastrous for Costco--dream on.
 
This is too bad; Costco has a large pool of customers that don't necessarily overlap with other retailers.
 
There are a LOT of people who buy their $20 house-brand jeans /sneakers who can afford much fancier stuff.

I believe their store-brand jeans are closer to $10.

(And they come in this unusually bright shade of blue denim that I've never seen any other jeans come in...)
 
My problem with Costco is that for whatever reason, they don't want to sell iPods via Costco.com. You have to go to the store to get one. My local Costco doesn't even have the 64GB Touch. I gave up waiting and ordered form Amazon instead. I find Costco to not have such a good deal on electronics anymore, other than the 90-day return window. They stock old stuff, new stuff takes a long time to arrive, and the discounts aren't that great either. Amazon prime seems to be a better value for me. I only buy non-electronic stuff at Costco now.
 
The Costco bashing here is amazing. They're a straightforward, ethical group that sells good stuff at decent prices. It's disengenuous to lump it in with Wal-Mart etc; they treat their employees far better, and unlike Wally World, you can't just indiscriminately point at any item in the store and assume it's cheap Chinese crap.

Interestingly, Costco has VERY high sales figures with high-income segments of the population--as the old saying goes, it's hard to get rich by spending money. There are a LOT of people who buy their $20 house-brand jeans /sneakers who can afford much fancier stuff. Same goes for their house-label foods (Mariani used to rebrand their dried fruit for Costco, etc etc) Seriously, though, Costco is a great deal for may things, and is a great organization to boot. Anyone else remember when they sold Steinway pianos back in the 90s? (Very short-term, then Steinway decided it wasn't good for their brand image.)

If Costco is dumping Apple, I'm inclined to think it's justified, and not just a capricious decision. And to the fanboys hoping this will be disastrous for Costco--dream on.

Nice post. The Costco hating is pretty ridiculous. Over an iPod????
 
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