Why are prices in stores like Costco and Sam’s Club much cheaper than your average grocery store?

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Why are prices in stores like Costco and Sam’s Club much cheaper than your average grocery store?

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Anonymous 0 Comments

They have a very aggressive buying team. If a company wants to sell product in Costco then they need to lose our on some profit. Costco gets away with it because they move a lot of product. Also, except for the core items (which is mostly Kirkland branded) they tend to dump items quickly if they do not sell well.

They also feature products with in-store demos or even company reps. During these “roadshows” they tend to move a lot of product.

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