Many people shop at Costco because they believe buying in bulk is cheaper and a great way to save money.
It sounds logical, right? More product for less money!
But in reality, this practice can often cost you more in the long run. Here’s why:

1. Not Everything at Costco Is a Bargain

Costco has great deals on certain items, but not all. Some products are priced higher per unit than what you’d pay at a regular grocery store (especially during a sale). If you’re not comparing prices, you might be paying more without realizing it. And the thought of getting a deal on it makes you purchase even more items, compounding the problem.

2. The Illusion of Value Through Oversized Packaging

Ever notice how big the boxes are compared to the actual product size? Costco uses large, eye-catching packaging to make you feel like you’re getting a huge quantity and an amazing deal. Even when the actual amount inside isn’t much more than a standard size. This encourages more spending on your part.

3. More in the House = More Consumption

When your pantry is overflowing you tend to be less careful. You might make bigger portions, extra side dishes, give the kids extra snacks, or use more of a product simply because “there’s plenty more in the pantry.” This extra consumption eats away at any savings.

4. Waste from Expired or Unused Products

Buying in bulk means you’re committing to a lot of one item.
If it expires before you finish it or your needs just change, you end up throwing items (money) away.

5. The Hidden Cost of Lost Items

Bulk items take up space. If you don’t have a dedicated storage area, things get shoved into closets or the back of shelves. Before long, you forget what you have and buy duplicates. Even with a dedicated 'costco closet' items get shoved to the back and it's hard to keep track of what's actually stored in there. Just another way bulk shopping can backfire.

Other Objections

Okay, but what if the reason to buy in bulk is so that I know the product is there when I need it?
1. As mentioned above, there's a good chance when you need it you can't find it and you'll grab it from the grocery
2. Most of us are at the grocery couple times a week, plus we live in a time when shopping is super quick and easy. The chances of getting stuck without a desired item are as slim as they've ever been.
3. What will happen if at some point in time you actually get stuck without the item you need. Is that really so bad that it's worth busting your budget the rest of the year just in case it might happen?