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Are You Overpaying at Costco? Discover the Shocking Price Differences Between In-Store, Same-Day, and Instacart Shopping!

Are You Overpaying at Costco? Discover the Shocking Price Differences Between In-Store, Same-Day, and Instacart Shopping!

Unveiling the Best Ways to Shop at Costco: In-Store, Same-Day Delivery, or Instacart?

Previously, I’ve explored different methods for shopping at Costco without needing a membership. A standout option is leveraging the services of Instacart. Costco has seriously embraced this partnership, dedicating a subdomain on their website to "Costco Same-Day," clearly branded with the phrase “Powered by Instacart.” Consequently, most of their food items have moved off the primary Costco.com site, which now emphasizes high-margin goods like electronics and furniture.

My Quest to Evaluate Costco Shopping Options

Dissuaded by the typical in-store Costco experience, I explored ways to save on Instacart purchases and considered whether switching solely to Instacart or Costco Same-Day could be viable. Could I even cancel my Costco membership? To find out, I conducted a price comparison study: Costco Same-Day vs. Costco Warehouse vs. Instacart. Here’s what I discovered.

Do You Need a Costco Membership to Shop at Costco Same-Day (Powered by Instacart)?

Yes, a Costco membership is essential for shopping via Costco Same-Day (Powered by Instacart). According to their official statement:

“Costco Same-Day Delivery is only offered to members. If you’re not a member, you can shop directly from Instacart.com, but you’ll pay a higher price than members shopping on Costco Same-Day Delivery.”

Additionally, it’s important to note that Costco Same-Day purchases come at a price premium compared to in-store shopping. For even better deals, link your Instacart+ membership to your Costco Same-Day account and save up to 7% on your orders.

Do You Need a Costco Membership to Shop for Costco Items on Instacart?

No, you don’t need a Costco membership to shop for Costco items on Instacart. However, non-members will face steeper prices compared to in-store or Costco Same-Day purchases. Linking your Costco membership to your Instacart account reduces this price markup.

Comparing Membership Costs: Costco vs. Instacart

Costco Membership Tiers:

  • Gold Star: $60/year
  • Executive: $120/year (includes a 2% annual reward)

For deeper insight, I’ve evaluated the break-even point for Costco executive membership.

Instacart+ Membership Plans:

  • Monthly: $9.99/month
  • Annual: $99.99/year ($8.33/month)

Instacart+ members enjoy free delivery for orders over $35 and lower service fees. My experience showed an average saving of $7.68 per order with Instacart+.

Pricing Breakdown: Costco In-Store vs. Costco Same-Day vs. Instacart

Main Findings:

  1. Costco Same-Day has a 17% markup over in-store prices if no Instacart+ membership is linked.
  2. With Instacart+ linked, the markup drops to around 9.3%.
  3. Similarly, Costco items on Instacart are marked up by 9.3% if a Costco membership is linked.
  4. Without a linked membership, Instacart prices for Costco items average a 23.58% markup.
  5. Remember to individually link your Instacart+ to Costco Same-Day and your Costco membership to Instacart for discounted pricing.

Promotional Discounts and Gift Cards

Costco frequently offers attractive promotions, like $20 off $50 purchases. I’ve capitalized on these deals multiple times through both platforms. Such promotions significantly offset price markups.

You can also find discounted Instacart gift cards from retailers like Costco itself. For instance, a 20% discount on Instacart gift cards further sweetens the deal.

Conclusions from My Analysis

Here are my key takeaways that will shape my future Costco shopping habits:

1. Five Pricing Tiers for Costco Items:

  • Lowest: Costco in-store
  • 9.3% Markup: Costco Same-Day with Instacart+ linked or Instacart with both memberships linked
  • 17% Markup: Costco Same-Day without Instacart+ linked
  • 20-26% Markup: Instacart without a linked Costco membership
  • Variable: Limited options on Costco.com

2. Costco.com Isn’t Ideal for Food Purchases:

With limited availability and higher shipping costs, Costco.com isn’t a practical choice for food shopping unless there are no other options.

3. Instacart+ Membership Offers Good Value:

Frequent shoppers should consider Instacart+, particularly those who also shop at other retailers.

4. Costco Membership Remains Essential:

The combination of saved costs and access to exclusive deals makes maintaining a Costco membership worthwhile.

5. Always Link Your Memberships:

For maximum savings, keep your Costco membership linked with both Instacart and Costco Same-Day accounts.

6. Leverage Promotions:

Utilize $20 off $50 deals for additional savings.

7. Stock Up on Discounted Gift Cards:

Keep an eye out for discounted gift cards to stretch your budget further.

8. Non-Membership Shopping Still Has Value:

Strategic use of promotions and discounted gift cards can make Instacart worthwhile even without a Costco membership.

9. Downsides of Skipping In-Store Shopping:

Some perks, like discounted gasoline and food court offerings, aren’t available online. Additionally, prescriptions and certain alcohol beverages are best purchased in-store.

Final Summary

For Costco members, linking Instacart+ and Costco memberships results in a 9.3% price increase over in-store prices. However, with promotional discounts and gift card savings, these platforms can offer flexibility and convenience without significantly higher costs. I’ve decided to integrate Instacart and Costco Same-Day into my routine, balancing between in-store benefits and online convenience based on situational needs.

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