Financial expert, David Ramsey, is warning Costco customers to avoid something that is actually common sense. The advice is simple, don’t buy things that you do not need. For some people with impulse control, this is easier said them done.
Costco is a popular store that features a unique design and lots of tempting samples, all with the idea of getting customers to spend more money. Costco seemingly offers everything you need, all in one place. You can purchase groceries, clothing, electronics, and more all in one convenient location.
The store operates on a membership basis. The cost of a membership to Costco of $120 annually. The prices of the items. The company is known for offering quality products at low prices.
Costco also buys things in bulk at a low price and sells them slightly height to customers, similar to Sam’s Club. Essentially, Costco is a membership warehouse club. The company has locations throughout the world and is loved by many.
The company was founded in 1976 but was not originally called Costco. What is today known as Costco first opened with the name Price Club. Initially, the company was only open to small business owners and a very small group of non-business owners.
Costco, from the very start to three years later, grew from absolutely nothing to three billion dollars in sales. It was the first ever company to achieve such record growth. Over the years, the company has continued to grow and has become a well-known and loved shopping destination.
Dave Ramsey, best known for the Ramsey Method, has urged shoppers not to fall into the Costco trap. His advice seems logical and common sense, but apparently, people need to be told to stick to a simple budget and avoid buying things that they do not need. According to Ramsey, people who are members of Costco feel a great need to make the most out of the membership and often overspend while shopping at the store.
When done correctly and with a budget in mind, shopping at Costco can be both time-saving and cost-effective. Customers are going wrong in a number of ways when it comes to sticking to a budget while shopping at Costco. People are overbuying, impulse buying, and flat-out purchasing things that they do not need.
Costco is known for handing out free samples, tempting and enticing shoppers to buy things that are not on their shopping list. When you go down a few aisles, you may be offered multiple samples and end up with five extra items in your cart, all while browsing just a few aisles. These seemingly harmless purchases add up and can quickly send your budget off course.
The financial expert is urging folks to proceed with caution when shopping at Costco. Make a list and stick to it, it is really that simple. Before you go to do your shopping at Costco, check online what they have on sale and plan accordingly.
Making a shopping list before heading to a giant store like Costco can help you focus and stay on the right financial track. It’s essential to adhere to the list and make it before you go. When at home, you can see what you already have on hand and with the combination of the sale items, you can come up with a solid shopping game plan.