how is it possible for them to stay in business?
How is it possible for them to stay in business?
People come in for the cheap chicken, buy everything else there that makes them money
All grocers do this
I cannot get out of Costco for under $150, usually more. Go in for the cheap chicken, milk and water and then.....
BUY A WATER FILTER
This happens to me everywhere but Market Basket. So I tend to only go there.
The beauty of Market Basket is they've organized it for the employees, not the consumer. So you have to seek out everything and don't get tricked into impulse buys.
They're membership-based. You don't even need to buy anything and they'll still make money off you. Also this
This is it right here. It's also why small business can not compete. Large chains like walmart, target, and costco intentionally lose money on certain high demand goods because they'll make it back witg sales of other thinks. Come in for cheap chicken, more then make up for it with all the other things purchased.
Loss leader to get you in the store and overpay for everything else. Also I don't think they taste as good as Smart N Final rotisserie chicken. I think they lose money on the food court items too like the hotdogs and pizza.
This is Econ 101 dude...
what the hell is market basket
Costco is based. Their jeans are so cheap and comfy.
Costco makes most money on membership fees. That and paid for end caps and focuses, companies pay them directly to endcap their merch.
endcapping is illegal
Costco doesn't do loss leaders. If anything it's break even, but as a matter of policy will never run loss leaders.
Oh to be this naive.
what? it is
market chain in the north east.
Just because something is illegal, doesn't mean it isn't done.
costco only makes 17% profit on items i believe.
How does a Costco chicken compare to making your own? Cost-wise.
Yes it's illegal, if you get caught doing it :^)
MEAT IS MURDER
Lol the very thought is retarded. There has to be end caps or you couldn't even navigate the store
I go to costco once every few months for cheap scotch. I never walk out with anything else.
you're saying you couldn't navigate a grocery store if there were no endcaps? how mentally disabled are you?
14% maximum mark up
They're roasting these week old birds in the same factory? That's disgusting
Make a list and stick to it you retard. How can you piss away your money on impulse buys, are you some sort of nigger?
who /chickenbake/ here?
Do you have a rotisserie oven?
too bready
Kek. Aisles that reach wall to wall with no ends. Hmm
How much do they sell the chicken for?
Over here I go into a supermarket and buy a whole roasted chicken for about 6.5 Euros (about $7.5)
??
why do you need an endcap to stop an aisle?
It's pretty cheap because they use birds they were gonna have to throw away in a day or 2 anyway
What's a million chicken factory?
Usually 4.99 a bird, now by weight in some regions, which ends up cheaper most of the time
Costco is different, they profit on $100/year memberships and sell everything at just enough cost to keep the lights on. They make about $70+ billion a year in revenue
Yes but costco is the king of loss leaders. They sell almost everything at 0% margin and make all their profits on membership
Every time I enter a Costco (which is as rarely as possible), I feel like I've suddenly entered some kind of bizarre fat-camp in reverse - where people go to become fat. They waddle down the aisles loading their trolleys with heavily processed, packaged foods, in quantities far too large for even families to consume.
Costco gets rich off these fat fucks by making them gorge themselves to death through oversupply.
They just need to get the lardos through the door (such as with "cheap chicken") and the rest takes care of itself.
Used to, but they have become both more watery and more bready. No good anymore. Sad.
...
Probably get a lot of suckers signing up for membership but not really using it. This one crackhead keeps trying to get me to sign up for their Executive shit even tho I barely shop much there and just use their gas which pays for my membership compared to pouring outside of Costco.
Why do people consider it as "losing money on chicken" rather than "advertising expenses"? perspective
What do you mean endcapping is illegal, you mean the displays at the end of the aisles are illegal down in the states?
Because they buy the chicken for X and sell it for less than X. Every product or expense has its own margin, or in the case of advertising, ROI. The type of accounting you proposed is how companies idea go bankrupt
>cheap water
They sell water for less than the $0.01 per gallon you get from the faucet?
Based supermarket chain in mass and parts of NH and ME. QT Latina's work there.
Again.... Costco does NOT engage in loss leading practices. Corporate policy.
Just a hottdog user here, sorry
He doesn't know what he means. Displays on end caps aren't illegal neither are end caps.
>t. poorfag
they're illegal. I was a manager at a major grocery store and I forbid endcap displays
How much does a grilled chicken cost there?
Didn’t they convert the hot dogs to veggie dogs recently? A fucking travesty if they did, I still don’t get why Costco is pushing the veganfag shit now, must have someone on their board forcing this crap through.
Rotisserie chicken is 4.99
Nope just the Polish dog got pulled. Still 1.50 for hot dog and drink. They push it because it sells. The board all sits and eats hotdogs and shit when they walk the stores
why did you need to forbid them if they're illegal? did you make sure to let the employees know not to murder eachother?
8.99 in syrup dollars
Low overhead helps. My local isn't a very pretty store, bare concrete and coreslab walls just painted over.
The grocery store in my neighborhood has finished floors, pretty wood work, and tile in some areas.
Plus, restocking a pallet of pickles takes 3 minutes versus hand stocking all the pretty shelves.
That's not that cheap.
why are business headlines impossible to interpret? WTF DOES THAT MEAN?!?!
how much do you pay in toothpaste land?
BASED
If you look at costco's annual profit figures you will find their total annual Is pretty close to their membership fee take. This means they are, on the whole, running their pricing at a break even (i.e. just enough avg markup to cover operational expenses) and the membership is pure profit. That is how they stay in business. I have taken to splitting my grocery shopping between Costco and aldi. Aldi beats Costco on a lot of things actually, but there are a few staple items at costco that just can't be beat.
As far as the economics of the membership go. That depends on your needs. It wouldn't be worth it for me alone, but my membership is shared with my folks since back when I was living at home. Costco claims to have no "family" membership buy when I was a kid and my folks got a membership they gave us multiple cards. So my dad has one and I have one. Even though we dont live in the same state. We even alternate who pays for the membership. Since we are basically running 2 familys on one executive membership we easily get enough it member cash back to pay for the membership. So basically free costco.
If everyone was as careful as I with what they buy at costco they would not stay in business. But I get how it works.
>go to costco alone
>spent 50 bucks on products that would cost 70 anywhere else
>go to costco with GF
>spend 200 dollars on products that would cost 220 dollars anywhere else.
They are changing it to a by weight deal in most regions. Brings it down to 3-5 bucks, gives you more choice. Which is absolutely cheap
The economy is fake
except advertising can be a tax write off
They are not illegal. However, your jurisdiction may have different laws or regulations.
It comes out to be like $2.50/lb, which I think comes out to 56 cents per 100g? It's not extremely cheap, but since it's already seasoned and roasted in a flame rotisserie, it's very convenient. You have some for dinner, save the leftovers for lunch the next day, make stock from the bones, so its marginal value is great.
Does that beaner's nametag say God in spanish?
Stuff that can not be beat at costco:
>frozen veggies of all sorts
>cheese
>butter
>cream
>yogurt
>cottage cheese
>bakery items
>booze
>wine
>beer ( on the rare occasion they have beer worth buying)
>bulk fruit
>oil
>frontline if you have a dog
>paper products (shit tickets and paper towels)
>cellophane wrap and other kitchen disposables
>granola and cranberries if you are a fag that eats granola and cranberries
>bacon ( both thin sliced normie style and thick uncured bacon)
>Jeans
>socks
>hot dogs
>bread
>hummus
>olives and pickle
>canned meats like tuna, salmon, spam
>beef jerkey
>fresh beef if you are buying whole primals or prime steaks, not otherwise though
Junk food like chips and candy too, not that anyone should be buying this stuff in bulk.
People need to see value in the membership for anyone to buy it.
I love Costco but hate other shoppers.
>Free samples
Better block everyone with my cart while I wait.
>2 people in front of me in line
Neither has membership or payment ready
>Guy in front of me is buying 6 things
Can I put this on 3 orders?
This is objectively wrong. Their food court cannot possibly be turning a profit on a $1.50 hot dog.
>how is it possible for them to stay in business?
Hillary protects them from bankruptcy
It's not fake, but what most people don't realize is that elite bankers are actually occult Jewish priests that sacrifice children to appease the economy
I heard the hot dog was possibly going to change, good to hear it hasn’t. Almost mistakenly bought the pork carnitas salad until I saw it was made with shitty onions fake meats, stopped right there and left because the hot dog was not on the menu at the time. Hopefully it returns soon to my location.
Wow that image is bullshit. His name was Tyrone Hotdogs. White man trying to steal another achievement of the black man, typical.
Lol it's a hot dog, the cheapest thing in the world. And a drink. Possibly even cheaper
More like the other way around
The chickens are huge too. Much larger than most supermarket roasters.
I did a project for a while where I bought one every week, picked it clean and weighed the cooked cleaned meat and kept records. I ultimately determined that it was cheaper than any source of chicken I could find. I didn't know about aldi back then though, I think they are my new chicken lords.
Once in a while I get frozen yogurt. Like maybe 3 times a year.
They also have a 91% customers loyalty rating which btfo of literally every other grocery store
>This is objectively wrong. Their food court cannot possibly be turning a profit on a $1.50 hot dog.
Don't forget the 20 oz. soda (with refill)
You can beat almost all of that stuff at pretty much any restaurant supply store (I.E. Cash N Carry) and you don't even need a membership.
I was in Costco yesterday and wtf is this shit? I was legitimately happy of this new option until I saw the main ingredient in the "meat"
>And a drink. Possibly even cheaper
Fountain drinks are less expensive than the cups they are served in.
I really miss the brisket with the coleslaw. That shit was delicious.
>why is this vegan food made of non-meat products?! What is this shit?!
Fucking retard. The real crime is calling it "al pastor" when it doesn't even have pineapple
im still not certain there is anything wrong with eating some onions here and there, Jow Forums hasnt shown me any evidence
Yeah but that 1.50 hot dog and drink combo has to pay for the overhead of making at serving it. It's also a giant dog. Find that deal anywhere else if it's so profitable.
To turn a profit in food service you need to keep food costs to under 30 percent of menu price. So if the quarter lb dog, but, soda, and cup cost a total of 45 cents they would make like a dime in profit.
THIS IS WHAT I’M TALKING ABOUT. A fucking travesty. The vegan bubble is going to bust within 2 years, I guess they want to try and cash in before it blows up and fades away
t. Guy who works in the natural products biz who already sees the beginning of the end for basedgoy foods being popular
€5 at a poulterer
They should not be able to call it "Al Pastor" but they can because there are no specific USDA regulations for that term.
TVP is a byproduct from the process of making basedbean oil and is essentially the protein and fiber left over after you extract the oil. Most often this is a chemical process that leaves trace amounts of Hexane in the TVP.
>QT Latina's work there
>chickens are huge too
That's not necessarily good.
>Communist teaches Capitalism to American 1917 (colorized)
Mobilfag, make it happen
disappointing replies to this post. I buy six boxes and stuff them in my garage freezer every time. Those things are god like.
S. O. Y. bean oil
what an absolutely degenerate filter
Ears,tails, and snouts on a roll is not expensive. A fountain soft drink is around 3 cents for the syrup and 2 cents for the cup.