If you're looking to join Costco or Sam's Club, it may be hard to know which one has better deals and benefits, especially if you're trying to save more money shopping.
Even though both warehouse retailers look similar on paper, Costco comes out ahead as the more popular of the two. Here are some reasons why.
Amazon Prime members: get a $150 Amazon Gift Card!
If you're an Amazon Prime member, apply for the Prime Visa(Rates and fees) credit card here and you can get a $150 Amazon Gift Card instantly loaded into your Amazon account's Gift Card Balance upon approval (get an instant decision within 15 seconds).1 <p class="">If you respond via the Internet, the majority of applications are responded to in less than 15 seconds. Your actual response time may vary depending on the Internet connection and volume of submitted requests. We may not be able to give you an immediate answer in every instance.</p>
There is no extra work or spending requirement and no annual fee!
The Prime Visa credit card also lets you earn unlimited 5% back at Amazon.com, Amazon Fresh, Whole Foods Market, and on Chase Travel purchases with an eligible Prime membership, unlimited 2% back at gas stations, restaurants, and on local transit and commuting (including rideshare), and unlimited 1% on all other purchases.
If you spend a good amount on Amazon this card could be worth $100s in cash back every year. Don't delay — apply today!
Good or excellent credit (typically 670 or higher) is recommended.
Click here to apply for the Prime Visa credit card today and get an instant decision in 15 seconds
Better quality
Both stores offer quality goods, but Costco has the edge over Sam's Club in this category.
Nothing exemplifies Costco's superior quality more than its bakery and produce sections. The quality of Costco's fresh produce is often heralded, as is the taste of its baked goods, such as cakes and cookies.
In-store brands
Costco offers its Kirkland Signature brand for many items in its stores, from alcohol to paper goods. You may be surprised to find that some of the items are just as good or better than their name-brand counterparts.
Sam's Club also has an in-store brand called Member's Mark, but it doesn't have the same reputation for quality as the Kirkland brand.
Return policy
Both Costco and Sam's Club offer generous return policies, but Costco's policy is the most lenient. The store even lets you return opened food products.
Did you buy a new flavor of chip in a crunch, then find the taste unsatisfying? Your Costco could let you return it for a full refund.
Employee benefits
Costco is known for treating its employees well, and this includes good pay and benefits, which may be important to some members.
Indeed.com found that employees prefer Costco, ranking them above Sam's Club in compensation, benefits, job security, management, and culture.
Happy employees can mean happy customers and a good shopping experience at Costco.
Better selection of everyday items
Check the aisles of your local Costco and compare them to Sam's Club. You may find that your local Costco has a better selection of the items you use every day — particularly condiments, frozen foods, and cereals.
Travel services
Some members may not know that both Costco and Sam's Club offer deals on vacations and other travel options for their members.
But Costco's selection of destinations — particularly international trips — exceeds what Sam's Club provides its members.
Food court
Both Costco and Sam's Club have food courts, but the big test may be the quality of the hot dogs each offer in their cafe.
Although Sam's Club currently charges less than Costco for its hot-dog-and-a-drink combo, Costco's famous $1.50 frank and soft drink is hard to beat in terms of value.
Different brands
Costco often offers a wider selection of brands compared to Sam's Club, giving you more shopping options.
Compare the two online or in-person to see if your local Costco offers a better section of the brands you prefer.
Not connected to Walmart
Sam's Club is owned by Walmart, and some shoppers find that an automatic turn-off when deciding which retailer to choose.
These shoppers may not like Walmart's effect on mom-and-pop stores in smaller towns across the U.S. — or their lower employee reviews on Indeed.
- 18-29
- 30-39
- 40-49
- 50-59
- 60-69
- 70-79
- 80+
Seasonal options
One of the biggest money-makers for warehouse retailers is the different seasonal options. These include holiday decorations, outdoor furniture for the spring, and beach summer toys.
Costco often offers a wider selection of seasonal options with better quality. That means the outdoor items you buy may last longer.
Better shopping experience
Costco shoppers find that their local stores are more open with higher ceilings and better lighting compared to Sam's Club stores. There is also more space for navigating aisles and finding additional items.
In general, Sam's Clubs tend to be a bit smaller, with an average of 134,000 square feet. Costco's stores, meanwhile, are an average of 146,000 square feet.
Credit cards
Costco and Sam's Club offer some of the best credit cards for groceries, but it's a good idea to compare the benefits before deciding which membership you want to invest in.
Costco tends to offer more opportunities to earn cash back to its customers, so check both to see which is better for your budget.
Locations
At first glance, it appears these stores are dead, even when it comes to locations.
Both stores have nearly 600 locations in the United States; add in their international locations, and both retailers boast about 800 stores.
However, Costco has stores in 14 countries, including Canada, France, Taiwan, and Australia. Sam's Club only operates in four countries (the U.S., Mexico, Brazil, and China). You may have better luck with a Costco membership overseas.
Home improvement
If you're looking to upgrade the flooring in your home or remodel a bathroom, Costco (through outside companies) often offers better options at more affordable prices.
Costco also offers a wide range of installation services. Their partners install flooring, roofing, solar panels, generators, and garage doors. Some of these purchases can earn you great Costco perks, like store credit.
Bottom line
If you're trying to choose between Costco and Sam's Club, factor in different options that may be best for your particular needs.
You may also want to check with your local warehouse retailer to see if they offer trial memberships so you can get a better feel for each store before you make your decision.
If you do choose Costco, be a savvy shopper by taking the best Costco credit cards with you on your next shopping trip.
Earn Easy Cash Rewards at Amazon.com
Benefits Card Details on Chase’s secure website Intro Offer
Get a $150 Amazon Gift Card instantly upon approval exclusively for Prime members
Annual Fee $0 Why we like it
If you're a loyal Amazon Prime member and you love getting cash back rewards on your purchases, the Prime Visa is a fantastic option. You can earn big rewards with this card, and it comes with some other valuable perks as well.
With the Prime Visa card, you get a $150 Amazon Gift Card instantly upon approval exclusively for Prime members. Plus, cardmembers earn a whopping
unlimited 5% back at Amazon.com, Amazon Fresh, Whole Foods Market, and on Chase Travel purchases with an eligible Prime membership, unlimited 2% back at gas stations, restaurants, and on local transit and commuting (including rideshare), and unlimited 1% on all other purchases
.
The Prime Visa also comes with some great travel protections that you rarely see with a no-annual-fee card. It offers lost luggage reimbursement, baggage delay insurance, travel accident insurance, and travel and emergency assistance.
FinanceBuzz writers and editors score cards based on a number of objective features as well as our expert editorial assessment.
Our partners do not influence how we rate products.
Subscribe Today
Learn how to make an extra $200
Get vetted side hustles and proven ways to earn extra cash sent to your inbox.