15 Reasons Costco is So Much More Popular Than Sam’s Club (2024)

-

Trying to decide on which warehouse retailer deserves your membership fees? Here are some reasons why more people prefer Costco.

15 Reasons Costco is So Much More Popular Than Sam’s Club (1)

By Jenny Cohen

15 Reasons Costco is So Much More Popular Than Sam’s Club (2)

Edited by Michael Kurko

Updated May 8, 2024

15 Reasons Costco is So Much More Popular Than Sam’s Club (3)Fact checked

This article was subjected to a comprehensive fact-checking process. Our professional fact-checkers verify article information against primary sources, reputable publishers, and experts in the field.

We receive compensation from the products and services mentioned in this story, but the opinions are the author's own. Compensation may impact where offers appear. We have not included all available products or offers. Learn more about how we make money and our editorial policies.

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.

Earn 2% cash rewards at grocery stores and Costco

The Wells Fargo Active Cash® Card(Rates and fees) is a powerful rewards card that allows you to earn unlimited 2% cash rewards on purchases — including on groceries, even at warehouse stores like Costco.

New cardholders can also earn a one-time cash rewards bonus — $200 cash rewards bonus after spending $500 in purchases in the first 3 months!

If you’re looking for a powerful rewards card that offers an extended intro APR period, look no further, the Wells Fargo Active Cash® Card checks that box too!

This card also offers an intro APR of 0% for 15 months from account opening on purchases and qualifying balance transfers (then 20.24%, 25.24%, or 29.99% Variable). Which is great for someone who wants a break from high interest rates, while still earning rewards.

The best part? There's no annual fee.

Click here to apply for the Wells Fargo Active Cash® Card now.

SPONSORED

Better quality

mandritoiu/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (4)

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.

Are you a homeowner? Don't let unexpected home repairs drain your bank account.

In-store brands

scandamerican/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (5)

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

Prostock-studio/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (6)

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.

Stop overpaying when you shop online at Costco

Shopping online has its perks. It's super convenient, but it can be time consuming to find the best deals. Instead of hunting for coupon codes (that don't always work!) and opening tons of browser tabs comparing prices, you can try Capital One Shopping.

Capital One Shopping makes saving money effortless. Just add the browser extension and when you check out, it'll scour the internet for coupon codes to help you save cash. And before you check out at 25+ major retailers, Capital One Shopping will notify you with a friendly pop-up if the item you're buying is available cheaper somewhere else.

Capital One Shopping is free to use and won't show you ads. Add it today and stop overpaying!1

Get Capital One Shopping now

SPONSORED

Employee benefits

trongnguyen/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (7)

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

Tada Images/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (8)

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

Игорь Головнёв/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (9)

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.

Costco Secrets: 7 genius hacks Costco shoppers should know

Food court

Courtesy of Costco 15 Reasons Costco is So Much More Popular Than Sam’s Club (10)

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

Sarah Rypma/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (11)

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

None 15 Reasons Costco is So Much More Popular Than Sam’s Club (12)

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.

Get a protection plan on all your appliances

Did you know if your air conditioner stops working, your homeowner’s insurance won’t cover it? Same with plumbing, electrical issues, appliances, and more.

Whether or not you’re a new homeowner, a home warranty from Choice Home Warranty could pick up the slack where insurance falls short and protect you against surprise expenses. If a covered system in your home breaks, you can call their hotline 24/7 to get it repaired.

For a limited time, you can get your first month free with a Single Payment home warranty plan.

Get a free quote

SPONSORED

Seasonal options

Photographee.eu/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (13)

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

mandritoiu/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (14)

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

ViDi Studio/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (15)

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.

Costco Insider's Guide: 12 little clever ways to get more out of your Costco membership

Locations

dennizn/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (16)

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

Andrei/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (17)

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

denis_vermenko/Adobe 15 Reasons Costco is So Much More Popular Than Sam’s Club (18)

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.

More from FinanceBuzz:

  • 7 things to do if you’re barely scraping by financially.
  • Are you a homeowner? Get a protection plan on all your appliances.
  • 6 genius hacks Costco shoppers should know.
  • Grow Your $$: 11 brilliant ways to build wealth after 40

Lucrative, Flat-Rate Cash Rewards

Wells Fargo Active Cash® Card

5.0

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.

Wells Fargo Active Cash® Card

Apply Now

Rates and fees

Current Offer

$200 cash rewards bonus after spending $500 in purchases in the first 3 months

Annual Fee

$0

Rewards Rate

Earn 2% cash rewards on purchases

Benefits and Drawbacks

Benefits

  • $200 cash rewards bonus after spending $500 in purchases in the first 3 months
  • Earn unlimited 2% cash rewards on purchases
  • Intro APR on purchases and qualifying balance transfers
  • $0 annual fee

Drawbacks

  • Has foreign transaction fee
  • No bonus categories

Card Details

  • Select “Apply Now” to take advantage of this specific offer and learn more about product features, terms and conditions.
  • Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months.
  • Earn unlimited 2% cash rewards on purchases.
  • 0% intro APR for 15 months from account opening on purchases and qualifying balance transfers. 20.24%, 25.24%, or 29.99% Variable APR thereafter; balance transfers made within 120 days qualify for the intro rate and fee of 3% then a BT fee of up to 5%, min: $5.
  • $0 annual fee.
  • No categories to track or remember and cash rewards don’t expire as long as your account remains open.
  • Find tickets to top sports and entertainment events, book travel, make dinner reservations and more with your complimentary 24/7 Visa Signature® Concierge.
  • Up to $600 of cell phone protection against damage or theft. Subject to a $25 deductible.

15 Reasons Costco is So Much More Popular Than Sam’s Club (2024)

References

Top Articles
Latest Posts
Article information

Author: Arline Emard IV

Last Updated:

Views: 5969

Rating: 4.1 / 5 (52 voted)

Reviews: 83% of readers found this page helpful

Author information

Name: Arline Emard IV

Birthday: 1996-07-10

Address: 8912 Hintz Shore, West Louie, AZ 69363-0747

Phone: +13454700762376

Job: Administration Technician

Hobby: Paintball, Horseback riding, Cycling, Running, Macrame, Playing musical instruments, Soapmaking

Introduction: My name is Arline Emard IV, I am a cheerful, gorgeous, colorful, joyous, excited, super, inquisitive person who loves writing and wants to share my knowledge and understanding with you.