Costco vs. Traditional Grocery Stores: Where You’ll Find the Best Deals

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A lot of consumers do their shopping at Costco, the warehouse-style retailer known for offering great bulk deals on everything from groceries to home goods. Not everyone’s family size warrants buying in bulk, but when you do the price comparisons between Costco and regular grocery stores, some products do wind up being cheaper in the long run, if you can store the extra until you’re ready to use it.
However, some grocery stores are also competitive, depending on the product. GOBankingRates compared Costco to some traditional grocery stores to see where you’ll find the best deals on popular grocery items.
Eggs
For a while there, you could barely find eggs on grocery store shelves thanks to record high inflation — and when you did, they were outrageously expensive. This put a real dent in many families’ cooking, not just for breakfast, but baking and other recipes. Now, egg prices have come down, and Costco is leading once again, if you don’t mind buying in bulk.
According to The Kitchn, a 24-pack of Kirkland signature USDA grade AA cage-free large eggs at Costco comes out to under $3 per dozen — $5.99 for 24. This is almost 50 cents less than a dozen at Trader Joe’s and 65 cents cheaper than the same dozen at Aldi.
Milk
Milk is such a staple in people’s lives that the average person drinks 5.75 gallons of dairy per year, according to a U.S. Department of Agriculture (USDA) 2021 report. While overall, Americans drink less milk than they used to, probably due to the availability of many non-dairy milk options, cow’s milk is still a staple in many households.
The Kitchn compared a gallon of whole milk at Costco, Aldi and Trader Joe’s and this time, the winner came up Aldi’s Friendly Farms whole milk. At $3.25 for one gallon, Aldi’s milk was 42 cents cheaper than Costco, and 74 cents cheaper than Trader Joe’s.
Peanut Butter
Most American children grew up eating some form of peanut butter and jelly sandwiches, unless they are allergic to it. Peanut butter is one of the easiest sandwich filling ingredients around — and one that most households keep in stock.
Peanut butter brands and types abound, but The Passionate Penny Pincher blog found that the cheapest variety among stores that include Costco, Aldi’s, Target and Walmart was Aldi’s Peanut Delight at $1.69 for 18 ounces, which breaks out to just 0.09 cents per ounce.
Bread
No matter what kind of bread a family eats — whole grain, French bread, gluten-free bread, bagels, rolls, etc. — most families would consider bread a staple in their diets. The Kitchn compared several different bread products to determine which stores were the cheapest.
Bakery French Bread
Between Costco, Whole Foods and Trader Joe’s, in the French bread department, Costco’s country French bread came up the winner. Of course, this is for two 16-ounce loaves, which cost $5.99 total. Trader Joe’s sells a 16-ounce Sourdough bread for $2.69, and Whole Foods sells a 24-ounce rosemary sourdough bread for $4.99. Even better, Costco bakes their loaves from scratch.
Whole Wheat Sliced Sandwich Bread
When comparison shopping, it’s not surprising that Whole Foods, whose reputation for high prices has earned it the nickname “Whole Paycheck,” rarely has the best prices. When it comes to whole wheat sandwich bread, Costco is the low-price winner once again, for two loaves of Oroweat whole wheat bread. You pay just $5.79 for two 32-ounce loaves here.
In comparison, you can get a loaf of similar bread at Trader Joe’s or Whole Foods for $2.99 for a 24-ounce loaf.
Hot Dog Buns
Who doesn’t love a barbecue, where making a meal is as simple as throwing some meat on an open flame while you kick back and chill? Hot dog buns are surprisingly affordable at Aldi’s — as compared to Costco and even Walmart — where its L’oven Fresh buns, $0.99 for a 12-count package, averages out to just $0.08 per bun, according to The Passionate Penny Pincher blog.
Olive Oil
Many a great meal starts with a couple tablespoons of olive oil in a pan, a truly staple ingredient in any home where cooking is done. While there are varieties of olive oil, from fresh-pressed to extra virgin, generally speaking, Sam’s Club Member’s Mark olive oil — which at $16.48 for 3 liters comes out to just 16 cents per ounce — is a smidge cheaper than similar kinds at Aldi, Costco, Target and Walmart, according to the Passionate Penny Pincher blog.
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