Move Over, Whole Foods: Costco Is the New King of Organic Groceries

[Omaha Steve]

The membership-based grocery chain has been leading the surge in big box going all-natural.



(Photo: Flickr)


http://www.takepart.com/article/2015/05/29/americas-new-leader-organics-might-not-be-who-you-think

May 29, 2015 By Josh Scherer

Assistant Editor Josh Scherer has written for Epicurious, Thrillist, and Los Angeles magazine. He is constantly covered in corn chip crumbs.


Organic produce and $1.50 hot dogs: That’s what Costco does.

According to an analysis released Wednesday by financial firm BMO Capital Markets, the free-sample-slinging grocery chain is projected to sell just over $4 billion in organic products this year, edging out $3.6 billion by Whole Foods to take the national lead. To be fair, Costco is the second-biggest retailer in America overall—Walmart is the perennial champion there—so its percentage of organic to nonorganic foods is likely much lower than Whole Foods’. But volume and product diversity are just some of the perks that come with each store being the size of an airplane hangar.

Still, Costco didn’t conquer the organic market accidentally. Expanding its offerings has been part of a calculated effort to capture younger consumers and lure them away from other retailers. The membership-based chain has increased its organic sales by about $1 billion in just six months, and it plans to push even harder.

FULL story at link.

[Warpy]

3. The membership fee sucks

but I figure I just about break even on it every year.

I find that I don't shop so much for cost breaks, except at the pharmacy, I shop more for many of their products, superior to what I find elsewhere. I do concentrate on large quantity products I can successfully freeze and I love their frozen fish fillets and steaks.

The dried mango doesn't hurt, either.

[greytdemocrat]

7. As do we.

And their $1.50 hot dog & soda are great!!!

Cheap date for the wife and I.

[Warpy]

11. Considering it's the only place in town

that sells edible fish, I do, too. Still, as far as cash outlay goes, I'm not saving much more than the membership costs. It does allow me to upgrade things like electronic gadgets for the same price I'd pay for less fancy stuff in other stores and often online.

There's a good reason I keep coughing up the membership fee, although it lapsed when I was poor enough to live on rice and beans.

[JDPriestly]

28. We are just two people. Seems high for no more groceries than we buy.

But for my children it is great.

[Warpy]

13. Dunno, I buy that sort of thing at either Sprouts or the international grocery.

WF is out of my way compared to both of those places.

[giftedgirl77]

32. The dried mangos are my favorite, I buy 4 bags at a time..

2 bags for my house & 2 bags for my boyfriend's house as I tend to split my time between the two. I hide one of the bags at my house in my bedroom because of my teenage boys, if I don't they'll eat them all in one sitting.

[goldent]

38. I don't like the idea of a membership fee to shop at a store

Many years ago I did that a few times with other stores, but no more. It seems to me to be another way to get people to buy more than they intend to. The idea of a "buyers club" really turns me off now.

[Rhiannon12866]

25. I misread your post

I thought you typed "librarians..."

[Rhiannon12866]

27. LOL!

Just a heads up... And I really did read your post that way...

[Omaha Steve]

6. Whole Foods workers that want to unionize get fired or the holiday pay fight or....

Costco has many unionized employees and pays above local area prevailing pay.

Then there is the CEO's past: http://www.nbcnews.com/id/19718742/ns/business-us_business/t/whole-foods-ceos-anonymous-online-life/#.VW_Ikc9Viko

Welcome to the DU.

[mrmpa]

9. the membership fee is

either $55 or $110. The $110 gives you back 20% back on what you paid during the year, with a minimum of $55 back to you. Yep, the membership fee does hurt. However it's where I and my 85 year old mother do the majority of our shopping. Often my mom goes with one of my brothers & we do split some of our purchases with him.

I found their pharmacy prices to be outstandingly low. Their meat(s) are excellent as is their bakery. They send a booklet of coupons every month & we shop those specials according to our needs.

Also if you're not a member, you can stop at the service desk ask them if you can have a look around the store as you are thinking of becoming a member. That's what I did prior to getting my membership.

[mrmpa]

18. You can wander..........

just stop at the service desk & tell them that's what you want to do.

[sabrina 1]

24. I have no problem with the fee at Costco's because for one thing, they pay their workers a decent

salary, with benefits, so unlike with Walmart, our tax dollars don't have to go to pay for the HC costs or Welfare costs of Walmart's disgracefully underpaid workers.

Not to mention that you more than get your money's worth at Costco.

As for Whole Foods, we don't have one in our area, but I do love Bragg's Aminos which is hard to find around here. We finally found it at a local community health food store.

Can't really comment on Whole Foods as I know little about them.

[cui bono]

30. When I've been to Whole Foods I could hardly find any organic foods.

They lost me before they had me.

If I needed to I might go back to one, but I have other options, like the cheapest one, Trader Joe's. For my greens I go elsewhere.

[giftedgirl77]

33. I live off of my VA disability & SSDI & am a single mom of 2

teenage boys buying in bulk is a necessity in order to feed keep my shelves stocked. Costco not only provides me the items I need in large quantities but it does so at reasonable prices.

There's a Sam's Club in my town but I choose to make the 30 minute commute once a month to Costco instead 1) bc it's not Sam's Club & 2) the prices & selection & 100 times better. But then again I also have a huge grocery bill.

[Dawgs]

34. Don't disagree with what you said, except for the part about Braggs vinegar with mother.

You can get that at pretty much every grocery store out there.

I buy mine from Publix.

[hobbit709]

37. There's at least 3 other stores here in Austin that carry the same organics

as Whole Paycheck at much lower prices. And none are owned by that asshole John Mackey either.

[kimbutgar]

8. You mean whole paycheck

[Omaha Steve]

12. Huff Post: Why Costco Is Keeping Its Chicken Prices Low

http://www.huffingtonpost.com/2015/06/01/costco-chicken-price_n_7486708.html

Alexander C. Kaufman Posted: 06/01/2015 3:31 pm EDT Updated: 06/01/2015 11:59 pm EDT

Costco is keeping its chicken cheap.

The wholesale retailer said last week that, despite rising prices on chicken resulting from shortages linked to a massive outbreak of bird flu, the cost of its popular rotisserie chicken would remain at $4.99.

“When others were raising their chicken prices from $4.99 to $5.99, we were willing to eat, if you will, $30 to $40 million a year in gross margin by keeping it at $4.99,” Richard Galanti, Costco’s chief financial officer, said during an earnings call last Thursday, according to the Seattle Times. “That’s what we do for a living.”

The chicken shortage has, however, forced Costco to spend more on eggs.

FULL story at link.

[mucifer]

41. Lots and lots of animal suffering goes on from people eating chicken and eggs.

[Omaha Steve]

42. To bad this is the only one in the country

Guess what chicken our house buys?

https://www.cafetecumseh.com/SmartChicken/

In addition to the care and husbandry that goes into raising and processing Smart Chicken, Tecumseh Farms Organic birds are exclusively fed a certified organic grain diet. Tecumseh Farms is the only chicken producer in the country to offer a product line that is both certified organic and certified humane by Humane Farm Animal Care. LEARN MORE: https://www.cafetecumseh.com/SmartChicken/learn_more_organic.aspx

[romanic]

15. I go to Costco

For non perishable items and other things like whey protein and household items. Great bargains in buying those kind of things in bulk. However id never buy my produce there only cause its too much that could go to waste (unless your shopping for a family of six or more).

As for Whole foods i go there once in awhile but not as much as i used to. The organic produce at my local WF is good but overpriced and the service isn't as good as it used to be. I go to farmers market now for produce and Meijer for regular grocery shopping. There's also another store called Fresh Thyme coming in my area. I might give them a shot.

[Phentex]

39. I am so spoiled by the Costco spinach...

that I get so annoyed when I have forgotten to buy it and get it at the grocery instead. The grocery version is so small, it will barely make a serving per person. The 2.5 bag from Costco allows us each to get some and then have a little left over for omelets or what have you.

[olddots]

20. the Whole Foods where I live is across from the Lamborgini dealership

and next to the Porshe dealership ........just saying .

[lonestarnot]

23. And they actually taste good and last a long time.

[Trajan]

29. Costco rocks ...

We don't need giant crates of goods, but they have plenty of good deals ...

[Cha]

31. This is actually such good news that more and more mainstream stores are providing Organic

Choices.. and lots of them!

thanks Steve

[MohRokTah]

35. They blow Whole Foods away on prices.

For the cost of a single organic chicken at Whole Foods, I can get two bigger chickens from Costco.

We smoke and grill them, take them apart after our meal, vacuum pack the meat, and freeze it for later use. $20 = 6 meals or more for my wife and I.

[SoCalDem]

36. I have had to boycott Costco

because every time I go there it costs me $300 or more..

[mucifer]

40. But, whole foods has fair trade bananas. It's very important

the banana industry is horrible when it isn't fair trade

[MisterP]

43. the "green prison" it's called: the antifungals would build up bound copper in the workers'

innards until every organ was entirely blue-green on autopsy
https://en.wikipedia.org/wiki/Bordeaux_mixture

[KamaAina]

44. My problem with Costco is not the membership fee

it's the huge quantities and out-of-the-way locations. Great for people with cars. The rest of us? SOL.