Saturday, January 5, 2013

Warehouse store showdown: Should you join Costco, Sam's Club, or BJ's?

Membership in warehouse stores can save consumers big. But among the big three ? BJ's, Sam's Club, and Costco ? which one is right for you?

By Renee Morad,?Contributor / January 5, 2013

Shoppers leave a BJ's store in Alexandria, Va., in this 2008 file photo. Warehouse stores can save shoppers lots of money, but make sure you pick membership in the one that's right for you.

Kevin Lamarque/Reuters/File

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According to Consumer Reports, shoppers can?save up to 55 percent?at warehouse clubs ? on everything from bulk packages of toilet paper and frozen pizza to Coach handbags and vacation packages. If you belong to?one, you?re probably enjoying the savings and the ?treasure hunt? shopping experience ? never quite knowing what you?ll find on shelves and?pallets.

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It?s no surprise that as warehouse clubs open more locations and?offer a wider range of items, sales are growing. The $390 billion industry has seen a 137 percent jump in sales from 2001 to 2011, compared to 47 percent for all general merchandise stores, according to?First Research.

But which warehouse club is best for you? Sometimes it?s as?simple as finding the one closest to home, but if you have choices, you should consider?factors, from?selection to return policies. We put the big three to the test by comparing 11 factors ? from basic membership costs and locations to selection of luxury goods.

1. Membership costs

Basic membership is $50 a year at BJ?s, $55 at Costco, and $40 at Sam?s Club. If you want to test the waters first, keep an eye out for free trials.

2. Rewards

Warehouse clubs offer rewards programs, but they?re not free.?Become a BJ?s Rewards member for $100 a year (or upgrade an existing membership for $50), and you?ll get 2 percent back on most in-club and BJs.com purchases. Costco?s Executive Membership is $110 a year and also offers 2 percent rewards ? capped at $750 a year. Sam?s Club is experimenting with the idea of a cash rewards program; in a new rollout, Plus members ($100 a year) are now receiving $10 for every $500 spent ? which also comes out to?2 percent ? capped at $500.

3. Nonmember surcharges

Thinking about shopping at a warehouse club without footing the bill for a membership? Costco is?the least expensive: the surcharge to nonmembers is 5 percent. BJ?s is the highest at 15 percent, while Sam?s Club?s surcharge is 10 percent.

4. Locations

Costco and Sam?s Club have more locations than BJ?s. Sam?s Club has 620 locations in the U.S. and Puerto Rico, while Costco has nearly 450. BJ?s has just more than 180.

To see if there?s a warehouse club near you, check out the locators for?BJ?s,?Costco, and?Sam?s Club.

5. Shopping experience

Source: http://rss.csmonitor.com/~r/feeds/csm/~3/yqiXfIXL56c/Warehouse-store-showdown-Should-you-join-Costco-Sam-s-Club-or-BJ-s

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