After e-commerce giant Amazon purchased Whole Foods Market and promised to lower prices, Costco Wholesale is making moves to strengthen its own grocery business, specifically with delivery.
The membership-only warehouse club has rolled out two grocery delivery services to compete with Amazon and Walmart.
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Costco adds new grocery delivery options
Option #1: 2-day delivery
The least expensive option is called CostcoGrocery. It offers two-day delivery on 500 non-perishable food products with no delivery fee for orders more than $75.
Costco’s website states that CostcoGrocery items will cost more than the same items at the warehouse:
“Selection and delivery are the most expensive part of the online shopping process, as compared to buying in the warehouse. At Costco, we do our best to keep costs to a minimum, but added delivery and other fulfillment costs included in the purchase price and in separate service fees on orders means that items purchased from CostcoGrocery will be more expensive than if the same products are purchased at a warehouse.”
Option #2: Same-day delivery
Costco members can also get nearly 2,000 products delivered the same day, including fresh foods, through an expanded partnership with Instacart in most major metropolitan areas.
Prices are 15% to 17% higher than at the warehouse, Costco said. There’s also a 10% service fee for Instacart orders.
Shop at the warehouse for the lowest Costco prices!
Costco says the cheapest way to shop with them is to visit a physical location, but these delivery options may be worth it if you can’t make it to the warehouse. Read more at Costco.com.
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