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Costco changes manufacturer for Kirkland Signature diapers

Miss Marty

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December 09, 2024
Costco (COST) is changing manufacturers for its popular Kirkland Signature diaper brand as its supplier shifts away from store brands in an effort to bolster profitability, Bloomberg’s Leslie Patton reports. First Quality will replace Kimberly-Clark (KMB) as the new diaper manufacturer for the retail giant, with the official change set to occur next month, the author says, citing people familiar with the decision.
 

jackio

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I wonder how bolstering profitability affects quality of product.
 

DaveNV

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So the maker of Huggies is being traded for the maker of Cuties. Since Costco doesn't manufacture their own products, somebody has to do it. I see no big deal here. Costco will go where they get the best manufacturing deal, while trying to maintain product quality. I think they're more concerned with their Kirkland Signature brand name, than who it is making the product. Consumers will have the final say.

Dave
 

easyrider

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I truly hope that this information remains irrelevant at my house for a long, long time! :)

I'm sure everyone is with you on that one. Lucky for all of us is that if you need them , Costco has them in bulk.

Bill
 

joestein

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Generally, moves by Costco reflect poorly on quality. They are only worried about pricing these days. We know someone who works for a company that works with Costco. She tells us they only care about the price.

It is one of the reasons I don't find a Costco membership to be worth it anymore. I think the eyeglasses are great, but not much else.
 

T_R_Oglodyte

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December 09, 2024
Costco (COST) is changing manufacturers for its popular Kirkland Signature diaper brand as its supplier shifts away from store brands in an effort to bolster profitability, Bloomberg’s Leslie Patton reports. First Quality will replace Kimberly-Clark (KMB) as the new diaper manufacturer for the retail giant, with the official change set to occur next month, the author says, citing people familiar with the decision.
This indicates the decision is being made by Kimberly-Clark.

Most of the time, when a produces has a recognized brand name, they make more money selling their output as branded product than as private label. They do private label production when they have excess capacity. This, if Kimberly-Clark is making the move, it likely means the Kimberly-Clark doesn't have as much surplus capacity. They told Costco that they were going to end production unless Costco started paying them more money. So Costco found another supplier.

Of course, another possibility is that Costco tried to squeeze K-C on pricing, and K-C refused. That's much the same scenario - either way K-C is telling Costco that they don't need Costco.
 

DaveNV

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That's much the same scenario - either way K-C is telling Costco that they don't need Costco.

It could also be the contract was up for renewal, and First Quality gave Costco a better deal.

Dave
 

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Starbucks stopped making Kirkland whole bean house blend coffee about a year ago. I'm not sure whether this decision was from Costco or Starbucks, but I had bought it for several years. The replacement is terrible. Costco recently stopped carrying the Bogle Red Zinfandel that is one of my favorites and their wine selection has diminished at the stores in our area. Fortunately, Jungle Jim's offers a wider selection at a similar price so I've shifted a lot of our shopping to them. Costco has also dropped many of our favorite pre-prepared fresh foods, including their large spinach salad and Greek salad. They have shifted to taco salads and other unhealthy options.
 

billymach4

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Say what you will about Costco. They come full circle around here. Love their products and merchandise.
Also own stock in the company.
 

billymach4

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Generally, moves by Costco reflect poorly on quality. They are only worried about pricing these days. We know someone who works for a company that works with Costco. She tells us they only care about the price.

It is one of the reasons I don't find a Costco membership to be worth it anymore. I think the eyeglasses are great, but not much else.
I respect your opinion about Costco. However you are probably the only person I know that has a negative view of Costco.
 

Superchief

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Say what you will about Costco. They come full circle around here. Love their products and merchandise.
Also own stock in the company.
I've been a loyal Costco customer for several years, but have been very disappointed in their price increases and declines in product selection and quality over the past three years. As a result, I've shifted at least 25% of my purchases from them. My former company sold several products through Costco but they were becoming more demanding and their buyers were very difficult to work with. I've contacted their customer service several times regarding discontinuation of popular products but have never received any response.
 

billymach4

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I've been a loyal Costco customer for several years, but have been very disappointed in their price increases and declines in product selection and quality over the past three years. As a result, I've shifted at least 25% of my purchases from them. My former company sold several products through Costco but they were becoming more demanding and their buyers were very difficult to work with. I've contacted their customer service several times regarding discontinuation of popular products but have never received any response.
They will not respond to product changes and discontinuations. I have also asked the people at customer service. They don't have a clue either. i

Costco is not in the PR business for product changes and availability. Regarding price increases you really can't single them out. Inflation is affecting everyone.

You are the 2nd person that has negative outlook on Costco. No Problem with that either as I also respect you opinion.

I am annoyed they discontinued the Frozen Yogurt at the the Food Court. But what can I do? The food court barely breaks even or they lose profit at the food court. $9.99 for a Pizza Pie. $1.50 hot dog.

There was a riot here when they did away with the Polish Sausage.
 

Superchief

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They will not respond to product changes and discontinuations. I have also asked the people at customer service. They don't have a clue either. i

Costco is not in the PR business for product changes and availability. Regarding price increases you really can't single them out. Inflation is affecting everyone.

You are the 2nd person that has negative outlook on Costco. No Problem with that either as I also respect you opinion.

I am annoyed they discontinued the Frozen Yogurt at the the Food Court. But what can I do? The food court barely breaks even or they lose profit at the food court. $9.99 for a Pizza Pie. $1.50 hot dog.

There was a riot here when they did away with the Polish Sausage.
I wouldn't say that I have a totally negative attitude towards them, but I am more disappointed that they no longer are a lot better than other retailers. I still shop there regularly and buy many things there, but I've shifted a lot of my meat and produce purchases to other retailers and don't buy as many pre-prepared items there. It is disappointing that they don't respect the opinions of their core customers because that will hurt them in the long run. They no longer even carry their Kirkland Whole Wheat bread, sun-dried tomatoes, capers, Kale salad, several wines, and large spinach packs, and their salmon quality has declined despite big increases in price. I previously bought most of my salmon there, but now buy it on Friday's at Fresh Market for $8.99 and it is of much better quality. I also miss their take home and bake pizzas that they discontinued a few years ago. I still buy pork and lamb chops at Costco.
 

moonstone

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There was a riot here when they did away with the Polish Sausage.
Luckily we can still get a Polish sausage at our Canadian Costco stores. They have both sausages and hotdogs. We find we dont have the stinky hot dog burps all afternoon after eating a sausage like we do after our lunch out at the St Augustine (Jacksonville south) Costco.
The food (not food court) product I miss most are the uncooked pizzas that were down in the cooler bins by the rotisserie chickens. We would buy a cheese one and a pepperoni one then at home take 1/2 the pepperoni off and put it on the cheese one. The pepperoni ones had so much pepperoni on them you couldn't see the cheese. I also added sliced mushrooms, onions and often peppers before cooking them. Mmmm. The food court will not sell me an uncooked or even partially cooked pizza.


~Diane
 

billymach4

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FWIW my local costco has artisinal specialty take and bake pizza. Albeit for a higher price.
 

joestein

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They will not respond to product changes and discontinuations. I have also asked the people at customer service. They don't have a clue either. i

Costco is not in the PR business for product changes and availability. Regarding price increases you really can't single them out. Inflation is affecting everyone.

You are the 2nd person that has negative outlook on Costco. No Problem with that either as I also respect you opinion.

I am annoyed they discontinued the Frozen Yogurt at the the Food Court. But what can I do? The food court barely breaks even or they lose profit at the food court. $9.99 for a Pizza Pie. $1.50 hot dog.

There was a riot here when they did away with the Polish Sausage.
They charge $10 for a brisket sandwich and $7 for a turkey sandwich - they are making money on some stuff. As for the food court - their hot dog is GROSS and the chicken wrap - which I LOVED pre-covid - is now some sort of sad disgusting imitation of what it was. At least Sam's club has an Auntie Ann's pretzel knock off for $1.
 
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joestein

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I wouldn't say that I have a totally negative attitude towards them, but I am more disappointed that they no longer are a lot better than other retailers. I still shop there regularly and buy many things there, but I've shifted a lot of my meat and produce purchases to other retailers and don't buy as many pre-prepared items there. It is disappointing that they don't respect the opinions of their core customers because that will hurt them in the long run. They no longer even carry their Kirkland Whole Wheat bread, sun-dried tomatoes, capers, Kale salad, several wines, and large spinach packs, and their salmon quality has declined despite big increases in price. I previously bought most of my salmon there, but now buy it on Friday's at Fresh Market for $8.99 and it is of much better quality. I also miss their take home and bake pizzas that they discontinued a few years ago. I still buy pork and lamb chops at Costco.
I would say their lamb loin chops are a great deal (i think $5.99/lb) - but the majority of their meat is OVERPRICED with ridiculous sized cuts. I can pay the same price at food emporium - better quality - normal sized cuts and just buy enough for a meal.

So many of their products are incredibly expensive - plus you need to buy a large quanity. It was ok when the quality was outstanding and price was more reasonable - but that equation doesn't exist anymore. Bakery items at Sams Club are literally 1/2 the price and of equal quality to Costco - especially loafs of fresh baked breads and rolls.
 

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FWIW my local costco has artisinal specialty take and bake pizza. Albeit for a higher price.
I tried that pizza for $16+ and it was delicious. It is worth it if it is fresh, but you have to check the pack date. One big difference I've noticed compared to a few years ago is that the bread and pizza can be a few days old. These items previously were made fresh daily.
 
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billymach4

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Even back in lower price days I would always ensure that anything large mondo sized had to managable to keep and not expire if perishable. Otherwise it's just not worth purchasing.
 

DaveNV

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We never liked the Take and Bake pizza, so didn’t buy it. Even Costco employees have opinions. :)

Dave
 
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