Costco members returning used snorkels and alcohol after vacations

[DaveNV]

What I gain from the article and my fellow Tuggers posting. Is that you can return anything to Costco without a problem.

Pretty much, although there are limits on certain items. When they contract with a vendor to sell an item in the warehouse, they automatically factor in something like 10% for returns on that item. A big part of the business model is monitoring sales volumes and weighing it against return volumes. If they get a lot of returns on something, they stop selling it. If they get good sales with low returns, there's a good chance they'll keep selling that item. The idea behind the generous return policy is to keep the membership satisfied, and because they know you're pretty likely to turn around and spend that refund in the warehouse. If they were losing money on refunds, they be doing it differently.

Costco is a smart company - they know their products, they know their market, and they know their members. The members who get in trouble are the chronic abusers. Do it enough times, and they'll invite you to shop elsewhere.

Dave

 

[bizaro86]

I agree with Dave that their model makes sense. I own Costco shares, so I think it makes sense too!

Because they only take business from members, they can track how much and what people are returning. That way anyone truly unprofitable as a customer can be declined, while everyone else gets the best return policy around, improving the likelihood of people shopping at costco.

I frequently buy new stuff that I'm not sure about at costco over other places because of the return policy. The zero risk aspect wins them more of my business than they would otherwise get. I find I'm usually satisfied with their products, so it probably works out well for them.

 

[klpca]

Or you can try returning old things to Gap. https://people.com/style/gap-17-year-old-shirt-refunded/


I love the accompanying photo.

 

[DaveNV]

Or you can try returning old things to Gap. https://people.com/style/gap-17-year-old-shirt-refunded/


I love the accompanying photo.

But it still had the tags on it, so technically, it’s not used, right?

Dave

 

[MOXJO7282]

I'm a huge buyer from Costco and I've returned many things that others wouldn't accept back. The longest return for us was a leather sofa. After about 3 years the leather started to fade and crack. We don't allow pets on our furniture and always took good care of it but it was apparently a bad batch of leather and Costco recognized that and had no problem returning. This is why I remain a loyal customer and stockholder because they know how to stand by their products and their customers.

 

[clifffaith]

I could see alcohol rules varying by state as well, depending on local law.

I bought Contreau at Trader Joes, then decided I should have bought orange liqueur instead. Manager said he wasn't allowed to take it back (just the next day) but just this once he'd exchange it for something else. They didn't have what I needed for the recipe so I just bought wine instead.

 

[bbodb1]

I'm a huge buyer from Costco and I've returned many things that others wouldn't accept back. The longest return for us was a leather sofa. After about 3 years the leather started to fade and crack. We don't allow pets on our furniture and always took good care of it but it was apparently a bad batch of leather and Costco recognized that and had no problem returning. This is why I remain a loyal customer and stockholder because they know how to stand by their products and their customers.

That is a good company at work when it uses reason and logic instead of blanket policies. This thread reminds me of returns made to L.L. Bean - another company with a similar returns policy it would seem. People would examine yard sales for L.L. Bean items, then return them to L.L. Bean for a full purchase refund. That policy started to be so abused the company amended the policy to a one year period.

Just be happy you have a nearby Costco - us heavens in the wastelands must do without.....and worst of all NO POLISH SAUASAGE!

(smile, Dave!)

 

[Tamaradarann]

That is a good company at work when it uses reason and logic instead of blanket policies. This thread reminds me of returns made to L.L. Bean - another company with a similar returns policy it would seem. People would examine yard sales for L.L. Bean items, then return them to L.L. Bean for a full purchase refund. That policy started to be so abused the company amended the policy to a one year period.

Just be happy you have a nearby Costco - us heavens in the wastelands must do without.....and worst of all NO POLISH SAUASAGE!

(smile, Dave!)

Mu husband returns stuff opened and unopened all the time to Sam's in NY; most of the times without a receipt. We may have returned stuff once or twice while in Honolulu. We are members who spend about $5K/year so they know we are frequent and good customers. He never gets a problem but has never tried to return alcohol. However, I believe that in NY you can't return alcohol whether it is opened or closed.

 

[taterhed]

We have an outlet store near us that buys Costco returns (and displays etc...) in bulk.

They resell the items that are serviceable.....and some that are clearly not! (lol)

Yes, I bought several sets of snorkel gear and goggles for the pool and for trips....we never know if they will make it home or not.
You would not believe the stuff that people return....clearly ''try it and return it" items.
I've gotten some amazing deals.....and a few surprises.

A lesson on returns: the amazingly nice wool rug (big one) that was brand new. We found out why it was returned....it shed for over a year before it settled down. Great rug now.....lots of vacuum bags expended on that one.

Hmmm.. my favorite Costco story (confirmed by the local Costco rep....): Literally hundreds of Keurig coffee makers returned. I asked "why so many returns? is that a bad coffee maker to buy?" Reply: "Nope, great coffee maker. They buy it with the 100 free K-cups.....use the 100 cups of coffee and return the machine that doesn't work. Sometimes, they don't even bother to unwrap the machine....just remove the k-cups and return it"

Yes, I'm using one of those 'returned' outlet coffee makers right now to make my coffee. We have a few...they were all unused. That's probably why they don't come with any significant amount of 'free' k-cups anymore.

 

[DaveNV]

Several updates:

I just had a long talk with my Costco career staffer spouse, who has been a Senior Refund Cashier for a long time. I wanted to share these tidbits related to posts in this thread:

Regarding returning snorkel gear and such at the end of your Hawaii vacation: Items used in saltwater quickly show signs of use. So it's one thing to have it look unused, and another to have it look like it'd been in the ocean for hours. And it's not just in Hawaii. Costco has a computerized shopping history on every account. It is available to be reviewed in every warehouse, company-wide. They can tell what you bought, when and where you bought it, and what you paid. That is how they can take back an item for refund without a receipt. They can even print a new receipt for you, if needed. But take note: They can also see your returns - ALL of them.

What they've started doing is tracking (among others) Department 26 and 27 items, which is Sporting Goods and Garden. During the refund process, they will check to see if you've returned similar items like that before. If you have, they'll check the documented notes of why you were returning that item before. If you've returned snorkel gear (for example) previously, saying, "It just didn't work as well as I wanted it to," and now this year you're returning the same kind of snorkel gear again, saying, "It didn't work as well as I wanted it to," you'll set off some red flags.

They'll explore your account further, and if the return seems abusive or habitual, you're likely to get a visit from a Manager, who will point out your history of buying and returning that item like that. And then they will suggest something to the effect of, "This is the (X) time you've returned this item in this manner. Obviously, our sporting goods items do not meet your standards, and we strongly recommend you buy your snorkel gear from another company." You may still get your refund that day, but if you try it again, you may end up having your membership cancelled. They aren't trying to police the activities of their members, but they are trying to protect Costco from abuse by some unscrupulous members, and to continue to allow the generous policy for non-abusers.

As to returning liquor, it may be a state law thing. In Washington state, where I live, you CAN return alcohol. It may be that in California, or at least in the Bay Area, that you can't.

The "return timeframe" varies by item. It used to be there was no limit on returning computers and electronics. They changed it to 90-days, to stop abusers. They have now started the same 90-day return policy with major appliances. If you have a problem after that 90-day period, you'll need to take it up with the manufacturer.

How's this for a tale of abusive returns: A friend of ours who worked in the Kauai Costco told us about a couple who returned a huge set of expensive patio furniture after only a week or so. When the whole story came out, it turned out they had rented a vacation condo for their Hawaii vacation, but they hated the patio furniture that came in the unit. They bought this Costco set to use during their vacation, and then returned it as they were heading to the airport. She told us the Warehouse Manager got involved in that one, and the couple eventually got their refund. All I can say is some people have cojones made of solid brass.

Dave

 

[DaveNV]

We have an outlet store near us that buys Costco returns (and displays etc...) in bulk.

They resell the items that are serviceable.....and some that are clearly not! (lol)

Those kind of stores are where Costco sells the items they've returned or discontinued that can't be returned to the manufacturer for credit. (Part of that 10% anticipated returns I mentioned previously.) Notice that in the case of big ticket items there, like washing machines, the serial numbers will have been etched out or removed, so there is no way to get a false claim of being the original purchaser. The item may still be quite serviceable, but it ends up as a dead-end for Costco. They write it off, and send it off to a salvage store.

Dave

 

[Sandy VDH]

We have an outlet store near us that buys Costco returns (and displays etc...) in bulk.

They resell the items that are serviceable.....and some that are clearly not! (lol)

Where are these outlet stores and how do we find them?

 

[taterhed]

Where are these outlet stores and how do we find them?

I wish I knew. Google "outlet store" and check yelp or google for customer comments.
I literally stumbled into 3 of them by sheer luck.

I guess I'm a bit of bargain hunter...thus my Tug affiliation....

 

[TravelTime]

I personally know a woman who returned a 5-year old outdoor table and chairs set to Costco because one of the six chairs rusted. They gave her her money back. She was proud of it. I was appalled.

Costco will accept any returns regardless of time. We returned an outdoor patio set after a year because it had worn out and they picked it up and issued a refund with no questions asked. That is one of the reasons people buy from Costco. I assume they are building in their return rate in the pricing.

 

[amycurl]

On this subject....our local Costco sold packs of 2 $50 gift cards from a local spa for $79. This is the spa about three blocks from my house, and it employed my favorite massage therapist. Score, right?!? This worked for about two years, but over the summer--literally two days before I had a massage booked--the spa closed without notice (apparently, the owner had at $500K+ unpaid tax bill.) I have one of the two gift cards--purchased in good faith from my local Costco--left. I have thought about trying to return it, even if I just got $40 back. I don't want to abuse the policy, but it might be my best bet to retrieve value from the card. And part of me thinks that maybe Costco should have done some better due diligence on the spa owner before entering into the relationship, so there's some level of contributory negligence there. I would also think that they would be trying some kind of legal action against the spa owner as well, to recover value for the cards that were still sitting in their unsold inventory (or perhaps they have insurance for situations like this?)

Thoughts? Would I be a terrible person for trying this? Would Costco allow it?

(Note: I am a Costco TRUE BELIEVER, and am probably there 3 times a week. I have probably returned maybe a dozen items--all reasonable--over the course of the past dozen years I have been a member.)

 

[clifffaith]

On this subject....our local Costco sold packs of 2 $50 gift cards from a local spa for $79. This is the spa about three blocks from my house, and it employed my favorite massage therapist. Score, right?!? This worked for about two years, but over the summer--literally two days before I had a massage booked--the spa closed without notice (apparently, the owner had at $500K+ unpaid tax bill.) I have one of the two gift cards--purchased in good faith from my local Costco--left. I have thought about trying to return it, even if I just got $40 back. I don't want to abuse the policy, but it might be my best bet to retrieve value from the card. And part of me thinks that maybe Costco should have done some better due diligence on the spa owner before entering into the relationship, so there's some level of contributory negligence there. I would also think that they would be trying some kind of legal action against the spa owner as well, to recover value for the cards that were still sitting in their unsold inventory (or perhaps they have insurance for situations like this?)

Thoughts? Would I be a terrible person for trying this? Would Costco allow it?

(Note: I am a Costco TRUE BELIEVER, and am probably there 3 times a week. I have probably returned maybe a dozen items--all reasonable--over the course of the past dozen years I have been a member.)

I think you could return the unused card without feeling the least bit guilty.

 

[DaveNV]

Amy, I was just told Costco cannot delve into the personal affairs of a company like that. It's none of their business, and it doesn't work that way. Whether the business owner pays their tax bills is none of Costco's concern. And yes, I was also told you should most definitely take back the card and ask for a refund. It isn't your fault the business closed, and Costco will give you your refund. (At the end of the day, a $40 refund is nothing to Costco, but it's $40 to you.)

Now, ask me about how many THOUSANDS of returns Costco is doing over the Movie Pass debacle. Stuff happens, and regardless of intent, Costco stands by what they sell. If you ever buy something from Costco that you can't use, don't like, is poorly made, tastes bad, or whatever else, TAKE IT BACK. That is what you pay a membership for. And as American Express loves to say, Membership has its privileges. (Unless it's snorkel gear in Hawaii you've already returned a few times before. LOL!)

Dave

 

[amycurl]

Thanks for the response, Dave. Good points. Wasn't sure how much a business would need to open their books for a deal like that. (Can you tell I've worked pretty much my entire life in nonprofits, where financial transparency to anyone and everyone is pretty much a given?) And for the reassurance in returning the gift card. I need gas, so we'll probably go tomorrow afternoon. Thanks!

 

[DaveNV]

Thanks for the response, Dave. Good points. Wasn't sure how much a business would need to open their books for a deal like that. (Can you tell I've worked pretty much my entire life in nonprofits, where financial transparency to anyone and everyone is pretty much a given?) And for the reassurance in returning the gift card. I need gas, so we'll probably go tomorrow afternoon. Thanks!

I don't know personally how much Costco digs, but I'm sure a conventional credit check or whatever is likely good enough when starting a contract as a Costco vendor. They also sell restaurant discount cards like that, and restaurants close all the time. So maybe it's different when it's a "service" as opposed to when it's a manufactured product? No idea. But that $40 will put a lot of gas in your car, right?

Dave

 

[mj2vacation]

I am willing to chance with a purchase from Costco because of their return policy.

I always try to respect the fact that they are flexible.

With that said, I had bought a firepit from them. I had to talk to the manufacturer a few times due to issues over the two years that I had it. I paid for replacement parts. Then a piece that was supposed to be stainless steel rusted and the manufacturer was being less than helpful.

I contacted Costco and they offered to refund it. That’s not what I asked for, they offered. They picked it up and delivered a new one by a different manufacturer.

It makes me spend more with them.

That being said, people abusing it suck.

 

[DaveNV]

I am willing to chance with a purchase from Costco because of their return policy.

I always try to respect the fact that they are flexible.

With that said, I had bought a firepit from them. I had to talk to the manufacturer a few times due to issues over the two years that I had it. I paid for replacement parts. Then a piece that was supposed to be stainless steel rusted and the manufacturer was being less than helpful.

I contacted Costco and they offered to refund it. That’s not what I asked for, they offered. They picked it up and delivered a new one by a different manufacturer.

It makes me spend more with them.

That being said, people abusing it suck.

Costco has a Concierge Service that is worth its weight in gold. If you have tried to make something work, and done your part, they will often step in and go above and beyond to make things right. Your example and response above is why. They want to keep their members happy, and know that member loyalty is worth a lot in the long run.

Dave

 

[amycurl]

Report back: my spouse apparently also had two unused gift cards from the same spa (also purchased at Costco.) So we returned all three today, no problem. There was a consult between a clerk and a manager, but there were no questions for me at all. (I think it had to do with the "half" of the two-pack, but I don't know.) Thanks for the encouragement! (Of course, we bought more stuff that cost almost 2/3rds of the return, so they came out all right in the deal, LOL!)

 

[DaveNV]

Report back: my spouse apparently also had two unused gift cards from the same spa (also purchased at Costco.) So we returned all three today, no problem. There was a consult between a clerk and a manager, but there were no questions for me at all. (I think it had to do with the "half" of the two-pack, but I don't know.) Thanks for the encouragement! (Of course, we bought more stuff that cost almost 2/3rds of the return, so they came out all right in the deal, LOL!)

Glad that worked out. And yes, they kind of expect you'll turn around and spend the refund in the warehouse. But either way, your satisfaction is key.

Dave

 

[Carlsbadguy]

I had a gift card partially used from one of the food delivery companies that went out of business. Costco was able to figure out how much was left on the card and refunded the balance.

 

[sdtugger]

Based partly on reading this thread, I decided to call Costco about a day we were unable to use on a Go Oahu card we bought at Costco as a result of everything being closing during the recent hurricane in Hawaii. They said I had to call the card company. When I called they card company, they said they would normally give us a credit. But, because we bought the card at Costco, they couldn’t do anything. I needed to call Costco.

I’m not unhappy because we had 3 great days using the card and no one is responsible for a hurricane. But, I was a little surprised based on this thread.