Incredible service from ... Costco?

Heres the deal. I purchased a 32" LCD from Costco over a year ago. Two days ago, the remote stopped working, then the picture stopped as well. I was pretty disappointed because it was an awesome TV (daytek 3220).

So I called Costco and they said, no problem, bring it back for a repair or a full refund. I said I had purchased it well over a year ago, but again no problem.

I went to Costco with the TV and what do you know, a full cash refund for the original purcahse price of around $1500.

The kicker is, I then bought a brand new 37" LCD TV for $1300. On top of that, I get 2% of the purchase price back for being an “executive member”.

How can they be making money here?

Because you go to your message board and post about your experience, leading many other people to go to Costco.

Simple, they lose just a little on each one, and make it up in volume.

Costco has great customer service for their electronics. They replaced a year old portable DVD player for me when the battery kept coming loose.

I love Costco.

I heard before (sorry, no cite, but I think I read it here on the 'Dope), that Costco doesn’t actually make a profit off their sales. That just covers their overhead (buying from suppliers, shipping, utilities, payroll, etc…). The actual profit they make comes from the cost of the annual membership you buy to shop there.

I thought this was common knowledge, I will buy things from Costco just so I can return them if need be, its like a true life-time gar. If you have the reciept they will give you cash, iandf not ‘just’ store credit. It is easy to trade up as you have described. My SIL once returned her dinning room set etc. (w/o us knowing) when the kids were in the hosp. and they needed $. Costco didn’t blink an eye. Good business too, the whole extended fam. buys from them for just this reason. If they can show they once carried the item (3-4 yrs back even) they will take it back no Q’s.

I think it is a bit more complicated than that. If you lose a little bit on each one, say $.05, and you sell a billion of them, you’ve succeeded in losing $50,000,000.

Thereby making you a glowing success in the modern electronic World Marketplace™!

I was shocked that they didn’t hesitate to give me a refund AND an apology when I returned a worn and washed 3 times skirt b/c it was coming apart at the seams due to shoddy work. (I had even washed it in a lingerie bag b/c it had that ‘unserged seam’ look to its ruffles.)
Do you suppose they’d take back a bunch of their great flowers after a week?

Ahem.

Whooooooooossssshhhh.

Costco is also known for paying its employees relatively well (I believe jobs there start at $10 per hour) and providing health insurance to the majority of employees.

My wife works at Costco, and we are big fans (though the store management where she works is pitworthy).

That TV policy is good for three years. One could, in theory, buy one $2000 TV this year and replace it for free every three years. One who had no ethical bones in his or her body, of course.

And the pay does start at $10, and health insurance is cheap - we pay about $100/month for our whole family, for an Aetna PPO plan. You have to get your prescriptions at Costco, but generics are $4.

I figured they must treat their employees pretty well- most of the folks at my Costco have been there for years.

I am a Costco girl, through and through. In fact, I’m pretty sure the Levi’s I am wearing came from Costco!

Don’t forget the demos- when hubby was in law school, he and a friend would drive to Costco at lunch time, makes two rounds of the store sampling demos, then drive home! Lunch at Costco! :wink:

Hey, it’s easy to get lunch at Costco! Especially if you go on a Saturday afternoon!

I’m a huge Costco fan as well. I never had anything but great service from them. We bought a big water toy to pull behind the boat last year. We had to return it because it kept deflating. They didn’t give us any hassles at all. We ended up returning two more before we finally received one that was air tight.

I’ve returned other items with out any hassles and been given refunds or store credit. I’ve done the trade up thing many times.

WhyBaby loves the Costco Sample Ladies (and Men, there are a few Men.) I love it because I want her to be adventurous in her food tastes, and I can go there and introduce her to things I wouldn’t be bothered to make. Where else would a 18 month old get a perfect toddler sized serving of baked salmon with mango salsa, an organic tortilla chip with guacamole, a buffalo chicken wing (yes, she loves buffalo wings), two baby carrots with dill dip and a tiny slice of yellow cake fresh from the bakery for desert? AND you don’t have to sit still in a stupid high chair waiting for someone to bring you your food! She thinks it’s the Greatest Restaurant Ever!

Last time we were there, the Sample Ladies called her by name, and were waving from their stations to tempt her with their wares! Of course, having The World’s Cutest Baby (cite) munching your food draws a crowd of buyers, so it’s a win-win scenario.

But don’t go late. I went over this afternoon after 4:00 pm, and about half my ladies were packing it in for the day! :eek: :frowning:

Two words: Toilet Paper.

You can always tell a fellow Kult of Costco member:

  1. They have the same watch
  2. phone
  3. pants
  4. Shoes
  5. have a little dab of mustard on the lips from the $1.50 hotdog + drink
  6. We have a dazed and confusedly vacant look on our face trying to figure out how a $3.00 trip for milk turned into a $600 bill.

Me at the checkout line: Woot! Only a little over $200 this time. Wow, we’re really cutting back.

I have to go to CostCo today. We go every 1 1/2 - 2 weeks, mostly for our salad vegetables.