Amazon vs Costco

Choose Amazon if…

• Shoppers who want the widest selection and fast delivery, especially Prime members
• You want a free option (Costco is paid only)
• Largest selection of almost any online store
• Fast free delivery on eligible items with Prime

Choose Costco if…

• Households and small businesses near a warehouse that buy groceries and essentials in bulk
• Low prices on bulk groceries, household goods and Kirkland Signature products
• Executive members earn a 2% annual reward on most purchases

What is Amazon?

Amazon is the biggest online retailer in the US and many other countries, with separate stores such as amazon.com, amazon.co.uk, amazon.de and amazon.in. It sells almost every category of goods, from books, where it started, to electronics, groceries, clothing, household supplies and car parts, both from its own stock and from a large marketplace of third-party sellers, many of whom use Amazon's warehouses and delivery network. Shopping is free; Prime is the paid membership that adds fast free shipping on eligible items, Prime Video, music, photo storage and other perks, and its price differs by country. Amazon is known for quick delivery, an easy return process on most items and a very large review base. Downsides include search results crowded with sponsored listings and lookalike products, and uneven quality from some marketplace sellers. It runs on the web and in Android and iOS apps.

What is Costco?

Costco is a membership warehouse club with stores across North America, Europe and Asia-Pacific. Members pay an annual fee to shop its warehouses, which sell groceries, household goods, electronics, appliances and its Kirkland Signature own brand in bulk at low markups. Costco.com and the app sell a wider online range, including furniture and big-ticket items; non-members can buy some items online but pay more. The app also holds a digital membership card, shows warehouse hours and gas prices, and links to same-day grocery delivery through Instacart. Two consumer tiers exist: the basic Gold Star membership, and Executive, which costs more and returns an annual 2% reward on most purchases. Membership also unlocks Costco Travel, the pharmacy, optical and tyre services. Costco suits households and small businesses that buy in quantity and live near a warehouse. People who shop for one or two, or rarely visit a store, often get better value from a free retailer like Walmart, Target or Amazon.