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And Costco can leverage that by selling mattresses for $50 more than you'd spend somewhere else. Ikea does the same thing. I'm a stupid vaper and trying to piec

And Costco can leverage that by selling mattresses for $50 more than you'd spend somewhere else. Ikea does the same thing. I'm a stupid vaper and trying to piece together a kit based off reviews by the kinds of people who vape is incredibly tedious. There's value in not having to guess.

wronglebowski 7y ago
Costco is often cheaper than other retailers and on sale can be much cheaper. I grabbed a Casper king for 680$, way under the Casper list price even with coupons. I didn’t like it and I returned it without issue.
alasdair_ 7y ago
> And Costco can leverage that by selling mattresses for $50 more than you'd spend somewhere else Costco explicitly commits to never making more than 12% on anything they sell. It’s a major part of their brand and part of the reason people trust them.
- jjeaff 7y ago
  Where is this commitment? I am not able to find it and I am reasonably certain that Costco has a much larger margin than 12% on many of their products. If anything, that sounds like an average, which doesn't tell you anything as they could be screwing you on mattresses while losing money on hot dogs and rotisserie chickens to even it out to a 12% gross margin.
  - alasdair_ 7y ago
    It’s mentioned quite often in their financial filings but I don’t have an example handy and I don’t feel like digging through a 10K right now. However, here is an Esquire article that mentions it: “Costco has stated that the highest margin they will take on a non-Costco brand is 13 percent and they strive to keep it closer to 10 percent.” https://www.esquire.com/food-drink/drinks/a35749/costco-the-biggest-retailer-of-wine-in-the-united-states/ https://www.esquire.com/food-drink/drinks/a35749/costco-the-...
- blaser-waffle 7y ago
  I'm with the other comments: where do they say they cap at 12%? Costco brings a lot of value to the consumer, IMO, but I feel like that's deliberately shooting themselves in the foot. And why the arbitrary 12%? Why not 15 or 21?
asdff 7y ago
Ever go to a mattress store? Never seen a $3000 mattress before but that was the cheapest model they had. It has to be a front right? This place is a minor chain in town.
- vxNsr 7y ago
  Throw on some cheaper looking clothes and try again.
listenallyall 7y ago
Ikea is NOT selling mattresses at $50 above what other places charge. Compare materials, coil count, thickness, etc. -- plus return policy. Ikea mattresses are a huge bargain compared to similar mattresses from any major brand such as Sealy, Serta, etc. Can't speak to the online mattress sellers.

wronglebowski 7y ago

Costco is often cheaper than other retailers and on sale can be much cheaper. I grabbed a Casper king for 680$, way under the Casper list price even with coupons. I didn’t like it and I returned it without issue.

alasdair_ 7y ago

> And Costco can leverage that by selling mattresses for $50 more than you'd spend somewhere else Costco explicitly commits to never making more than 12% on anything they sell. It’s a major part of their brand and part of the reason people trust them.

jjeaff 7y ago
Where is this commitment? I am not able to find it and I am reasonably certain that Costco has a much larger margin than 12% on many of their products. If anything, that sounds like an average, which doesn't tell you anything as they could be screwing you on mattresses while losing money on hot dogs and rotisserie chickens to even it out to a 12% gross margin.
- alasdair_ 7y ago
  It’s mentioned quite often in their financial filings but I don’t have an example handy and I don’t feel like digging through a 10K right now. However, here is an Esquire article that mentions it: “Costco has stated that the highest margin they will take on a non-Costco brand is 13 percent and they strive to keep it closer to 10 percent.” https://www.esquire.com/food-drink/drinks/a35749/costco-the-biggest-retailer-of-wine-in-the-united-states/ https://www.esquire.com/food-drink/drinks/a35749/costco-the-...
blaser-waffle 7y ago
I'm with the other comments: where do they say they cap at 12%? Costco brings a lot of value to the consumer, IMO, but I feel like that's deliberately shooting themselves in the foot. And why the arbitrary 12%? Why not 15 or 21?

asdff 7y ago

Ever go to a mattress store? Never seen a $3000 mattress before but that was the cheapest model they had. It has to be a front right? This place is a minor chain in town.

vxNsr 7y ago
Throw on some cheaper looking clothes and try again.

listenallyall 7y ago

Ikea is NOT selling mattresses at $50 above what other places charge. Compare materials, coil count, thickness, etc. -- plus return policy. Ikea mattresses are a huge bargain compared to similar mattresses from any major brand such as Sealy, Serta, etc. Can't speak to the online mattress sellers.