Gen Z’s Latest Hot Club Is Costco

Costco and Sam’s Club have become destinations for Generation Z shoppers who want to save money.
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  • Some Generation Z shoppers are trying to save money by shopping at Costco and Sam’s Club.
  • They’re sharing bulk groceries and membership cards with their roommates and family.
  • This is the latest example of how food prices are still historically high.

One of Generation Z’s biggest tools for fighting ever-rising food prices: sharing a big cart of groceries from Costco or Sam’s Club — and possibly a membership card — with roommates or family.

Young shoppers, many of whom are buying groceries for themselves for the first time as college students or entry-level professionals, are purchasing huge bags of flour, packages of meat and other bulk groceries, then sharing them with others in their social circles to save money. The Wall Street Journal This information was given on Friday.

This is a way to save money, since Americans still spend a large portion of their income on food.

For warehouse retailers, Gen Z represents a fast-growing source of new members. The number of Sam’s Club members age 27 and younger has grown 63% over the past two years, the Walmart-owned chain told the Journal.

One shopper who spoke to the Journal, Devak Nanda, a recent graduate of the University of Illinois Urbana-Champaign, said he and his roommate would walk 20 minutes to Costco to buy groceries. They would use a wheeled cart to bring the groceries back to their apartment.

Other Generation Z and millennials quoted in the Journal article say they split large packages of food with friends and family — even people they don’t live with — to save on shopping at bulk retailers and not have to store all the food themselves.

However, for some people, this strategy backfires. Nanda told the Journal that when she did the math, she realized she and her roommates weren’t saving much by shopping at Costco.

Costco and Sam’s Club may be happy to have new customers, but they’ll be less eager for people who share membership cards to make purchases.

For example, Costco employees have started asking customers to look at the photo on their membership card in an effort to reduce the number of people sharing memberships.

Wholesale retailers like Costco and Sam’s Club have long attracted consumers who shop for large families or parties. But some single people say a Costco membership is worth it for them because of the benefits it offers, like saving on gas.

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