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Costco's Trick to Save You Several Dollars on Its Star Product: Speechless
A Costco customer in the United States reveals a trick that will be very useful to you
Costco's rotisserie chicken is one of the most popular products in the United States. Its low price makes it an attractive option for many customers. However, a shopper noticed a curious detail: buying it cooked is cheaper than buying it raw.
TikTok user @steelpan.guy discovered this price difference while shopping in America. In his video, he shows that three frozen chickens cost $34, which equals $11 per unit. In contrast, the rotisserie chicken costs only $7.99 in the prepared food section.
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This finding caused reactions among customers. Several users commented that in their local stores the rotisserie chicken costs $4.99. "$7.99? Costco's chicken costs $4.99," wrote a surprised shopper.
Why Does Costco Sell Its Chicken So Cheap?
Costco uses a business strategy known as "loss leader." It involves selling certain products at a very low price to attract customers.
The goal is that, by going to the store for a cheap chicken, shoppers end up spending on other products. "It's to get you into the store and buy more," commented a user in @steelpan.guy's video. Another added, "They lose money on the chicken but make it back with other purchases."
This same strategy applies to Costco's famous hot dogs. The store has kept its hot dog and soda combo at $1.50 for years despite inflation.
How Costco Keeps Prices Low
Costco's rotisserie chicken is sold so cheaply because the company controls its production. To ensure a constant supply, it has invested in its own processing plants.
CBC reported that Costco sells millions of rotisserie chickens each year. In 2021, the store sold 106 million units, and in 2022, the figure rose to 117 million.
Another factor influencing the price is the size of the chicken. Frozen chickens weigh between 3 and 3.5 lbs. (1.36 and 1.59 kg) while rotisserie ones are smaller, weighing 2.5 lbs. (1.13 kg) on average.
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Is It Better to Buy It Raw or Rotisserie?
For many, rotisserie chicken is the best option. It saves money and time in the kitchen. However, some prefer to buy it raw to prepare it to their liking.
"I prefer uncooked chicken to prepare it my way," wrote a user on TikTok. Another commented, "Rotisserie chicken has too many ingredients, I prefer something more natural."
Despite these opinions, Costco's strategy continues to work. The low-priced rotisserie chicken is a tactic to get customers to end up buying more products. A simple but very effective trick.
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