Why I love spending money at Costco

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The interior of a Costco in South San Francisco, Calif.

Editor's note: How many food retailers publish their markup or try to sell for as little as they can? That's part of the philosophy behind Costco Wholesale. Today, I also discuss a sour note during an otherwise great Korean dinner at Gammeeok in Palisades Park.

By VICTOR E. SASSON
EDITOR

I am spending more and more of my food dollars at Costco Wholesale, lured by high quality and low prices -- plus cash rebates that more than cover the annual membership fee.

Now, an article in in the January 2012 edition of Costco Connection -- called a lifestyle magazine for members -- explains the history and philosophy behind the warehouse store.

The writers say Costco's well-known strategies are "keeping markup to no more than 14 percent over cost (15 percent for Kirkland Signature products); providing a money-back guarantee on products and membership fees; focusing on a narrow selection of products in a wide range of categories; proceeding with steady, but cautious growth; and never selling seconds or other inferior good."

Costco also pays "above-average salaries," and offers health insurance to most employees. 

The history of Costco Wholesale is traced to a new retail concept established by Fed-Mart in 1954 in San Diego, then to the Price Club, which opened its first store in 1976 in San Diego. Costco, which opened its first store in Seattle in 1983, merged with Price Club in 1993.

Today, Costco sells the highest quality food outside of Whole Foods Market and Trader Joe's, and its prices are often unbeatable.

We paid for rice

Rice is an integral part of every Korean meal, but when we used a Groupon at Gammeeok in Palisades Park on New Year's Eve, we were charged $3.74 for two small bowls of the starchy staple.

The Groupon was for pork-filled dumplings, a seafood pancake and beef barbecue -- two appetizers and an entree that normally cost $37.85. The Groupon was $18.

But if you ordered that same meal at any other Korean restaurant, you'd get free rice. I suppose the discount coupon we used at Gammeeok made a difference.

My wife and son shared those dishes, and they especially liked the hot, thick, crisp pancake with tender bits of squid and other seafood.

I ordered a stone-bowl bibimbap, and asked the kitchen to hold the ground beef and cook the raw egg that are usually placed over steamed rice and shredded vegetables ($13.95). 

You also get a mildly spicy red paste called gochujang that you add before mixing everything up and eating it with a spoon. It's my favorite Korean comfort food.

Free side dishes

Of course, we got four free side dishes: napa cabbage leaves, hot green peppers, shredded radish kimchi in vinegar and Gammeeok's wonderfully spicy cabbage and cubed radish kimchi, which are sweeter than most.

We had three small plates of cabbage and radish kimchi, and ordered a large container of the cabbage kimchi to go ($6.95). I brought a bottle of French sparkling wine to toast the new year during our meal.

Our meal for three cost $46.41, including the $18 I paid for the Groupon, a $9 tip and tax. 

UPDATE: This restaurant is no longer in business, and the original New Jersey branch in Fort Lee was closed by a fire.

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• Costco's accent is becoming more pronounced (doyoureallyknowwhatyoureeating.blogspot.com)
• Kimchi is the star of a Korean meal for 10 (doyoureallyknowwhatyoureeating.blogspot.com)

Costco prices are on the upswing again

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The 2-pound package of Campari tomatoes from Costco has
shot up to $5.99. Above, the 1-pound package sold elsewhere.

I spent more than $100 on food at Costco Wholesale in Hackensack on Wednesday, but a higher price prompted me to pass up one of my usual purchases.


Two pounds of those wonderful, small, round, hothouse-grown Campari tomatoes were $5.99, compared to $4.49 on Oct. 24. I passed.


I substituted 2 pounds of Roma tomatoes from the same grower, Sunset. They were $4.99, an increase of 50 cents.


A trio of large, hothouse-grown cucumbers were $3.99, up from $3.49 on Oct. 24. I bought those anyway.


I asked an employee why the Campari tomatoes had shot up, but he said he just stocks the produce aisles and doesn't notice prices.


Prices appear to be holding steady on other items I bought on Wednesday -- organic 1% milk, six small cartons of egg whites, 2 pounds of sliced cheddar cheese, dried blueberries, organic carrot juice, loaves of 100% whole grain bread, bananas, organic spring mix and marinara sauce.


The marinara comes in three 32-ounce bottles and is sold under the Kirkland Signature label, the Costco store brand. This is plenty for a full pound of pasta, and costs only $2.10 a bottle. 


A can of anchovies and oil cooks away, but adds robustness to the sauce.


Some of my purchases on Wednesday replaced items I had thrown out after heavy, wet snow from Saturday's nor'easter knocked out our electricity for 57 hours. Many thousands are still without power five days after the storm.


I also bought 5.5 pounds of large, crisp Gala apples from Washington State for $6.99, and a rack of pork, which my wife wanted to prepare for dinner. The pork was $3.99 a pound, with a discount of $2.50 on the package.


Even if I was eating meat, I wouldn't eat this pork, which was raised conventionally by one of the big producers. Pigs receive more antibiotics than all other animals raised on factory farms.


But my wife doesn't plan dinners, and because of trying to eat as much as possible before it spoiled on Sunday and Monday, we didn't have any drug-free meat or poultry in the freezer.


My dinner was organic spring mix topped with tomato, cucumber, olives and a can of Moroccan sardines, and I dressed the salad with extra-virgin olive oil, balsamic vinegar and lemon juice.


Later, I had one of the Gala apples with two kinds of cheese, almonds and dried dates that I also picked up at Costco.


On Tuesday, I stopped into ShopRite in Rochelle Park to replace the lactose-free milk I discarded, and picked up a half-gallon of the store brand ($3.29), Barilla whole-grain spaghetti (88 cents) and ShopRite low-fat fruit yogurt made with sugar (44 cents).


The pasta and yogurt were on sale, as were antibiotic- and hormone-free Omega 3 eggs from 4 Grain ($1.99). They made a nice scramble with a bit of milk, reduced-fat Swiss cheese and coarse Aleppo red pepper.


Related articles

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What makes Greek yogurt so pricey?

Image by Newbirth35 via Flickr

You have to dig deep for some Greek-style yogurts.

Greek-style yogurt is strained to make it thicker, but what makes it so expensive?

Fage, Oikos and Chobani are not only hard to pronounce, their inflated prices are hard to stomach.

At ShopRite supermarkets, a 32-ounce container of Chobani Greek-style yogurt is $5.99. Trader Joe's own brand of non-fat Greek yogurt is $4.99 for 32 ounces and $2.99 for 16 ounces. 

They're made here, not in Greece.

Now, Costco Wholesale in Hackensack has brought the price of Greek-style yogurt down to earth -- $6.49 for two 32-ounce containers of Kirkland Signature non-fat yogurt (about $3.25 each).

I tried a free sample with honey before I made the purchase and could not believe this thick, mouth-filling yogurt has no fat.

Up and down prices

Also at Costco, Earthbound Farm Organic Spring Mix is up to $4.99 for 16 ounces, but those incredible, small, round Campari tomatoes  are down to $4.49 for a 2-pound package.

Fairway Market in Paramus sells two 1-pound packages of these same Sunset-brand Campari tomatoes for $5, but their taste doesn't compare to the ones from Costco.

On Tuesday, I bought a large seedless watermelon at Costco for $4.99, the lowest price so far this season. 

Today, ShopRite put seedless watermelons on sale for $3.99, a $2 discount.

Not recommended

I drove to Trader Joe's in Paramus this morning to check Greek yogurt prices and pick up a few pounds of its imported Organic Whole Wheat Spaghetti ($1.39 for 16 ounces).

As good as that product is, I was disappointed with a can of Wild Pink Shrimp that I tried for the first time ($1.99 for 4 ounces).

The label says, "Crisp, tiny Oregon shrimp."

They are tiny -- about the size of the nail on my smallest finger -- but I found them far from "crisp" when I ate them over a big salad. "Mealy" is more like it.

Yuck.

How to keep the almonds and lose the salt

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Shelled almonds, like the raw, unsalted ones available at Costco.

I've cut down almost completely on bread and pizza to lose weight,  but find myself snacking frequently on crunchy roasted or blanched almonds from Costco in Hackensack.

But as I wrote in a previous post, salt in the almonds became a concern after I looked at the labels and discovered the more expensive Kirkland Signature Marcona blanched almonds from Spain have twice as much salt as the Kirkland dry-roasted almonds from California. 

Comparing salt

A 28-gram or 1-ounce serving of the Spanish almond contains 9% sodium, compared with 4% for the same serving size of the California almond (on the daily value scale). The former costs $7.99 for 17.63 ounces, while you'll pay $8.89 for 40 ounces of the latter. They are both delicious.

So I bought a three-pound bag of Kirkland Signature raw, unsalted almonds and added some of them to the jar of the Kirkland dry-roasted almonds, but I found the raw almonds weren't my cup of tea.

I fished them out, and put them in the oven for an hour at a low 250 degrees, and they took on a nice crunch. I then roasted the rest of the raw, unsalted almonds. When the salted almonds are finished, I'll just buy the unsalted ones, roast them and put them in the empty jar.

By roasting the raw almonds, I've eliminated salt from a favorite snack, which is delicious when paired with fruit and cheese, and saved money, too. Three pounds  of raw almonds cost only $9.99.

The label notes almonds are a heart-healthy food. They are described as U.S. #1, "supreme whole." 

Breakfast from Costco

My breakfast organic spring mix salad with wild lox, sheep's milk and reduced-fat Swiss cheeses, sun-dried and fresh Campari tomatoes, and sliced cucumber -- all of it came from Costco in Hackensack.

So did the Dijon mustard in my dressing of Greek extra-virgin olive oil and Italian balsamic vinegar. If you have to give up bread, a filling salad is one way to compensate. 

Dinner from H Mart

I found fresh, wild-caught whole whiting at H Mart in Fort Lee for $3.49 a pound on Monday, as well as bunches of fresh spinach for $1.79 each. 

I cut the two fish into two or three pieces and cooked them in Chinese cooking wine, sesame oil, fish sauce, soy sauce (with ponzu) and chopped fresh ginger.

I washed and then blanched the spinach in hot water, put it into a second pan with a little olive oil and seasoned it. 

I served the fish and spinach with organic brown rice cooked in organic chicken broth, both from Costco. (I let the rice soak in the broth in a rice cooker for several hours.)

We started off with kimbap -- seaweed-wrapped rolls of rice, vegetables and imitation crab meat. I found a 22-ounce package for $4.99 in the prepared-food section of H Mart.