Low prices are the big draw of warehouse clubs, such as
There certainly are savings to be had at warehouse clubs if you shop smart. But there also are plenty of ways to overspend. For starters, you have to pay
Shopping without a plan. Walking into any store without a list of what you need to buy is a mistake. But the omission can be especially costly at warehouse clubs because these retailers sell such a wide array of products in such large quantities that you might be tempted to buy - even if you don't need them. Plus, warehouse clubs often set up stands throughout their stores to offer samples of food items that are sold there. If you walk in without a list and get tempted by the samples, you will likely end up making a lot of impulse purchases, says
Assuming you're getting the best prices on everything. You can find huge savings at warehouse clubs, Greutman says, but just as often you can waste your money. That's because many items sold in bulk at a warehouse often are cheaper per unit when sold in smaller packages at the supermarket - especially when those items are on sale. For example, you can pay 20% to 40% less per unit on canned goods when they're on sale at the supermarket than what you pay for a super-size container at a warehouse club, says
Counting on manufacturers' coupons. If you're a fan of clipping coupons, don't assume you'll always be able to lower the price of your warehouse club purchases even more by redeeming them. Some warehouse clubs including
Forgetting to factor in waste. Even if the price per unit for an item at a warehouse club beats the price at other retailers, you still have to consider whether you'll be able to use up the large amounts sold in bulk at clubs, Greutman says. For example, if you live alone, buying a huge box of organic lettuce may not be the best option. And produce isn't the only thing that can go bad quickly. Some pantry staples such as spices and cooking oils also have a relatively short shelf life. You aren't actually saving money if part of a purchase ends up in the trash, Greutman says.
Failing to team shop. You can still take advantage of deals at warehouse clubs without worrying about waste even if you don't have a big family. Just find a friend, relative or neighbor with whom you can split bulk purchases, says
Shopping the center of the warehouse. The center aisles of most warehouse clubs are full of stuff you had no idea you needed but clearly cannot live without, James says. You could easily spend an extra
Rushing into a membership. Just like joining a gym, it's a waste of money to join a warehouse club if you never end up stepping foot in it. You can try out warehouse clubs before you commit to - and pay for - a membership. Both
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Cameron Huddleston is an online editor at Kiplinger's Personal Finance magazine. .