It’s all about the Hunt: Costco vs Trade Joe’s
Who does not like deliciousness at a good price? I’ll admit to a periodic indulgence of caviar, aged balsamic vinegar, or an expensive fine wine. But, to be truthful, what really gets my juices flowing is the hunt to find the best food products at the lowest cost. My go-to playgrounds for grocery shopping these days have become Trader Joe’s (TJ’s), and when I can get to it, Costco. Whole Foods—once my store-of-choice—has been relegated to occasional visits only.
It turns out that most Americans, like myself, are in a perpetual state of deal-seeking behavior. We have an emotional and habitual propensity to want to stretch our dollars to maximize their purchasing power. Finding the best quality for the lowest price is in our consumer DNAs. For some this might represent finding a designer handbag at wholesale. For most of us, however, it means doing a little research and price shopping for our weekly visit to the grocery store as mundane, albeit necessary, as that might seem.
In a recent article in Inc, a study organized by Hawk Incentives found that 90% of consumers surveyed admit to bargain hunting. Additionally, the research found that 40 % of the consumers claimed they "feel smart" when they find the best deals. In fact, a fair price, quality, and feeling good about a purchase are each twice as important as product brand recognition. With this reality, store retailers need to be clever. Many of them turn to advertising, couponing, and price reductions to put consumers in the right mood to buy.
In my opinion, the captain of the ship of sales when it comes to grocery stores is TJ’s also known as Trader Jacques, Trader José’s and Trader Giotto’s. The Trader Joe’s —as we know it as a branded entity— first appeared in 1967 in Pasadena, California. Its creator, Joe Coulombe, started with his original Pronto Market convenience stores concept several years earlier but soon discovered they were too similar to the 7-Eleven chain.
Coulombe changed course and came up with a clever nautical theme after a vacation in the Caribbean. At the time, Tiki culture was “hot” in America, so he decided to ride the South Sea’s wave. He also noticed Americans were traveling more at the time and developing a taste for international foods which were hard to come by locally. Bingo! Trader Joe’s supermarket was launched to offer a wide array of affordably-priced foods—from healthy to exotic—run by a staff known as “traders on the high seas.”
In 1979, German entrepreneur Theo Albrecht (who also owns Aldi Nord, a giant grocery store chain) purchased TJ’s as a personal investment for his family. Coulombe was succeeded by John Shields in 1987. By the time Shields retired in 2001, there were 156 stores in 15 states. Today, there are more than 503 stores in 42 states nationwide. In 2016 Fortune Magazine estimated its sales at $1,750 in merchandise per square foot, more than double the sales generated at Whole Foods. In 2019 Glassdoor Reviews ranked TJ’s at #14 best places to work in the US thanks to their policy of treating their people well and paying them above industry standards.
TJ’s continues to be run by the very secretive Albrecht family which remains committed to Coulombe’s original winning formula: attracting loyal customers from penny pinchers to serious foodies on the hunt for exotic treasures. The stores’ whimsical design and witty merchandising continue to incentivize its shoppers to return time and again for an enjoyable shopping experience.
Costco Wholesale Corporation, on the other hand, had a totally different trajectory taking the bare-bones, big-box, minimal in-store staff route. Today, it is a multinational corporation which operates a chain of membership-only warehouse clubs. Second biggest retailer in the world after Walmart, Costco is the world’s largest seller of organic foods, prime beef and yes, rôtisserie chicken!
As of last year, Costco ranked #14 on the “Fortune 500” list of largest US corporations by total revenue. Started in 1976, through a series of mergers Costco now boasts 785 warehouses around the world including one in France. Sacré Bleu! The antithesis of your friendly, little, mom-and-pop épicerie.
Over the years, I’ve assembled a playbook of recommendations from foodie friends for both stores. I use this list of “what-to-buy” as my road map for the hunt. But how did this infatuation with TJ’s and Costco start? In truth, I never gave Costco a thought except for electronics and some household paper goods. But, food? Never. I imagined the giant jugs and tubs of food would not make sense for our household of two adults. Turns out, not everything comes jumbo-packed.
After spending a country weekend with the Hazards ten years ago, my attitude about food shopping at Costco was completely transformed. Our hostess Jan gave my huband and me a list of what to get on our way home. “Go to the Costco in Yonkers and here is what you need to buy,” she instructed me like a mother with a pre-made shopping list of basics for her obedient daughter to bring home, no questions asked.
Here is Jan’s list of essential Costco staples which to this day has not altered:
o Organic milk- I always buy the three-pack.
o Maple Leaf Farm refrigerated duck halves-These are generally available during the holiday season. I buy many of them and freeze to have on hand as they are great for company fare.
o Seasonal fresh fruit such as apricots, white peaches, Cara Cara oranges, blueberries, pineapple. Seasonal is the operative word.
o Three-pack guacamole- With a few added ingredients, it tastes freshly made.
o Rôtisserie chicken. That way, you don’t have to cook dinner after shopping.
I was hooked. Not only was the chicken one of the best my late husband and I had ever tasted, but it was under $5.00! Definitely, a lost leader consciously programmed by Costco to keep their customers coming back. And we did.
Costco’s rôtisserie chickens deserve their cult status. Not only because of taste and cost, but also size. Whereas Costco’s weigh three pounds fully cooked, their rivals’ end up between one and a half and two pounds. Plus, the competitions’ chickens cost between $7-$12.00. Discussion closed.
While Costco’s birds may not be particularly healthy for someone following a low salt diet—they inject their chickens with a saline solution—they are plump, juicy and sinfully delicious. One rôtisserie chicken would make at least three meals for Ed and me. Then, we would turn the carcass and bones into a rich, homemade chicken stock.
Last month, Jan kidnapped me for a quiet weekend at her country home in Connecticut. Enroute, we made a “worth a detour” stopover at Costco to pick up a few things. Despite the 45-minute wait to get in—social distancing thanks to COVID-19 comes at a price—we were in and out in a flash. I pushed the cart while Jan dashed around to find the requisite five items, plus a few other essentials including a huge pack of toilet paper.
On the way out, she winked at me. “I’m buying you lunch. I NEVER leave the store without buying a $1.50 hot dog. Better than any ballpark dog!” The two of us feasted on Costco’s all beef hot dogs in the parking garage like two ravenous teenage boys after soccer practice. “I told you they were good,“ she exclaimed with a high level of self-satisfaction.” And she was right.
What are some of the other treasured items from Costco and TJ’s? With Jan’s hit list as the impetus, I surveyed some of my other food-knowledgeable friends to see what their favorite purchases were. In front of each is a circle so you can check off what appeals to you. Take this with you on your next shopping spree at either of the two stores and let the treasure hunt begin. If something was already recommended, it was not repeated here. However, all of the Costco shoppers gave the rôtisserie chicken a thumbs up!
Here is a brief description of each contributing expert shopper:
Jan Hazard: Former food editor of Ladies Home Journal.
Susan Westmoreland: Former food editor of Good Housekeeping.
Eleanor Sigona: Food marketer and hostess extraordinaire.
Natasha Kavanagh: Retired advertising executive, raised in the UK, who hates to cook but loves to entertain lavishly.
Christine Verini: Director of Operations at CancerCare and self-proclaimed TJ’s groupie.
Jennifer Spina: My trainer and muse for this blog site.
COSTCO
Susan Westmoreland
o The marcona almonds are delicious and a bargain. Perfect for snacking, a match for Manchego and a variety of other cheeses/ dried fruits.
o Maple Syrup- it's organic, on the full-flavored dark side which I prefer for cooking and baking, and it's a full liter for under $15!
o Kirkland Organic Extra Virgin Olive Oil- excellent quality. Caveat: It's a 2- liter bottle so if you won't consume it within a month or so, decant into smaller airtight bottles.
o Vanilla Extract - As a baker, getting a pint of good quality vanilla makes me sooo Happy. I'm sure the price has skyrocketed because of several disastrous vanilla harvests, but still great quality.
o Meat- When entertaining, it's a great place to get a whole tenderloin or a whole NY strip. It's Angus beef, and unlike some club stores, Costco doesn't inject their meat with water or other liquid.
Eleanor Sigona
o Canned Genova yellowfin tuna in olive oil. It comes in a six pack, $15.49.
o Kirkland brand 3-pound bag of walnut halves (shelled). Good for baking.
o Imperial Cane Sugar, granulated, 10 pounds $6.49.
Natasha Kavanagh
o Citterio prosciutto.
o Kirkland Parmigiano Reggiano .
o Tates cookies.
TRADER JOE’S
Christine Verini
Christine admits to lining up early on Saturday mornings to be among the first customers in the door at TJ’s. Christine commented how much she likes the compact size of the store. “I don’t need to deal with 100 boxes of different cereal brands like you find at large chain grocery stores. TJ’s has just the right number of items per category so you can eat healthy here with little effort plus get in and out of the store relatively quickly.”
o Fresh fruits such as blueberries and bananas.
o Corn salsa.
o Chicken sausage flavored with garlic.
o Everything but the Bagel Sesame Seasoning.
o Peppermint bark which I give out at Christmas time when friends stop by.
o Mini-hot dogs from the hors d’oeuvre section. They are great as they have an unusual cheesy crust, and everybody loves them.
When I asked her about the cauliflower gnocchi (which won the vegan category this year for TJ’s “Annual survey of most popular items”), she replied with a note of disdain in her voice. “I turn my nose up at them as does the rest of my family.” Why, I asked? “Because my sister married into the family –three generations, in fact—which makes fresh pasta and ravioli at Borgatti’s on Arthur Avenue, the Italian neighborhood in the Bronx famous for Italian delicacies.
Jennifer Spina
o Healthy snacks and fruit bars.
o Cut up vegetables-They make it so easy to eat well that you can’t afford not to cook at home.
o Cauliflower Gnocchi. While I am tempted by the TJ’s insanely popular Mandarin Orange Chicken, it’s not a good idea to get too fond of this dish as it is incredibly unhealthy and fattening. The gnocchi have half the calories. (One of the other respondents suggested baking them on a sheet pan with leeks, asparagus, and peas.)
Eleanor Sigona
Here are a few products Eleanor believes offer ‘the best quality for the buck.” Most of them carry a TJ’s private label.
o Trader Joe’s Organic Chicken Broth. Excellent broth in case you cannot make your own broth. Price was $1.99 each container.
o Trader Joe’s premium vanilla ice cream.
o Trader Joe’s cracker assortment- the best cracker assortment for the money.
o Trader Joe’s organic baking powder (aluminum free), double acting, $1.99.
o Baby zucchinis in a package.
o English peas in a package.
Susan Westmoreland
o French Crêpe Wafer cookies- think the kind that used to come with a scoop of fancy ice cream in Europe. Crisp, buttery, light and addictive.
o Dried fruits such as Mangos and Tart Cherries- Minor addiction. I throw the cherries into all kinds of baked goods, granola, and fruit compotes, or just eat a few out of hand with some dark chocolate.
o Fig and Olive Crisps. A take on Rainforest Crisp Crackers; Fruit and Nut and several other flavors!
o Unexpected extra sharp cheddar that has those delicious crunchy granules.
o Fig Butter- Like that Dalmatia brand, dark and luscious with cheeses, and morning toast.
o Dark chocolate Mint Stars, Chocolate mini version of the old Girl scout cookie.
Natasha Kavanagh
Starting with the front of the store, Natasha swears by:
o Their flowers, orchids and Alstroemeria flowers, that easily last three weeks.
o Myers lemons, blood oranges and Cara Cara oranges, are a must when available.
o Leeks are another staple, already washed and trimmed.
o Teeny, tiny potatoes, a big favorite as they remind me of the spring potatoes, we have in England from the Channel Islands.
o Brioche top split buns are brilliant for lobster rolls.
o Chocolate Babka, is not as good as Zabar’s, but a good treat.
o Creamy goat cheese and butter from France.
o Seville orange marmalade, better than Fortnum and Mason’s.
o From the freezer case, Thai shrimp goyza, finished with sesame oil and TJ’s goyza sauce.
o New Zealand rack of lamb is fantastic.
Both nationwide chains have their pros and cons. Costco sells in bulk, while TJ’s caters more to the average shopper. Costco offers other products from jewelry to books to mattresses whereas TJ’s is just food. Both have in-house private labels (Kirkland and Trader Joe’s) which cut out the middleman offering substantial savings, especially for the quality both stores deliver. Whereas Costco features crowd-pleasingly delicious chicken, you need a car to get there to pick it up as most stores are out of town. TJ’s has extensive eco-friendly policies which have wide appeal to today’s environmentally conscious consumers. Another attraction is its highly-trained, friendly staff who will personally escort you to any item you can’t find. But, TJ’s lack the extensive product sampling you find at Costco. And that $1.50 hotdog for your lunch? Only available at Costco.
At the end of the day, the preference is up to you. Now that you have a list of recommended items to try at both……Ready, set, go shopping!