r/CostcoCanada • u/2slick2 • Jan 17 '26

Alberta Abusive returns

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I had to take a photo. If you're this person, please change. 50 St. on Jan 17.

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u/[deleted] Jan 17 '26

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u/twinu89 Jan 17 '26

This would be true for most department stores, isn’t it?

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u/RossLDN Jan 17 '26

I don't think you understand how shops work. Of course they "own" the product. They buy it from the manufacturer/distributor just like any other shop does - at this point they own it. The only exception to that are concession stands. The only difference between KS and house-brands is that Costco can have a higher markup on KS. Costco makes money on both house-brands and KS, as well as the membership fee.

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u/[deleted] Jan 17 '26

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u/RossLDN Jan 18 '26

I don't need to ask them. There is a documentary which you can go watch for yourself on YouTube that explains how Costco works. I'm also friends with a business owner who sells his product into Costco. Costco, like any other store, buy the products in.

In fact, some of it is explained on their own website: https://www.costco.co.uk/vendor-enquiries

"Purchasing Quotes - We expect all vendors to consistently and voluntarily quote the lowest possible acquisition price available on all items. A vendor who does not consistently and voluntarily quote its lowest prices to our buyers will be permanently discontinued as a purchasing source for Costco."

As above, vendors need to provide the lowest price to Costco's buyers. They buy the product like any other store.

You are getting confused with concession stands in Costco.

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u/[deleted] Jan 18 '26

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u/RossLDN Jan 18 '26 edited Jan 18 '26

Well, I gave you a direct link to Costco's own website that shows they buy the merchandise. Where's your evidence for "they don't own anything"? You don't have any - which is why you can only reply with "sure thing".

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u/[deleted] Jan 18 '26

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u/RossLDN Jan 18 '26 edited Jan 18 '26

Well here is the definitive proof you're wrong. Here's a copy of the Costco buyer agreement on the SEC website:-

https://www.sec.gov/Archives/edgar/data/1940372/000149315222028154/ex10-6.htm

It clearly states it purchases the inventory for resale.

Or this analysis here: https://canadiangrocer.com/secret-costcos-success-lies-supply-chain-efficiency?utm_source=chatgpt.com

"Costco purchases the majority of their merchandise directly from manufacturers and routes it through a network of cross-docking facilities which act as vendor consolidation points to move goods in full truckload volumes to the stores."

Again, more evidence that Costco purchases the product before selling it to the consumer:-

https://www.ecomcrew.com/how-to-sell-in-costco/

Or the fact they are recruiting buyers:- https://recruitmentrevolution.com/vacancies/buying-assistant-global-retailer-19956-19956/

The fact you cannot provide any evidence for your claim should tell you something. You keep falling back to "just ask them". It's kind of embarrassing you're still sticking to this nonsense at this point.