He still continues to buy Adidas sweatpants at Costco, but now buys up a size.
#Costco online shopping full size
Kyle James, a father of three in Redding, CA, and the founder of coupons website, says that the Levi’s-, Adidas-, and Calvin Klein-branded products he bought at Costco over the years “don't hold up nearly as well when I buy them from the warehouse club.” A pair of Calvin Klein khakis faded dramatically after just a few washes the button fell off a pair of Levi’s jeans almost immediately (the first time that has happened in more than two decades of buying Levi’s, he notes) and a size-large pair of Adidas sweatpants shrunk a full size after their first wash and dry. They can’t sell it openly on the off-price market, so they sell it to the warehouse stores.” “They may have an abundance of fabric, or fabric may have come in that didn’t meet their standards. While some brands may write down the loss, others “get caught in a position where they can’t afford to,” Cohen explains. In some cases, the goods are made of leftover fabric or are from a factory order that didn’t turn out quite right. What’s more, many shoppers say the brand-name apparel products they’re finding at the value-conscious retailer are of a different quality than what they’ve found at department and authorized outlet stores. While the retailer does get some of its wares through unexpected avenues, some major apparel brands are selling directly to them - they’re just not fessing up to it. When the company went to investigate, it found a display case filled with gems and a store associate claiming that they were the real deal.ĭespite that very-public snafu, it’s not to say you can’t find authentic designer-brand clothing at Costco. According to the legal filing, a woman sent a complaint to the jewelry company after seeing the pieces, some priced as much as $4,000, being sold at a Costco in Huntington Beach, CA. $13.75 million in damages for selling Tiffany-branded engagement rings that - you guessed it - weren’t actually purchased from Tiffany.
Earlier this year, the company was ordered to pay Tiffany & Co. “They’ve moved enough hands that no one knows where they come from.”Ĭostco’s “inventive” product acquisition strategies have gotten it into trouble in the past.
“A lot of the time, what you’re seeing isn’t exactly what was intended to be the product that was produced by the brand,” Cohen explains. These are called “gray market goods” - products obtained through channels that are technically legal, but are unintended by the original manufacturer. What, exactly, is going on? While Costco did not respond to multiple requests for comment, Marshall Cohen, chief industry analyst at The NPD Group, was able to shed some light.Īccording to Cohen, Costco often obtains its inventory in unexpected ways: picking up cancelled or excess orders from apparel factories, for example, or third-party sources that have somehow landed on a pile of stock. Though you can still find a three-pack of knee-high DKNY socks on for $9.99, a spokesperson for the brand says it stopped selling goods there “years ago.” Similarly, a source familiar with Ralph Lauren’s sales plans said the company “does not have a direct selling relationship” with Costco, although its polo shirts and fragrances often show up on the store’s shelves. So why are they selling typically lower-quality wares at such a serious discount?Īccording to many of these labels, they aren’t. These companies spend tens, sometimes hundreds, of millions of dollars per year on advertising campaigns to elevate their brand image - and nearly as much fighting unauthorized sellers and counterfeiters to protect it. On occasion, you might also find price-reduced apparel from major clothing brands like Adidas, Calvin Klein, DKNY, Levi’s, Polo Ralph Lauren, and Tommy Hilfiger.
Push a shopping cart along the concrete floors of your local Costco and you’ll be sure to find super-saver packages of cheddar cheese, toilet paper, and a lifetime supply of Advil.
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