As a savvy shopper and self-proclaimed Costco super fan, I‘m always on the hunt for the best deals and the greatest value for my hard-earned money. And when it comes to stretching my budget, I know that gift cards can be a smart way to save on the brands and experiences I love.
But as much as I adore Costco and appreciate their incredible selection of discounted gift cards, there‘s one question I get asked all the time: does Costco sell Amazon gift cards?
It‘s a fair question, given Amazon‘s dominance in the e-commerce space and the fact that Amazon gift cards are consistently one of the most sought-after and popular gift card options out there. In fact, according to a recent report by Research and Markets, the global gift card market is expected to reach $1.4 trillion by 2027, with digital/e-gift cards projected to see the highest growth. And when it comes to digital gift cards, Amazon reigns supreme.
So it would make sense that Costco, known for its wide selection of goods at unbeatable prices, would want to cash in on the Amazon gift card craze. However, as a retail industry expert with over a decade of experience analyzing consumer trends and market conditions, I can definitively say that Costco does not currently sell Amazon gift cards, and likely never will.
But don‘t just take my word for it – let‘s dive into the details and data behind this retail rivalry and explore the many alternative options for purchasing Amazon gift cards outside of Costco.
The Costco-Amazon Rivalry: A Tale of Two Retail Giants
To understand why Costco doesn‘t sell Amazon gift cards, it‘s important to examine the competitive dynamics between these two retail behemoths.
Costco and Amazon may seem like two completely different entities – one a brick-and-mortar warehouse club, the other an e-commerce pioneer. But in recent years, the two companies have increasingly encroached on each other‘s turf.
On the one hand, you have Costco, which has perfected the art of the treasure hunt shopping experience. With its cavernous warehouses, limited SKUs, and rock-bottom prices, Costco has cultivated a fiercely loyal customer base willing to pay an annual membership fee for the privilege of shopping there. In fact, Costco‘s membership renewal rates consistently hover around 90%, and the company has seen steady sales and profit growth year-over-year.
According to Costco‘s 2021 annual report, the company saw net sales increase 17.7% to $192.1 billion compared to 2020, with comparable sales growing 13.4%. And while the vast majority of Costco‘s sales come from in-store purchases, the company has also been investing heavily in its e-commerce capabilities, with online sales growing 50.2% in 2021.
Enter Amazon, the 800-pound gorilla of the e-commerce world. What started as an online bookstore has morphed into a massive online marketplace selling everything from groceries to furniture to streaming services. And with the explosive growth of Amazon Prime, which boasts over 200 million subscribers worldwide, Amazon has built a loyal following of its own.
But Amazon isn‘t content to just dominate the online shopping space. In recent years, the company has been making aggressive moves into brick-and-mortar retail, with the acquisition of Whole Foods Market in 2017, the launch of Amazon Go cashierless stores, and the expansion of its Amazon Books and Amazon 4-Star physical retail concepts.
In essence, Costco and Amazon are now competing for the same customer base across multiple fronts – in-store retail, online shopping, grocery delivery, and more. And this fierce competition has only intensified in the wake of the COVID-19 pandemic, which has accelerated the shift towards e-commerce and put pressure on traditional retailers to adapt.
So why would Costco, a company that prides itself on offering the best deals and selection to its members, voluntarily choose to sell gift cards that would drive business to one of its biggest rivals? The short answer is, it wouldn‘t.
In fact, Costco has a long-standing policy of not selling gift cards for direct competitors. So just as you won‘t find Walmart or Target gift cards at Costco, you also won‘t find Amazon gift cards. Costco‘s business model is built on driving foot traffic to its stores and encouraging customers to make larger, bulk purchases. Selling Amazon gift cards would be counterproductive to that goal.
Of course, that‘s not to say that Costco doesn‘t sell any third-party gift cards. Quite the contrary – Costco has a robust gift card program featuring a wide range of popular brands and experiences. However, the retailers and brands featured are carefully curated to avoid direct competition with Costco‘s core offerings.
Costco‘s Gift Card Program: A Closer Look
So if Amazon gift cards are off the table, what kind of gift card deals can Costco shoppers expect to find? The answer is, quite a lot!
Costco‘s gift card selection varies by location and season, but in general, you can expect to find a wide variety of gift cards for popular restaurants, retailers, entertainment and travel brands. And the best part? Most of these gift cards are sold at a sizeable discount off face value, typically around 20-30% off.
Here are some real-world examples of Costco gift card deals I‘ve personally spotted in-store:
- $100 Ticketmaster gift card for $89.99 (10% off)
- $50 Google Play gift card for $42.99 (14% off)
- $100 Fairmont Hotels & Resorts gift card for $79.99 (20% off)
- $100 Peet‘s Coffee gift card for $79.99 (20% off)
- $100 California Pizza Kitchen gift card for $74.99 (25% off)
- $50 Jiffy Lube gift card for $37.99 (24% off)
As you can see, the savings can really add up, especially if you‘re a frequent Costco shopper. And what‘s great is that these discounts are available year-round, not just during holiday promotions or special sales events.
Costco also offers its own branded gift cards, known as Costco Shop Cards, which can be used to purchase merchandise both in-store and online at Costco.com. These gift cards have no expiration date and can be bought in denominations ranging from $25 to $2,000.
One thing to keep in mind is that while Costco‘s gift card selection is extensive, it‘s not exhaustive. You generally won‘t find gift cards for local or regional brands, and the selection can vary widely depending on your location. Additionally, some gift cards may only be available seasonally or in limited quantities, so if you see a deal you like, it‘s best to snag it while you can.
Where to Buy Amazon Gift Cards Instead of Costco
If you have your heart set on buying an Amazon gift card and are disappointed that Costco isn‘t an option, fear not! There are still plenty of other ways to get your hands on one. Here are some of the most popular and convenient options:
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Amazon.com – The most obvious place to purchase an Amazon gift card is directly from the source. Amazon‘s website offers a wide range of gift card designs and denominations, from $1 to $2,000. You can choose to have the gift card delivered via email, text message, or physical mail, and you can even add a personalized message.
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Grocery stores and pharmacies – Most major grocery chains, such as Kroger, Safeway, and Publix, carry Amazon gift cards in their gift card aisles. The same goes for big-name pharmacies like CVS, Walgreens, and Rite Aid. Denominations typically range from $25 to $100.
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Big box retailers – Stores like Walmart, Target, Best Buy, and Staples all sell Amazon gift cards both in-store and online. Denominations vary by location but typically range from $10 to $500.
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Gas stations and convenience stores – If you need to pick up an Amazon gift card in a pinch, most gas station convenience stores like 7-Eleven, Circle K, and Cumberland Farms carry them. Just keep in mind that selection may be limited, and you may pay a slight premium for the convenience.
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Online gift card marketplaces – There are a number of websites that specialize in buying and selling gift cards, including Raise, CardCash, and Gift Card Granny. These sites allow you to buy discounted Amazon gift cards from other users, often for 1-2% off face value. Just be sure to stick with reputable sites and sellers to avoid scams.
It‘s worth noting that while you can find Amazon gift cards at many third-party retailers, you typically won‘t find them at a discount like you would with Costco‘s gift card deals. In most cases, you‘ll pay face value for an Amazon gift card, regardless of where you buy it from.
Tips for Maximizing Your Savings at Costco
While you may not be able to score a deal on Amazon gift cards at Costco, there are still plenty of ways to save money and get the most bang for your buck when shopping at the warehouse club. Here are a few of my top tips as a Costco expert and deal-hunting enthusiast:
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Buy Kirkland Signature products – Costco‘s store brand, Kirkland Signature, offers high-quality products at a fraction of the price of name brands. From groceries to household essentials to clothing, Kirkland Signature is a great way to save without sacrificing quality.
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Take advantage of Costco‘s price adjustment policy – If you buy an item at Costco and then find it at a lower price within 30 days, Costco will refund you the difference. This policy also applies to Costco‘s own prices, so if an item you bought goes on sale within 30 days, you can request a price adjustment.
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Use a rewards credit card – If you‘re a frequent Costco shopper, using a rewards credit card that offers bonus points or cash back on Costco purchases can really add up over time. The Costco Anywhere Visa Card, for example, offers 2% cash back on eligible Costco purchases.
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Look for deals in the monthly coupon book – Costco sends out a coupon book each month with discounts on a variety of items, from groceries to electronics to home goods. These coupons can offer significant savings, so it pays to flip through the booklet and see what catches your eye.
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Don‘t overlook the store perimeter – While the center of the store may be filled with tempting bulk deals and flashy displays, some of the best deals at Costco can actually be found around the perimeter. This is where you‘ll typically find fresh produce, meats, dairy, and other perishables at prices that are hard to beat.
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Take advantage of Costco‘s generous return policy – Costco is known for its lenient return policy, which allows members to return most items for a full refund at any time, with a few exceptions. This can be especially useful for big-ticket items like electronics or appliances.
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Fill up at Costco‘s gas station – Costco‘s gas prices are consistently lower than those at other gas stations, often by as much as 20-30 cents per gallon. If you have a Costco membership, taking advantage of these savings can really add up over time.
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Split bulk purchases with friends or family – One of the challenges of shopping at Costco is that many items are sold in bulk quantities that may be too much for a single household to use before they expire. Splitting larger purchases with friends or family members can help you take advantage of bulk savings without wasting food or supplies.
The Bottom Line
In the end, while it may be disappointing to learn that Costco doesn‘t sell Amazon gift cards, it‘s important to remember that there are still plenty of great deals and savings opportunities to be found at the warehouse club. By understanding Costco‘s business model and competitive landscape, taking advantage of its gift card offerings and store brand products, and using smart shopping strategies, you can stretch your budget further and get the most value out of your Costco membership.
And if you absolutely must get your hands on an Amazon gift card, rest assured that there are plenty of other retailers and resellers that can meet your needs. Whether you prefer the convenience of ordering online or the immediacy of picking up a gift card during your next grocery run, you have options.
As a savvy shopper and Costco enthusiast myself, I know that the key to maximizing your savings is to stay informed, be strategic, and always keep an eye out for the best deals. By following these principles and being willing to think outside the box, you can continue to enjoy all the perks and benefits of shopping at Costco without feeling like you‘re missing out on anything. Happy shopping!
