Last week, Costco announced that one of its shoppers had shelled out $600k for a “high-value large-carat diamond.”
For those of us who buy bulk bags of almonds at Costco it may seem strange, but such pricey purchases aren’t uncommon at Costco — and it’s all part of their strategy.
It’s luxury-as-a-strategy
There are 2 main reasons that Costco makes sure to keep discounted luxury items in its inventory:
- Costco wants to position itself as the discount destination for everything, from bargain items to luxury goods — an effort to differentiate from budget-focused stores like Walmart.
- Costco wants to keep its customers on their toes with a constant rotation of interesting items — like diamond rings or swimming pools — that keep people coming back to see what’ll be featured next.
And there are plenty of other bizarre buys at the ’Co
Some other (figurative and not-so-figurative) gems include:
- A whole wheel of authentic Parmigiano Reggiano, $949.99
- A crystal chandelier, $2,499.99
- A Japanese Wagyu tenderloin, $999.99
- A private aviation membership, $3,500.00
- An 18-karat white gold diamond necklace, $469,999.99