Why Costco Is One Of The Best Places To Buy Wine For Extra Savings

"Can I see the wine list, please?" It's a phrase normally uttered over candlelight, not under the bright overhead lights of a warehouse club. But taking a browse of your local Costco's pretty serious wine selection might just result in a lovely pour of fine wine savings. Before you get too excited, however, (or terrified) of wine being sold by the pallet, let's be clear: Costco wine savings can be enjoyed by the bottle, or by the cartful.

Costco is one of the largest wine retailers in the United States; in 2020, for example, its wine sales totaled $2.5 billion, accounting for half of the company's total beverage alcohol sales, per Market Watch Magazine. For context, annual total wine sales for the entire U.S. in 2023 was $107 billion, as reported by Forbes. Regardless of how robust these numbers may be for the wine industry overall, Costco provides savings that can be applied to the average American alcohol spend per year. Costco wines are priced anywhere from under $10 for certain Kirkland brand wines, to $40,000 for a four-pack of incredibly rare wine that's still considered a below-market price.

Costco's average markup sits between 10% and 14% for most of its wines, compared to a usual retailer standard many times higher. So why is Costco's wine portfolio so inexpensive? How can it be best perused by members (and even non-members)? And is there any way to really get the bouquet of savings to bloom with even smarter wine shopping at Costco?

Part of Costco's edge in the U.S. wine market comes from its purchasing power as a wholesale-style retailer. The sheer volume of product Costco buys helps it pass the savings onto its members. While Costco's wines aren't a loss leader like its cheap rotisserie chicken, Costco can afford a thinner profit margin on its wines in part because wine isn't the only product that customers come to the warehouse club to stock up on. This makes shopping for wine at Costco convenient, and at times cheaper than the dirt the wine grapes were grown in.

Costco sells recognizable, name-brand wines from reputable winemakers, right alongside its own private label of those winemakers' excess, end-of-season product. Costco's Kirkland and K Vine-branded wines offer varietals at far lower prices than their name-brand counterparts demand. Internet detectives are constantly posting about their Costco wine finds on social media. They use the bottler information on the Costco wine labels to unearth a wine's likeliest lineage, like with Reverse Wine Snob's production trace on Kirkland Signature Brunello di Montalcino.

Costco having the buying power to snag fine, unlabeled excess varietals means Costco members can explore a wide world of wine on a budget, even just by purchasing Costco's private label wine. Bottles of Kirkland Signature Malbec to Châteauneuf du Pape to Côtes de Provence rosé and Ti Point Sauvignon Blanc (and beyond) regularly show up with positive reviews on wine blogs and message boards — and usually retail for under $15.

Whether shopping for Costco's private-label wine or more recognizable producers' bottles, there are ways to save even more while stocking up on the good stuff at Costco. If you're hosting a party, don't miss Costco's boxed-wine offerings. These 3-liter boxes contain private label standards like Cabernet Sauvignon and Pinot Grigio, and usually retail for under $15. Not a bad price point for table wine, or party supplies.

For the true vintage hunter, don't be shy about seeking your great year for a particular wine in the warehouse's floor stock. Costco sells every vintage it offers of a varietal at the same price. Also, learn about Costco's price tag codes to score even more savings on wine that may be discounted for only a limited time. Impulse buying doesn't always pay, but it might with Costco wines you adore: The store has such a high turnover of product, what you see on the shelves today may be gone the next time you visit (like tomorrow).

If looking for a specialty bottle, visit Costco's wine section just before the holidays and seasonal events. In addition to wine advent calendar boxes around winter, Costco will stock small amounts of special-deal wines for a limited time. February in the lead-up to Valentine's Day is also a prime time to snag special deals on a variety of recognizable wines to try, usually with labels begging to be displayed by candlelight.