February 27, 2007 7:37 AM PST

Costco kills return anytime policy

by Dan Ackerman
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We all knew it was too good to last. For several years now, one solid piece of advice to anyone buying a big-ticket item such as a plasma TV was to get it at Costco if possible, thanks to the big-box retailer's well-known return anytime policy. With the exception of desktop and laptop computers (limited to six months), a member could pretty much return any item at any time, including that $2,000 TV that suddenly stopped working two years later.

Of course, plenty of people abused the privilege, returning items when a cheaper model came out or using the return policy as a lifetime extended warranty. This, naturally, caused financial analysts to take a sour view of the overly generous company. (Note: I purchased my current plasma TV from Costco after being forced to wait almost five months while a third-party extended warranty company tried--and failed--to repair my old set.)

MSNBC reports that Costco's new policy is to allow customers only 90 days to return electronics--although they will extend the manufacturer's warranty to two years and set up a tech support hotline to help people with basic support issues.

The new Costco return policy states: "We guarantee your satisfaction on every product we sell, with a full refund. Exceptions: Televisions, computers, cameras, camcorders, iPod/MP3 players and cellular phones must be returned within 90 days of purchase for a refund."

New York native Dan Ackerman, a former radio DJ turned journalist, has written about technology and music for publications including Spin, Blender, The Hollywood Reporter, and USA Today. He hosts the weekly Digital City podcast and the New York edition of Editors' Office Hours. Dan's new album, Tales Out of Night School, is available now. E-mail Dan.
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Add a Comment (Log in or register) Showing 1 of 3 pages (68 Comments)
Too bad - chronic abusers made this necessary.
by NM_Bill February 27, 2007 8:52 AM PST
From experience I can verify, as an offset to the timid who shall inherit the earth,
the numbers of emboldened serial returners is just too darned high. The
customer as always right? Poppycock. WalMart routinely takes back items
abused, broken & worn out. Without that the always low prices could be lower.

Costco as the last of the good guys? I suppose.
Reply to this comment
Too bad - chronic abusers made this necessary.
by NM_Bill February 27, 2007 8:52 AM PST
From experience I can verify, as an offset to the timid who shall inherit the earth,
the numbers of emboldened serial returners is just too darned high. The
customer as always right? Poppycock. WalMart routinely takes back items
abused, broken & worn out. Without that the always low prices could be lower.

Costco as the last of the good guys? I suppose.
Reply to this comment
Is the writer the same jacka**
by deecee February 27, 2007 12:49 PM PST
who hinted at recommending everyone to take advantage of Costco's generous return policy and got blasted by many users on the C-net talkback a while back for discussing abusing this loophole as a way to get new TV every coupole of years! This really sucks.
Reply to this comment
Is the writer the same jacka**
by deecee February 27, 2007 12:49 PM PST
who hinted at recommending everyone to take advantage of Costco's generous return policy and got blasted by many users on the C-net talkback a while back for discussing abusing this loophole as a way to get new TV every coupole of years! This really sucks.
Reply to this comment
Thanks CNET for helping to ruin a great thing...
by bigwormonmine February 27, 2007 1:46 PM PST
Costco has always been my favorite retailer for this very policy. I have only had to envoke the policy 1 time. Thanks CNET for your crack reporting and telling the scum to take avantage of them last year. Why dont you focus more on TECHNOLOGY!
Reply to this comment
In reply to: Thanks CNET.............
by dkniskern February 28, 2007 5:36 AM PST
I hate to burst your bubble, but what percentage of the general public do you think reads CNET? Costco (and others) have had to change their policies because of greed and declining moral values, not because CNET shared a good deal with its subscribers.
Thanks CNET for helping to ruin a great thing...
by bigwormonmine February 27, 2007 1:46 PM PST
Costco has always been my favorite retailer for this very policy. I have only had to envoke the policy 1 time. Thanks CNET for your crack reporting and telling the scum to take avantage of them last year. Why dont you focus more on TECHNOLOGY!
Reply to this comment
In reply to: Thanks CNET.............
by dkniskern February 28, 2007 5:36 AM PST
I hate to burst your bubble, but what percentage of the general public do you think reads CNET? Costco (and others) have had to change their policies because of greed and declining moral values, not because CNET shared a good deal with its subscribers.
Damn college kids
by bobb8888 February 27, 2007 2:00 PM PST
We have a Costco near a university campus. Many, many of the college kids get all their school stuff: Computers, televisions, bedding, etc. from Costco and then return it at the end of the year. I have heard from Costco employees who said this is a major, major problem.

I have also heard of people the liberal returns as a free upgrade every couple years.

I am sorry that Costco had to take this step, but it easy to see why.
Reply to this comment
I agree with Costco
by AnthonyL88 February 27, 2007 8:01 PM PST
We have so many people who doesn't have any respect. When I'm in Costco or
BJ's etc., I always see people opening up the package of a product and then they
don't take the product they just open, instead take an unopen product of the
one they just open. People abuse the return policy of all stores and I feel they
should stop letting people return products at all. Hong Kong got a zero return
policy because of people abusing the return policy. United States should start
and adapt the same policy now.
Damn college kids
by bobb8888 February 27, 2007 2:00 PM PST
We have a Costco near a university campus. Many, many of the college kids get all their school stuff: Computers, televisions, bedding, etc. from Costco and then return it at the end of the year. I have heard from Costco employees who said this is a major, major problem.

I have also heard of people the liberal returns as a free upgrade every couple years.

I am sorry that Costco had to take this step, but it easy to see why.
Reply to this comment
I agree with Costco
by AnthonyL88 February 27, 2007 8:01 PM PST
We have so many people who doesn't have any respect. When I'm in Costco or
BJ's etc., I always see people opening up the package of a product and then they
don't take the product they just open, instead take an unopen product of the
one they just open. People abuse the return policy of all stores and I feel they
should stop letting people return products at all. Hong Kong got a zero return
policy because of people abusing the return policy. United States should start
and adapt the same policy now.
Wont be buying my big ticket items from Costco
by capnanus February 27, 2007 3:03 PM PST
They shot themselves in the foot on this one. They are rarely the cheapest for big ticket items, so either they'd better lower their prices or lose my business for good.
Real f*ckin smart.
At least my 50" Pio is grandfathered. Just for spite, I'm gonna return that f*cker 3 years from now for a full refund.
Reply to this comment
So demands the cry baby.
by halfsek February 27, 2007 4:41 PM PST
No one is forcing you to buy anything there.
But your last sentence is specifically the reason they have limited the length
in which you can return something.

*You* want them to sell it cheaper than anywhere and *you* want them to
allow you to return it whenever *you* want. Or else you'll throw a hissy fit.

How about they honor the manufacturer warranty and you have the option to
buy an extended one?

It's because of people like you that there are restocking fees and tighter
return policies. Hassah!
Now you know who is responsible!
by forgray February 28, 2007 5:46 AM PST
This is the attitude that caused Costco to change it's eturn policy. Too many people with no integrity, returning 3 year old TV's for a full refund. Sad!
COSTCO Returns
by dracnaf February 28, 2007 7:29 AM PST
I'm sure they will miss you! You and those like you are why they were forced to change their policy. Good luck finding someone else that will even try to work with you after three years.
View reply
rude dude, rude
by NM_Bill March 3, 2007 10:46 AM PST
not displaying intelligence
Wont be buying my big ticket items from Costco
by capnanus February 27, 2007 3:03 PM PST
They shot themselves in the foot on this one. They are rarely the cheapest for big ticket items, so either they'd better lower their prices or lose my business for good.
Real f*ckin smart.
At least my 50" Pio is grandfathered. Just for spite, I'm gonna return that f*cker 3 years from now for a full refund.
Reply to this comment
So demands the cry baby.
by halfsek February 27, 2007 4:41 PM PST
No one is forcing you to buy anything there.
But your last sentence is specifically the reason they have limited the length
in which you can return something.

*You* want them to sell it cheaper than anywhere and *you* want them to
allow you to return it whenever *you* want. Or else you'll throw a hissy fit.

How about they honor the manufacturer warranty and you have the option to
buy an extended one?

It's because of people like you that there are restocking fees and tighter
return policies. Hassah!
Now you know who is responsible!
by forgray February 28, 2007 5:46 AM PST
This is the attitude that caused Costco to change it's eturn policy. Too many people with no integrity, returning 3 year old TV's for a full refund. Sad!
COSTCO Returns
by dracnaf February 28, 2007 7:29 AM PST
I'm sure they will miss you! You and those like you are why they were forced to change their policy. Good luck finding someone else that will even try to work with you after three years.
View reply
rude dude, rude
by NM_Bill March 3, 2007 10:46 AM PST
not displaying intelligence
Better bring down prices!
by Mosephus February 27, 2007 4:47 PM PST
The only reason Costco did such brisk business in electronics, probably the only reason a lot of people joined Costco, is the liberal return policy on big ticket items. When I bought my last TV 5 years ago, I joined Costco strictly for that purpose. Costco does not have the selection, nor do they have the pricing to compete with other vendors without this policy. I believe that they will experience significant member churn, and serious reductions in sales. I understand their motivation (shame on those jerks who are responsible), but unless they plan to get out of the big ticket business, this move is going to bite them.
Reply to this comment
Better bring down prices!
by Mosephus February 27, 2007 4:47 PM PST
The only reason Costco did such brisk business in electronics, probably the only reason a lot of people joined Costco, is the liberal return policy on big ticket items. When I bought my last TV 5 years ago, I joined Costco strictly for that purpose. Costco does not have the selection, nor do they have the pricing to compete with other vendors without this policy. I believe that they will experience significant member churn, and serious reductions in sales. I understand their motivation (shame on those jerks who are responsible), but unless they plan to get out of the big ticket business, this move is going to bite them.
Reply to this comment
What did you expect?
by cs547 February 27, 2007 6:23 PM PST
I work at sam's club, they have the same return policy (for now). We have $50,000 in broken TV's in the backroom waiting to get repaired. We also have about $15,000 in working one for sale as open box items. People bring them back constantly, I know because I have to check them in and about 80% work fine. Now that costco changed the policy, I bet it wont take a week for sam's to change theirs.
Reply to this comment
What did you expect?
by cs547 February 27, 2007 6:23 PM PST
I work at sam's club, they have the same return policy (for now). We have $50,000 in broken TV's in the backroom waiting to get repaired. We also have about $15,000 in working one for sale as open box items. People bring them back constantly, I know because I have to check them in and about 80% work fine. Now that costco changed the policy, I bet it wont take a week for sam's to change theirs.
Reply to this comment
Zero return policy should be adapted at all stores
by AnthonyL88 February 27, 2007 8:02 PM PST
We have so many people who doesn't have any respect. When I'm in Costco or
BJ's etc., I always see people opening up the package of a product and then they
don't take the product they just open, instead take an unopen product of the
one they just open. People abuse the return policy of all stores and I feel they
should stop letting people return products at all. Hong Kong got a zero return
policy because of people abusing the return policy. United States should start
and adapt the same policy now.
Reply to this comment
Zero return policy should be adapted at all stores
by AnthonyL88 February 27, 2007 8:02 PM PST
We have so many people who doesn't have any respect. When I'm in Costco or
BJ's etc., I always see people opening up the package of a product and then they
don't take the product they just open, instead take an unopen product of the
one they just open. People abuse the return policy of all stores and I feel they
should stop letting people return products at all. Hong Kong got a zero return
policy because of people abusing the return policy. United States should start
and adapt the same policy now.
Reply to this comment
SO MUCH FOR A GOOD THING
by gregho February 28, 2007 4:38 AM PST
It was a great policy and I spend lots at Costo with my executive membership. I just bought a new plasma and the return policy was the deciding factor. Now some ******** has gone and blasted it across the web so hard and loud that Costco can't afford to keep the policy because of its abuse? Thats so ********. Who was the ******* responsible for making such a good thing go bad? A c/net author? Whoever it was ..........thanks alot.
Reply to this comment
SO MUCH FOR A GOOD THING
by gregho February 28, 2007 4:38 AM PST
It was a great policy and I spend lots at Costo with my executive membership. I just bought a new plasma and the return policy was the deciding factor. Now some ******** has gone and blasted it across the web so hard and loud that Costco can't afford to keep the policy because of its abuse? Thats so ********. Who was the ******* responsible for making such a good thing go bad? A c/net author? Whoever it was ..........thanks alot.
Reply to this comment
Costco kills return anytime policy
by Tropj February 28, 2007 5:27 AM PST
Unfortunately it had to happen. Too many people took undue advantage of their policy and they are in business to make a profit, not give consumers an opportunity to try out electronics and return them when the newer models become available. The new policy is still reasonable and they are extending the warranty which is still better than most other stores - and their prices are still excellent.
Reply to this comment
Costco kills return anytime policy
by Tropj February 28, 2007 5:27 AM PST
Unfortunately it had to happen. Too many people took undue advantage of their policy and they are in business to make a profit, not give consumers an opportunity to try out electronics and return them when the newer models become available. The new policy is still reasonable and they are extending the warranty which is still better than most other stores - and their prices are still excellent.
Reply to this comment
Showing 1 of 3 pages (68 Comments)
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