Coins from the US Mint and Canadian Mint see a slightly higher premium due to their popularity with collectors. Costco
- Costco has made headlines selling gold bars from Swiss and South African refineries.
- Collectors are tracking a dozen or so other gold and silver products the company has sold.
By now most folks have heard that Costco sells a lot of gold.
But while the coverage has focused largely on gold bars from Swiss and South African refineries, the wholesale club’s precious metals offering is much bigger.
Due to the speed at which these items sell out and the peculiarities of Costco.com’s listings, it can be difficult to find details without knowing exactly what you’re looking for. Members must log in to see prices for in-stock, members-only items.
As a workaround, collectors are tracking a dozen or so other gold and silver products the company has sold on a relatively new subreddit, where they bookmark online links and share tips about local warehouses with supply.
Based on spot prices and past comments, the items cost anywhere from a few hundred dollars (for a tube of silver coins) to more than $7,500 (for 100-gram bars of 24-karat gold) — a range of price points that is likely to appeal to experienced and novice investors alike.
Costco
While Costco tends to sell gold bars at a very low markup from the market’s spot price, coins from the US Mint and Canadian Mint see a slightly higher premium due to their popularity with collectors.
As of Thursday, one-ounce gold American Eagle and American Buffalo coins were available for $2,399 each, while the gold spot price was $2,300.
In addition, a 20-pack of one-ounce silver US Eagle coins was available for $689, and a set of 25 one-ounce silver coins from the Canadian Mint was priced at $809, compared with a silver spot price of $29 per ounce.
Even though Costco doesn’t make much profit from its gold business, the company is likely content to keep it up for a few reasons.
Pulling in hundreds of millions of dollars in sales through Costco.com is a relatively easy way for the company to show strong e-commerce revenue growth.
Plus, the items’ exclusivity is yet another way to keep existing members happy and attract new sign-ups.
### Gold Coins from US Mint and Canadian Mint
Coins from the US Mint and Canadian Mint are popular among collectors, leading to a slightly higher premium on these items compared to others in the market.
### Costco’s Precious Metals Offering
While Costco is known for selling gold bars from Swiss and South African refineries, the range of precious metals offered by the wholesale club is more extensive than commonly portrayed in the media. Collectors have been keeping track of various gold and silver products available through Costco, showcasing a diverse selection beyond gold bars.
### Diversified Pricing Range
Costco’s offerings in precious metals cater to a wide range of investors, with prices varying from a few hundred dollars for silver coins to over $7,500 for 100-gram bars of 24-karat gold. This diversity in pricing attracts both experienced and novice investors looking to add to their portfolios.
### Strategic Business Decisions
Despite potentially low profit margins from gold sales, Costco continues to prioritize this segment of its business to drive significant revenue through its e-commerce platform. The exclusivity of these items not only keeps existing members satisfied but also serves as a strategy to attract new customers to the Costco membership program.
