Consumer Report Compare And Contrast Essay
Both stores offer deep discounts on bulk-sized groceries, electronics, appliances, and other household items for an annual membership fee.
To select a winner, researchers compared customer reviews on the retailers' prices, membership fees, product quality, and customer service.
It was a close call, but Costco came out on top as the best deal.
Consumer Reports found that both Costco and Sam's Club offer comparable prices across all departments, but noted that Costco's membership is slightly more expensive.
Membership fees start at $55 annually for Costco and $45 annually for Sam's Club.
In terms of product quality, Costco scored higher than Sam's Club in several departments, including jewelry, women's and kids' clothing, and eyeglasses, according to Consumer Reports. The retailers scored equal marks for quality in the electronics department.
The clubs have similarly flexible return policies on everything but electronics, which they require to be returned within 90 days of purchase. Sam's Club limits the return-eligible window to 30 days for some electronics, such as cell phones and tablets.
The retailers differ the most in terms of the services they offer.
At Costco, for example, members can get a mortgage, invest in securities, and buy car insurance. Sam's Club, by comparison, offers services like regular shipping for recurring purchases like printer ink and paper towels. Sam's Club also offers online auctions where customers can bid on items like laptops and flat-screen televisions.
Each of the companies got low scores for customer service, rating as "poor" to "fair" in that category. But Costco squeezed ahead of Sam's Club with slightly higher marks for service, according to Consumer Reports.
The retailers also offer different credit card rewards.
Costco is launching a new card June 20 that will offer 4% cash back on eligible gas purchases (on up to $7,000 per year, then 1% back), 3% back on restaurant and travel purchases, 2% back on Costco and Costco.com purchases, and 1% back everywhere else.
There is no annual fee for the card, but shoppers must pay for the $55 annual Costco membership to use it.
The Sam's Club MasterCard, by comparison, offers 5% cash back on fuel purchases (on up to $6,000 per year, then 1% back), 3% back on restaurant and travel purchases, and 1% cash back on other purchases. Customers can earn a maximum of $5,000 in cash-back rewards annually.
In the end, researchers determined that both clubs are worth their membership fees, even though Costco has a slight advantage over Sam's Club.
EXCLUSIVE FREE SLIDE DECK:
The Future of Retail 2018 by the BI Intelligence Research Team.
Get the Slide Deck Now »
Essay on Comparing McDonalds and Burger King
2479 Words10 Pages
Comparing McDonalds and Burger King
1.0 Executive Summary
This report examines how the fast-food service industry uses consumer behaviour principles and techniques to influence consumers. It explores the actions and observes the practices undertaken by the two most prominent players of this particular industry, namely McDonalds Corporation and Burger King Corporation.
Using past and present research and statistics, this reports offers a complete analysis of consumer reaction to advertisements and products, the meaning underlying decision-making, emotions and lifestyles of consumer in this industry. 2.0 Introduction
The objective of this report is to analyse how the fast-food service industry make use of…show more content…
Raymond Albert Kroc founded McDonald in 1955 in Des Plaines, Illinois. His simple vision of 'Quality, Service, Cleanliness and Value' has brought the organisation tremendous success. 'Our outstanding brand recognition, experienced management, high-quality food, site development expertise, advanced operational systems and unique global infrastructure position us to capitalize on global opportunities' http://www.mcdonalds.com/corporate/index.html
McDonald's vision is to be the world's best quick service restaurant experience. To achieve their vision, they have developed three worldwide strategies:
Ø Be the best employer for our people in each community around the world
Ø Deliver operational excellence to our customers in each of our restaurants; and
Ø Achieve enduring profitable growth by expanding the brand and leveraging the strengths of the McDonald's system through innovation and technology.
3.1.2 Burger King Corp.
Burger King Corporation though a leader in today's fast-food industry, is still number two, behind only the indomitable McDonalds. James McLamore and David Edgerton founded Burger King Corp. in 1954 in Miami, Florida. McLamore and Edgerton, both of whom had extensive experience in the restaurant business before starting their joint venture, believed in the simple concept of providing the customer with reasonable priced quality food, serviced quickly, in attractive clean surroundings.