What Is Costco Next -- and Should You Use It?

If you're a Costco member and you've never heard of Costco Next, you're not alone. (I didn't even know about it until a few months ago, and I write about Costco all the time!) This is likely the least-known Costco perk that could be saving you a ton of money.

Curiosity piqued? Here's what you need to know.

It's a shopping portal with discounts for Costco members

Essnetially, Costco Next is a shopping portal, similar to those offered by a lot of credit card issuers. You use Costco's link to get to a special page for each manufacturer. There, you'll see a variety of its products listed with special discounts just for Costco members.

You'll need to log into your Costco account to access the deals, but this isn't some sort of extension of Costco. Once you click the links, you're dealing with the manufacturer or retailer.

There are a few pros and cons to consider before using Costco Next. Let's take a look.

Pro: Discounts can be steep (up to 40% off!)

The most impressive reason to shop Costco Next is the serious discounts. All of the items I looked up offered great discounts compared to the regular retail prices on the manufacturer's direct website.

For example, Viking offered a lot of their popular cookware sets for up to 40% off through Costco Next. Alder & Oak, a plant nursery, has fruit trees that are 20% off. Nomatic backpacks were 25% off. And so on.

Con: Prices don't reflect regular sales

Although I found some great prices through Costco Next, it would be a mistake to assume you're getting the best price. When the retailer's regular website has extra sales, those may not be reflected on the Costco Next pages.

For example, the Anker 747 (150W) Charger is listed on Costco Next for $87.99. It's listed on Anker's website for $109.99 -- with a $34 promo code. So, buying it directly from Anker would actually save you $12 over the discounted Costco Next price.

Pro: You can find hidden and out-of-stock items

Another interesting quirk of shopping Costco Next is that I found items for sale that were listed as out of stock on the retailer's regular website. Even more interesting, there were times when the items weren't listed on the retailer's regular website at all.

Alder & Oak, for instance, were selling two types of cherry trees through Costco Next, while its regular website doesn't even list cherry trees as a product. This could mean the retailer sets aside certain inventory just for Costco Next shoppers.

Con: The selection may not include everything

The downside to the different inventories is that you may only have access to a subsection of the retailer's items through Costco Next. Or products may look similar, but actually be different models. If you're looking for a very specific item, you may strike out if you search through Costco Next.

Pro: Costco's silly credit card restrictions don't apply

One thing that always irritates me about shopping at Costco is I can't use any credit card I want. In the stores, I'm limited to Visa credit cards. Online, I can only use Visa or Mastercard credit cards. As someone with a full lineup of cards from all networks, this is a real pain in the...neck.

With Costco Next, you're checking out with the specific retailer, not with Costco. So Costco's silly card policies won't limit which cards you can use on your Costco Next purchase.

Con: Costco's awesome return policy doesn't apply

Costco Next is a Costco program, but it doesn't handle the selling, shipping, or customer service. More importantly, Costco's return policy doesn't apply. Any issues would need to be handled by the retailer, and you'll need to read each retailer's return policy carefully before you buy.

Worth a look, but do your due diligence

Overall, I definitely think there is some great potential hidden in the Costco Next portal. If I'm going to buy a name-brand item that isn't available through regular Costco shopping, then I'd definitely look it up on Costco Next to see if there is a deal to be had.

Just make sure you're keeping the drawbacks in mind. Read the retailer's specific return policies and compare prices before you buy.