What Happens To Returned Tech At Costco? Here's Where They Actually Go

While some retailers like Amazon are busy changing their holiday return policies to be more accommodating, avid Costco shoppers might scoff, because the company already offers generous return options for its members. As part of the company's 100% satisfaction guarantee, you have 90 days to return electronics, for example. 

It's part of the reason those return lines at your local Costco are so long. But like the question about how Amazon handles returned items, you may be wondering what Costco does with returned goods, and specifically, returned tech. Is it recycled, placed back onto shelves, or thrown in the dumpster? The answer is, it depends. 

The majority of Costco returns are either resold or donated, instead of being put to waste. The exception is perishables or food items, which cannot be resold. Unopened gear that's returned in the original packaging will likely go back on the shelves. Opened items, on the other hand, including returned tech, are sent to a separate warehouse for assessment. Based on the condition, these good will either go back to the manufacturer, be sold to liquidators, or donated.

Deal hunters likely know about Amazon's bulk liquidations of overstocked and damaged goods that are available to the public. Costco does not offer anything like this directly, but you can potentially purchase Costco customer returns through liquidators. A great example is B-Stock, which offers a wide variety of wholesale and liquidation products from Costco. Liquidators specialize in buying or selling bulk products, often at a discounted rate compared to traditional retailers, but items are resold "as-is," expressly to clear out excess stock. 

So, companies like Costco will sometimes partner with a liquidator to unload returns and the occasional overstock, if it's discontinued. Those companies then turn around and sell the items through online marketplaces and auctions. Ultimately, the good news is that when you buy one of the electronics you should only get at Costco, and have to return it, for whatever reason, it is not going to waste.