Costco Connection - June 2009

saves members money, _time _and _hassleFour steps to a hassle-free experience

How to buy

a car without

the stress

Costco’s Auto Program

By Will Fifield

BUYING A CAR can be exhausting. Not only is it an expensive proposition, but it’s often very time-consuming. And when it’s over, there’s the nagging thought “Did I really get a good deal?”

The Costco Auto Program (CAP) was created to take the hassle out of buying a car. It enables Costco members to get a great price on vehicles at more than 2,200 participating dealerships across the country. According to John Gleason, CAP manager, last year Costco members purchased more than 200,000 vehicles through dealers participating in the program, saving an average of more than $1,000 off the typical transaction price*.

“Members enjoy using the program because it makes the process easy,” John says, “but very few know just how much goes on behind the scenes to make the experience smooth and ensure that Costco members get a good deal.”

service we arranged with the dealers. We constantly evaluate the program to ensure members are saving money and time buying a vehicle through this program.”

A story of success

Costco member Margo Nahas, a jewelry designer in Adel, Iowa, is a believer. Nahas, who recently leased a new Nissan Rogue through the program, is not new to CAP.

“I originally learned about the program through The Costco Connection, and this is the fourth vehicle we’ve leased or purchased through it,” she says. “We love the program not just for its exceptional savings but also the peace of mind. My husband used to spend hours in dealerships negotiating with sales reps. It was a terrible experience.”

Nahas leased the Nissan Rogue for her daughter. “We showed [the Authorized Dealer Contact] our Costco card and he showed us

THECOSTCOAUTOPROGRAMis part of a suite of personal and business services offered by Costco. Here’s how the auto program works:

1 Visit Costco.com and search

“ EZ2BUY” or call toll free at 1-800-800-9288 to locate a participating dealership near you.

2 M eet with the Authorized Dealer C ontact at the participating dealership and select a vehicle.

PHOTO COURTESY OF COSTCO AUTO PROGRAM

³

Ask to view the Costco price sheet to see your savings.

4 P urchase the vehicle and drive a way happy!

the prearranged price. The process took about two hours, which included the test drive and looking over all the specific cars on the lot. We saved time, money and self-esteem.” C

Behind the scenes

According to John, great care goes into the program’s quality assurance. CAP employees comparison shop more than 1,000 vehicles each month to ensure that Costco members receive the maximum savings. CAP employees also conduct mystery shops of participating dealers to be sure they are following the program process and to confirm that the price offered on vehicles is the low, prearranged price. Mystery shoppers pay close attention to the member experience.

If Costco members have a problem or question at any point during the process, they can call CAP for assistance. The Member Advocacy Group (MAG) handles members’ questions and helps resolve any problems that may arise.

“The MAG experience is unique in the automotive industry. While other programs claim to offer customer service, our group assists members before, during and after they purchase or lease a car,” explains John. “We follow up even if there was no problem reported to make sure members received the value and

* Savings is calculated by comparing the average transaction price listed on an informational automotive Web site to the Costco Auto Program’s prearranged price for the same makes and models of vehicles between January 2008 and January 2009. Actual savings may vary by individual transaction based on make and model of the vehicle purchased.

Costco does not sell vehicles or negotiate individual transactions. Members must go to a participating dealer.

Don’t miss the boat on savings

 Any currently available national Sea Ray incentives also apply.

 Costco members are also eligible to receive a $500 Costco Cash Card for completing a Costco Auto Program survey after purchasing a boat through the program and submitting a Redemption Form.

For complete details, visit Costco.com and enter “Searay09” in the search box. C

FOR NEARLY 20 years, members have been getting great deals on vehicles through the Costco Auto Program. Now through July 15,

2009, the Costco Auto Program is piloting a new service for Costco me mbers buying new boats in California, O regon and

Washington. Andnot just anyboat, butthe premier Sea Ray line. Costco members are offered substantial savings on five Sea Ray models: the Sport, Select, Sundeck, Select