Does Costco Do Oil Changes?

One of the most important things about owning a vehicle is knowing how to properly care for and maintain it. This includes regular engine checks and oil changes. However, the quality of the products you put into your vehicle is just as important as regular servicing. Due to the poor reputation of many commercial oil change businesses, many drivers are looking for reliable and affordable alternatives. With Costco’s reputation for quality and customer service, you may be wondering, does Costco do oil changes?

So, Can You Go to Costco for Your Oil Changes?

No. Costco does not do oil changes.

The only automotive service that Costco still performs in its warehouses is tire repair and replacement. While you can still purchase batteries and other accessories, they no longer offer installation or related services. This applies to Costco stores across the United States and Canada.

While there has been a lot of misinformation and confusion on the topic, it seems that these services have officially been removed for Costco customers both in the US and in Canada.

Why Won’t Costco Change Your Oil?

While the exact reason hasn’t been addressed, many speculate why Costco no longer offers oil changes. Here are some of the most likely reasons they have stopped offering these services.

1. Oil changes weren’t profitable.

Costco operates some of its business lines as a loss leader, utilizing the marketing strategy of selling a certain item below market value to attract customers. Once they are in the store, people tend to buy more items with higher profit margins. This stimulates higher revenue, justifying the low cost of the initial item.

Oil changes are often used as part of this strategy.  Oil changes typically have profit margins of 20% to 30%, which is lower than other automotive services.  Many businesses, such as auto dealerships usual add oil changes as an additional service to keep customer loyalty, especially when they have paid for more expensive services. However, Costco’s limited automotive services may not allow Costco to use oil changes as a loss leader.

2. Costco has historically had problems with oil change service quality.

Costco’s business model is designed around providing bulk goods, not highly personalized services. As a result, Costco’s oil change services may have disappointed many consumers. Online searches reveal several negative reviews from 2009 and 2018 about the quality of their staff and services (here, here and here).  These complaints typically centered around improperly installed oil filters and poor staff knowledge.

3. Costco Tire Centers have had poor reviews from Consumer Affairs.

Here is what Consumer Reports has to say about Costco tires.

Another likely reason that Costco doesn’t do oil changes anymore is the mixed reputation of Costco’s automotive service centers. In the past, oil changes were usually done in Costco Tire Centers. However, ConsumerAffairs.com only gives Costco Tire Centers 1.3 out of 5 stars. This statistic is very concerning, especially since it is based on hundreds of reviews.

The low rating is largely due to customers’ complaints about scheduling, poor quality service, and lack of staff communication. But a brief look at the long list of bad reviews would suggest Costco’s Automotive service service centers have ongoing challenges.

4. Their staff lack the necessary expertise.

As previously mentioned, several customers complained about the poor quality of the services they received from Costco. Based on feedback from industry professionals, this is most likely due to untrained staff and unqualified technicians.

5. The liability may outweighs the profits.

Ultimately, companies have to decide whether the discount services they provide are worth the investment. However, if you have several customers complaining about your services and leaving poor reviews, it’s bad for business.

Additionally, mistakes in automotive maintenance can also be very costly. If there is significant damage due to negligence or improper training, it becomes a liability. In the end, the potential liability claims may far outweigh the possible profits from offering oil changes.

Where Should You Go Instead?

So, Costco is no longer an option for oil changes. Therefore, you’ll need to come up with alternatives.  Here are four other options to consider:

1. Go to a commercial oil change business. Firestone, Pep Boys, and Jiffy Lube are businesses that operate in this market. The advantage of a commercial oil change business is they are typically cheaper than dealerships. However, we do not recommend Jiffy Lube. ConsumerAffairs.com lists over 1,141 complaints, with 70% of reviews giving them a rating of 1 star.
2. Go to a dealership. Dealerships are typically the most expensive and time-consuming option for oil changes. However, with increasing automotive computerization, it is more difficult for independent mechanics to handle routine vital fluid changes for newer cars. Dealers are more likely to have up-to-date equipment, necessary scanning tools, and trained personnel. If you do go to a dealer, ask if they price match or accept competitors’ coupons.
3. Do it yourself. Commercial oil change places and dealerships are often under pressure to sell consumers unneeded parts and services. If you know how, changing your own oil may be the cheapest bet. Simply go to a discounter like Walmart or Amazon and buy the oil you need. Costco will also sell you the oil you need. Then, block out the time in your schedule to make the oil change happen.
4. Go with a Costco affiliated company.  Costco has formed relationships with a number of reputable automotive dealerships.  This option is really easy.  You just sign up through Costco’s website (here).  You just enter your name, email, Costco membership number and zipcode, then it gives you a service center to visit and sends a coupon to your email address.  The whole process takes about 3 minutes.

Although Costco is no longer an option, regular oil changes and vehicle maintenance are crucial for your vehicle. So when you see the maintenance lights turn on, don’t wait too long before taking care of it.

Read More

• 4 Reasons to Stop Delaying Your Next Oil Change
• Oil Change Prices: Is DIY Cheaper Than Going to a Shop?
• Yes, Costco Gas Is As Good As The Major Brands

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