Why Is Costco's Rotisserie Chicken So Cheap?

iStock.com/LauriPatterson
iStock.com/LauriPatterson

Rotisserie chicken is a quick, easy meal with frequent leftovers. Couple that with the fact that Costco's ready-to-eat version costs less than raw chicken, and it might be tempting to give up cooking altogether. So why exactly does Costco's four-pound bird cost a paltry sum of $4.99, and why don't they raise the price?

When Barclays analyst Meredith Adler asked Costco CFO Richard Galanti this question in 2015, he responded, "I can only tell you what history has shown us: When others were raising their chicken prices from $4.99 to $5.99, we were willing to eat, if you will, $30 to $40 million a year in gross margin by keeping it at $4.99. That's what we do for a living."

In other words, it's their business philosophy—plain and simple. (The company has the same rule about keeping their concession hot dogs and soda at an inflation-ignoring $1.50.) Some were skeptical, though. According to Money, a more likely explanation is that the chicken is a "loss leader" that's meant to lure customers into the store later in the day—especially around dinner time. The hope is that these hungry customers will pick up a few other items they wouldn't have bought otherwise. As CNBC points out, that's why the rotisserie chicken counters are strategically located at the back of the store.

One other theory is that Costco sometimes has a high supply of chickens, and instead of throwing them away when they're about to expire, they cook them and sell them as ready-to-eat food. After all, making less money is better than making no money at all. "What's more, if the rotisserie chickens don't sell, the meat can be used in soup, chicken salad, and other profitable deli items," Money writes.

Whatever the exact reason, Costco is going to great lengths to hold its prices steady. According to Eater, the company will be launching its very own chicken farming operation in Nebraska. That way, it will no longer be entirely dependent on the chicken "monopoly" dominated by companies like Tyson and Perdue, whose prices have increased in recent years. Costco plans to raise 100 million chickens annually, which will supply them with 43 percent of the poultry needed for its rotisserie chicken counter, as well as one-third of the raw birds needed to stock the meat section. The company has already broken ground on a poultry processing facility in Fremont, Nebraska (roughly an hour outside of Omaha), and it also plans to construct a feed mill and over 500 barns.

It looks like families will continue serving up $5 rotisserie chicken for some time to come.

[h/t Eater]

10 of the Most Popular Portable Bluetooth Speakers on Amazon

Altech/Bose/JBL/Amazon
Altech/Bose/JBL/Amazon

As convenient as smartphones and tablets are, they don’t necessarily offer the best sound quality. But a well-built portable speaker can fill that need. And whether you’re looking for a speaker to use in the shower or a device to take on a long camping trip, these bestselling models from Amazon have you covered.

1. OontZ Angle 3 Bluetooth Portable Speaker; $26-$30 (4.4 stars)

Oontz portable bluetooth speaker
Cambridge Soundworks/Amazon

Of the 57,000-plus reviews that users have left for this speaker on Amazon, 72 percent of them are five stars. So it should come as no surprise that this is currently the best-selling portable Bluetooth speaker on the site. It comes in eight different colors and can play for up to 14 hours straight after a full charge. Plus, it’s splash proof, making it a perfect speaker for the shower, beach, or pool.

Buy it: Amazon

2. JBL Charge 3 Waterproof Portable Bluetooth Speaker; $110 (4.6 stars)

JBL portable bluetooth speaker
JBL/Amazon

This nifty speaker can connect with up to three devices at one time, so you and your friends can take turns sharing your favorite music. Its built-in battery can play music for up to 20 hours, and it can even charge smartphones and tablets via USB.

Buy it: Amazon

3. Anker Soundcore Bluetooth Speaker; $25-$28 (4.6 stars)

Anker portable bluetooth speaker
Anker/Amazon

This speaker boasts 24-hour battery life and a strong Bluetooth connection within a 66-foot radius. It also comes with a built-in microphone so you can easily take calls over speakerphone.

Buy it: Amazon

4. Bose SoundLink Color Bluetooth Speaker; $129 (4.4 stars)

Bose portable bluetooth speaker
Bose/Amazon

Bose is well-known for building user-friendly products that offer excellent sound quality. This portable speaker lets you connect to the Bose app, which makes it easier to switch between devices and personalize your settings. It’s also water-resistant, making it durable enough to handle a day at the pool or beach.

Buy it: Amazon

5. DOSS Soundbox Touch Portable Wireless Bluetooth Speaker; $28-$33 (4.4 stars)

DOSS portable bluetooth speaker
DOSS/Amazon

This portable speaker features an elegant system of touch controls that lets you easily switch between three methods of playing audio—Bluetooth, Micro SD, or auxiliary input. It can play for up to 20 hours after a full charge.

Buy it: Amazon

6. Altec Lansing Mini Wireless Bluetooth Speaker; $15-$20 (4.3 stars)

Altec Lansing portable bluetooth speaker
Altec Lansing/Amazon

This lightweight speaker is built for the outdoors. With its certified IP67 rating—meaning that it’s fully waterproof, shockproof, and dust proof—it’s durable enough to withstand harsh environments. Plus, it comes with a carabiner that can attach to a backpack or belt loop.

Buy it: Amazon

7. Tribit XSound Go Bluetooth Speaker; $33-$38 (4.6 stars)

Tribit portable bluetooth speaker
Tribit/Amazon

Tribit’s portable Bluetooth speaker weighs less than a pound and is fully waterproof and resistant to scratches and drops. It also comes with a tear-resistant strap for easy transportation, and the rechargeable battery can handle up to 24 hours of continuous use after a full charge. In 2020, it was Wirecutter's pick as the best budget portable Bluetooth speaker on the market.

Buy it: Amazon

8. VicTsing SoundHot C6 Portable Bluetooth Speaker; $18 (4.3 stars)

VicTsing portable bluetooth speaker
VicTsing/Amazon

The SoundHot portable Bluetooth speaker is designed for convenience wherever you go. It comes with a detachable suction cup and a carabiner so you can keep it secure while you’re showering, kayaking, or hiking, to name just a few.

Buy it: Amazon

9. AOMAIS Sport II Portable Wireless Bluetooth Speaker; $30 (4.4 stars)

AOMAIS portable bluetooth speaker
AOMAIS/Amazon

This portable speaker is certified to handle deep waters and harsh weather, making it perfect for your next big adventure. It can play for up to 15 hours on a full charge and offers a stable Bluetooth connection within a 100-foot radius.

Buy it: Amazon

10. XLEADER SoundAngel Touch Bluetooth Speaker; $19-$23 (4.4 stars)

XLeader portable bluetooth speaker
XLEADER/Amazon

This stylish device is available in black, silver, gold, and rose gold. Plus, it’s equipped with Bluetooth 5.0, a more powerful technology that can pair with devices up to 800 feet away. The SoundAngel speaker itself isn’t water-resistant, but it comes with a waterproof case for protection in less-than-ideal conditions.

Buy it: Amazon

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Why Are Decaf Coffee Pots Orange?

If you're looking for a caffeine fix, you know that orange pot isn't going to help.
If you're looking for a caffeine fix, you know that orange pot isn't going to help.
RonBailey/iStock via Getty Images

The orange spout and handle on a decaf coffee pot have saved many caffeine lovers from having a terrible morning. Like the orange on a traffic cone, the color has become a signal both to the people who drink coffee and the servers who pour it. But the shade wasn't merely chosen for its eye-catching qualities; orange is a piece of branding left over from the original purveyors of decaf java.

According to The Cubiclist, decaffeinated coffee first arrived in America via the German company Sanka. Sanka (a portmanteau of the words sans and caffeine) sold its coffee in stores in glass jars with orange labels. The bright packaging was the company's calling card, and because it was the first decaffeinated coffee brand to hit the market, consumers started looking for the color when shopping for decaf.

In 1932, General Foods, which has since merged with Kraft, purchased Sanka and got to work promoting it. To spread the word about decaf coffee, the company sent orange Sanka coffee pots to coffee shops and restaurants around the country. Even if the waitstaff wasn't used to serving two types of coffee, the distinct color of the pot made it easy to distinguish decaf from regular.

The plan was such a success that orange eventually became synonymous not just with Sanka, but all decaf coffee. Other coffeemakers began offering decaffeinated alternatives, and when marketing their products, they chose the color Sanka had already made popular.

The reason for the orange coffee pot is just one of decaf's not-so-mysterious mysteries. Here's some of the science behind how exactly coffee makers get the caffeine out of the beans.

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