If you’ve ever browsed the steak selection at Costco, you’ve likely faced this common conundrum: Should you opt for a pack of perfectly good-looking cuts of your favorite beef at the standard rate, or splurge on a pricier—sometimes significantly pricier—premium version of the same steak?

Unlike many grocery stores, Costco doesn’t typically stock cheap, lean steaks. Instead, the warehouse giant focuses on high-quality, fatty cuts (sold in bulk, naturally—it’s Costco, after all). Your choices boil down to two USDA classifications: USDA Choice or USDA Prime. Both are top-notch options, with the primary difference being the fat content—and, of course, the price tag.

Prime: The Pinnacle of USDA Beef Grades
USDA Prime is the highest grade of beef, awarded to cuts with exceptional marbling—the white streaks of fat running through the red muscle. The more marbling, the more tender, juicy, and flavorful the steak. Prime cuts come from young cows and are typically reserved for luxury hotels and high-end steakhouses like Ruth’s Chris and Morton’s. Finding Prime-grade steaks at your neighborhood supermarket is rare, making Costco’s selection a major draw for steak enthusiasts.

Choice: The Next Best Thing
USDA Choice is the second-highest grade, offering slightly less marbling than Prime but still delivering tender, juicy, and high-quality meat. Choice steaks are more budget-friendly, often costing 20% to 25% less than their Prime counterparts. You’ll find them featured at casual restaurant chains like Texas Roadhouse and Outback Steakhouse, making them a popular choice for everyday meals.

Prime vs. Choice: Is the Difference Worth It?
If you’re not a professional chef with the tools and skills to perfectly replicate a steakhouse experience, you might wonder if it’s worth paying extra for Prime. Would your taste buds truly notice the difference, or is the price tag the only thing that stands out?

To answer this question, I conducted an experiment. I picked up three popular cuts from Costco—ribeye, sirloin, and New York strip—purchasing both USDA Choice and USDA Prime versions of each. That’s six steaks in total. My mission? To determine if the average customer can taste the difference and whether the higher price for Prime is justified.

New York Strip: Choice vs. Prime

The classic strip steak is my go-to cut for home cooking, and Costco has become my primary source for these over the years. The steaks are consistently big, thick, and satisfying—a four-pack typically provides two meals for my family of four, plus plenty of scraps for the dog. Until now, I’ve always stuck with USDA Choice because the total cost (usually $50 or more) already feels significant, and the steaks look so good that upgrading to Prime has seemed unnecessary. But for this experiment, I decided to try both.

Here’s the breakdown:

  • USDA Choice: Priced at $11.99 per pound, a 5-pound pack costs nearly $60.
  • USDA Prime: At $19.99 per pound, a 5-pound pack comes closer to $100.

The Look

The USDA Choice strips appeared super fresh, with a deep red hue, ample marbling, and a slim fat cap along one side. In contrast, the USDA Prime cuts had a slightly lighter color but significantly more marbling. The intricate patterns of fat streaks on the Prime steak reminded me of the Finger Lakes in Upstate New York.

From each pack, I selected one steak: a 15.5-ounce Choice strip and a 1.2-pound Prime strip. I grilled both to medium rare. Once sliced, the difference was clear. The muscle fibers in the Prime steak ran in long, defined lines, while the Choice cut had a more jumbled appearance.

The Taste

The Choice strip delivered its usual rich, juicy flavor, but its chewiness stood out in comparison to the Prime cut. The difference was striking. The Prime steak was immediately more tender, buttery, and luxurious.

Everyone at the table agreed: the Prime strip outshone its Choice counterpart in flavor and richness. My wife, a discerning critic, declared the Prime steak "a true representation of Costco’s quality." As for the Choice steak? She quipped, "This one’s for the dog."

Ribeye: Choice vs. Prime

The ribeye is known for its exceptional marbling, making it a popular choice in restaurants, though it’s not a cut I often cook at home. At Costco, ribeyes are impressively large, typically sold three to a pack instead of the four you’d get with strip steaks. The current pricing is $14.99 per pound for USDA Choice and $21.99 for USDA Prime. For a comparable 4.5-pound pack, expect to pay over $67 for the Choice version and more than $99 for Prime.

The Look

At first glance, both grades looked remarkably similar in color, with generous fat caps and thick ribbons of internal marbling. A closer inspection revealed that the Prime ribeye had finer, more numerous flecks of fat throughout. I selected two hefty steaks from each pack, each weighing well over a pound, and grilled them to medium rare. Both charred beautifully, with moist, pink interiors.

The Taste

The verdict? Virtually identical. Both steaks were incredibly tender, juicy, and flavorful, making it nearly impossible to distinguish between the two in a side-by-side comparison—especially after the stark contrast observed between the strip steaks.

Given these similarities, it’s worth questioning whether the pricier Prime ribeye is necessary when the Choice version delivers the same exceptional flavor. Even my wife, who typically gravitates toward premium options, agreed: “I’d go with the cheaper one because there’s no noticeable difference.”

Sirloin: Choice vs. Prime

Sirloin steak is known for being leaner than popular cuts like ribeye, but it can deliver impressive flavor when prepared well. At Costco, the price difference between USDA Choice and USDA Prime sirloin is relatively modest: $9.99 per pound for Choice and $11.99 per pound for Prime. This means a 4-pound pack costs around $40 for Choice and $48 for Prime—a smaller jump compared to other cuts.

The Look

Both grades were lean and muscular, with little visible marbling. The Prime sirloin had a few more flecks of fat, but overall, both cuts appeared as solid, deep red masses of meat. What they lacked in marbling, they made up for in size—thick and plump cuts requiring a slightly longer cooking time to achieve a perfect pink center. Once cooked, the Choice sirloin displayed a looser grain, while the Prime steak had a tighter web of muscle fibers.

The Taste

Both steaks turned out juicy, but the differences were noticeable. The Choice sirloin offered a robust, traditional beefy flavor but was more sinewy and chewy in texture. On the other hand, the Prime sirloin had a more luscious taste with a softer, more tender bite.

Which steak is better? That depends on your preference—whether you prioritize bold flavor or a smoother texture. Both have their merits, leaving the final choice up to your palate.

The Verdict

If you’re looking to elevate your cooking game with a higher-quality steak, Costco’s Prime New York strip is a worthy upgrade. It far outshines its more economical Choice counterpart in both taste and texture, making it the only steak in this taste test where the Prime-grade markup feels justified.

Costco’s Prime ribeye, while delicious, is nearly indistinguishable from its Choice version, making the extra cost hard to justify. Meanwhile, upgrading to Prime sirloin for $2 more per pound may result in a slightly more tender steak, but it could come at the expense of flavor, and the price difference is minimal.

As a self-proclaimed strip steak enthusiast, I had no idea what I was missing by sticking with the Choice cut. Now that I’ve experienced the superior Prime version, there’s no turning back.

Steak nights at my house are about to become even more delicious—and a bit pricier, too.

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