I started buying gold coins a couple of years ago when I started having a bad feeling about the dollar. I had a bunch of cash that I didn't want to keep as cash, but didn't want to invest it conventionally either. I started buying gold coins at the local coin and stamp dealer. He gave me prices just above spot prices. Of course in retrospect, I'm really glad I did it.
I do keep the coins in a safety deposit box. You can buy bars if you want, but coins are a little more user friendly. American Eagles are not pure gold, but they make up for it by being slightly more than 1 ounce coins. Krugerands are the same. Canadian Maple leaf gold coins are 99.9% pure and are of course exactly 1 ounce.