SUSTAINABILITY
Retail Innovation
For the Love of Local A GROCERY CO-OP MAINTAINS ITS VALUES DURING A TIME OF GRE AT UPHE AVAL, AND COMES OUT ON TOP. By Bridget Goldschmidt
stablished in Buffalo, N.Y., 50 years ago, Lexington Co-op opened its first store on the city’s avenue of the same name, with the motto “Food for People, Not for Profit.” In the beginning, all of the work was done by member-owners of the cooperative grocer, who had to work shifts at the store stocking, cashing and even cutting cheese. Some things may have changed since then, but not the co-op’s commitment to its principles: In 1987, it restructured to become a representative democracy, with owners investing $80 for a share, and in 2015, the board of directors unveiled Lexington’s BIG Direction initiative to bring its values to life by fostering a thriving co-op in every community that wants one. This passion for aiding the local community has endured into the present, as Progressive Grocer discovered when it connected with Tim Bartlett, general manager for the Lexington Co-op, which currently consists of two Buffalo locations — ironically, neither of them located at its eponymous first address — on Elmwood and Hertel Avenues. Progressive Grocer: What are the origins of the co-op, and why did it get started? Tim Bartlett: The co-op was founded by 31 community members in 1971. They were looking for access to fresh, organic and locally sourced foods. By combining their buying power, prices were lower, and producers could drop off in one central location. PG: What sorts of benefits do members receive? TB: The co-op is owned by 20,000 owners. Most owners join the co-op to be a part of the co-op community and support local business. Outside of the pride of ownership, co-op owners receive owner discounts on products and classes, the right to run for and vote for the board of directors, access to the curbside pickup program, and patronage dividends, distributed in years when the co-op is profitable. PG: How has the co-op weathered the pandemic? Please provide specific examples of how you had to pivot operations to keep serving your customers and community, and what the results were, financially and otherwise.
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TB: In March, demand for groceries doubled overnight and crippled our national supply chain. In western New York and beyond, grocery shelves were bare. But amid the empty shelves at the co-op were full complements of items from local producers and suppliers: BreadHive bread, Upstate Farms milk, Freebird chicken, and produce from Desiderios. Most grocery chains create efficiency by having everything shipped through a single warehouse, but in a time of crisis, it was the co-op’s diverse and local network that helped to keep our community fed. Our customers responded, driving $3.9 million in purchases from local producers in 2020, a 10% increase over 2019 in spite of reduced sales. A customer favorite and co-op mainstay was our hot bar and salad bar. Here, customers could self-serve a range of items, build their own meals and salads, and purchase hot soups. When the pandemic hit, we were forced to pivot our selection to pre-wrapped and -portioned items. In June [2020], we launched our hot sandwich program out of those same hot bar areas. To date, we have sold 35,896 hot sandwiches and wraps for over $320,000. Similarly, we began to offer fish fries every Friday. These pre-made dinners could be ordered ahead and picked up in our stores. To date, we have sold 3,294. As customers opted to stock up and stay home, the co-op launched a curbside pickup program. It was a “down the road” project until the pandemic and the needs of our customers pushed it to the forefront. PG: How do you interact with your local community? TB: Whether it’s sharing our favorite crafts, skills and recipes, or partnering with the many booming businesses in our neighborhoods, we’re invested in bringing the best of western New York to our owners and shoppers. In January 2020, the co-op launched a Double Up Food Bucks program. With the help of a regional grant, the co-op offers fresh fruits and vegetables at 50% off to customers who use EBT/SNAP benefits. To date, 1,031 people have enrolled and saved nearly $70,000 on their fresh produce purchases. Growing out of customers’ requests to give back to our community, the co-op launched a Change for Change donation program. After each register transaction, customers are asked whether they would like to round up their purchase for the selected organization of the month. Through this program, co-op customers have raised more than $68,000 for local Buffalo organizations. Monthly Change for Change recipients are nominated by and voted on by staff. Since its inception, the Change for Change program has benefited every corner of our community, including food access, social justice, health and wellness, and many other causes. The co-op proudly carries prod-
