I miss that old, tiny, funky store some days. I've almost forgotten what the corner of Elmwood and Lancaster used to looked like prior to the new construction. In the end though, I think the move was great not just for the Co-op but for the neighborhood as a whole. That was a corner that was effectively dead, and if you look at it now people would probably not believe it.
I have some reservations about what exactly it is I'm getting for my $80. The purpose of the money is obvious - it is a direct contribution to the operating budget, amongst other things. The Co-op used to give a flat 2% discount at the register, which they did away with January 1 in lieu of a new program of dividends and member specific discounts. The dividends are given in "profitable years." By their own admission the Co-op has been profitable only about 25% of the time - I'm not confident at all the business is being run profitably because it's easily illustrated that it hasn't been. Maybe the new store will help that over time, but what's the point in trumpeting a dividend program when it's an open question whether or not the business is actually being run like a business?
They give member-only discounts on around 25 basics, including milk and eggs. Ok, fair enough. On their website they characterize it as "every day low prices" on these items - why not give us specifics on that?
I have a problem with substituting a direct, clearly understood benefit for a nebulous benefit. They sell it as being a great program but I'm not a sucker - business plans illustrated as if they were drawn on a paper napkin are not impressive to me.
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I feel like I've just looked at a diagram of quack ecoscience applied to a business model. In the end, I think the major thing the Co-op is relying upon is a sense of altruism from the people who become member-owners. A commitment to the community, so to speak. Sorry, but that's not good enough for me. Is shopping at Wegman's any less of a commitment to the community, based on how they run their business? I or anybody else could take that $80 and put it towards a CSA and achieve the same sense of self-righteousness, but actually see a tangible, realistic benefit. With the 2% dividend, you knew that if you spent a certain amount of money at the store that your initial investment in the store would be recouped. There is no such guarantee with the new plan, and they characterize it as an improvement. As they say in England, do me a favor...
Anybody have experience being a member-owner and care to share for me how you felt about it?
I used to be a member. But I joined more to support the CoOp than for the discount. I mean, as a single guy, 2% just doesn't compute.
When I moved to SF, I wrote them an email asking about the refund. They promptly emailed me a form that I printed, signed and sent back. Presto: got my check quickly.
Plus, when you join you get (or used to get...) a fancy cloth bag for carrying your groceries (and impressing the chicks).
Hi Tim!
One of the questions I had about membership was actually answered in the pamphlet I picked up at the Co-op today - it was regarding the discount for the every day stuff. I stash your raisins and bananas in my office to snack on during the day, so when I stopped by tonight I grabbed a pamphlet; lo and behold there the info was.
Maybe I was a tad harsh about the drawing - I'm sorry about that! It is a decent illustration of exactly how the cash flow works for the dividend. I think it is fair to say that it would be out of character to post something more formal on the web site instead.
I'm your neighbor, not even a block the street down Elmwood. I am a regular in the store and have been for about 8 years or so. I love a guy that has 76 reasons to become an owner - I'm stupified that you'd say hello here, so thanks for doing so! I really appreciate that you'd take the time to come here and respond. I also notice that you take the time to kindly respond to suggestions entered by people on the yellow slips - I always read them when I'm in the store.
One of the cashiers in the store made another good point to me today regarding some of the bulk purchases. Because I'm so close I'm in there 4 to 5 days a week; by all rights I really should be a member-owner but I've never really perceived the value in doing it. The reasons you've put out there are all important and have value to me, and in the end $80 is a small investment in a store that I have to admit is important to me. You're a damn good salesman, sir.
Hi Joshua. My name is Tim Bartlett and I am the General Manager of the Lexington Co-operative Market. I’m so sad you don’t like my drawing!! Sometimes here at the Co-op we take ourselves too seriously, sometimes not seriously enough â€" I guess that drawing may fall into the latter category.
Thanks so much for writing about the Co-op! I really liked your points and it is helpful to hear what people think of us.
Here’s quick lowdown on co-op ownership... The Co-op is owned by over 5,000 people from Western New York. The only reason the Co-op exists is to meet the needs of these owners and customers. It is a one time, $80 investment to buy a share in the Co-op. The Co-op uses that $80 to capitalize the business; buy new equipment, expand services to customers, and leverage loans from external lenders. The $80 is not used for operational purposes like paying staff or buying food. The Co-op has been profitable in two out of the past three years. We ended the discount program because it was essentially sharing profits with our owners before we made them â€" not a good business practice by any measure.
For me, there are 76 good reasons to become an owner, but here are my four favorites…
1. You get great benefits. I know the 2% was more predictable, but predictable often means boring. Right now, there are over 200 owner only specials in the store, in addition to the 25 bulk products in our everyday basics program. And most of the feedback we’ve heard has been overwhelmingly positive.
2. You get to help the Co-op make decisions. Each owner gets one vote in the Board of Directors elections, and if you really want to get involved, you can run for the board. We also try to engage the owners on any big decision we are considering.
3. You like the impact it has on the community. It gets me excited to work for a business that returns 53¢ of every dollar to the local economy. Are we perfect? Not even close!! But if you like the impact the Co-op has on the local economy, the environment, or the Elmwood strip, then you might want to invest and engage in the process of making it better.
4. The $80 is fully refundable. If you ever decide that the specials, the voting, or the impact just aren’t all that exciting to you, just fill out a form and we’ll buy back your share.
If you want to learn more about Co-ops, I recommend www.ncba.coop.
Ultimately, we don’t want you to feel guilty about not being an owner, and we definitely don’t want you feeling self righteous if you are. At its best, the Co-op is an example of what people can create when they come together to do as a group what they can’t do as individuals. If you think it’s right for you, then we’d love to have you.
Thanks for listening.
Tim
Tim Bartlett
General Manager
Lexington Cooperative Market
807 Elmwood Ave
Buffalo, NY 14222
716.886.1036
tim@lexington.coop
We are member owners from back at the old location. It made way more sense then. It was 2% discount flat and up to 19% discount if you worked so many hours per month (the hours which we could split between us) doing stuff like loading boxes, cutting cheese (no pun intended) etc. We also lived next store to the old building on Lexington and bought like 50% of our food there so it made sense at the time.
If you are really into it, you could probably get on the board and make a difference somehow. Frankly, as a long term member owner who shops there a lot, I would rather see the money re-invested or have prices lowered for members than to get any sort of kick-back.