Impact Report Shows How Food Co-ops Help Communities

Unique businesses are tailored to local areas, according to NCG

5/9/2023

According to NCG's latest impact report, its food co-ops collectively have more than 1.3 million members nationally.

On average, a National Co+op Grocers (NCG) member food co-op buys from 281 local farms and producers and sells $5.6 million worth of local products each year, according to the organization’s “2022 Food Co-op Impact Report.” The annual study measures how community owned food co-ops work individually and together to create a more resilient, just and regenerative food system.

“NCG food co-ops serve nearly 230 communities across 39 states, and that number is growing,” noted C.E. Pugh, CEO of St. Paul, Minn.-based NCG. “Our annual report demonstrates many of the reasons why community demand for food co-ops is increasing nationally. Co-ops are not one-size-fits-all grocery stores, they are unique businesses that are owned by and part of the community, so they are tailored to benefit the community in many different ways.”

The report’s findings included the following:

NCG food co-ops collectively have more than 1.3 million members nationally.
The average food co-op and its members donate $149,000 per year to community groups responding to local needs. Food co-ops owned by their communities have the flexibility to support a range of small, homegrown nonprofits, schools, tribal organizations and community groups that often miss out on foundation and corporate funding.
38% of food co-ops’ combined annual $2.5 billion in sales come from certified organic products. NCG invested $160,000 in advocacy for strong organic standards in 2022.
NCG, itself a Certified B Corporation, discovered that Certified B Corp products made up 8% of NCG food co-ops’ total sales in 2022, higher than other natural grocers (7%) and conventional grocers’ sales (2%). Fair Trade Certified products accounted for 5% of total sales, higher than other natural grocery competitors (3%) and conventional grocers (0.5%). In its first year, NCG’s Inclusive Trade program promoted 14 Certified Minority Owned Businesses, generating $1.4 million in promotional sales.
The average food co-op employs 110 people, 58% of whom are eligible for health care benefits, 14% higher than the national coverage rate for service employees (44%).
Approximately half of NCG food co-ops report paying all staff local livable wages, and 64% contribute to staff retirement plans, compared with U.S. Bureau of Labor statistics data showing that nationally, just 40% of service employees have employer-sponsored retirement plans.

NCG helps unify food co-ops to optimize operational and marketing resources, strengthen purchasing power, and ultimately offer more value to co-op owners and shoppers. Its 159 member co-ops operate nearly 230 storefronts in 39 states, with combined annual sales of $2.5 billion.