Friday, January 1, 2010

Co-operative living, in the UK

The model on which our major food retail is based in Canada is neither historic nor cutting edge. Rather, our food chain stores are like an old machine clunking along, it's business plan rooted in a brief moment in consumerism, somewhere between Leave it to Beaver and the Beach Boys. The stores are bigger every year, boasting more selection and more services. Ironically, these shops are now so big you often cannot find what you are looking for (why is some rice considered "international cuisine" and why isn't Ribena stocked with the juice?).
As Indigo/Chapters have smaller Coles and Smithbooks stores, why can't we have Loblaws Lite? Actually, what I really want is what folks in the UK enjoy; The Co-Operative.

UK's The Co-operative has been in operation in some form since 1844 and a leader in retail for most of that time. The shops have been a fixture in village life for decades, and our friends in the UK remember quoting their mums co-op membership number when sent to the store for a bottle of milk or a bag of crisps. Back in those days, shopping at the Co-op was more about saving a few cents on weekly necessities than it was about business ethics, but the organization has always stayed true to their values and principles.

For me it's a dream store; competitive prices on a wide selection of products, this profitable business is more concerned about the environment and ethics than most governments. As stated on their website ... "with over 2,500 food stores and supermarkets around the UK, the Co-operative's own-brand food range comprises great quality with honest and ethically sourced products. We are the only retailer to sell food grown on our own farms, and we are the biggest supporter of Fairtrade with over 200 lines, which is why we are proud to be ranked the top ethical supermarket in the UK – proof of our commitment to responsible retailing. That’s why we’re good with food." In October 2008, the Co-op was awarded the first ever Lifetime Achievement Award by the RSPCA for leadership position on animal welfare. Among other initiatives, the Co-op has created Walking Bus programs to reduce carbon emission, Recycling Education Centres, and 160 schools have now been fitted with roof-mounted solar panel systems worth £20,000 each, and 20 schools across the UK now have a Biomass Boilers - all creating clean green renewable energy.












As well, their own product labels contain more relevant information clearly printed on the packaging that
one can usually find from digging around a manufacturer's website, including food source and how to recycle the container. And what is that I feel - could that be braille? They have programs around global poverty, engaging young people, community investment, and each year a charity is chosen to support. "This year, The Co-operative is aiming to raise over £2million to transform RNID’s ‘Hear to Help’ service from a successful pilot into a national service with 22 projects, serving over 18,000 vulnerable deaf and hard of hearing people throughout the UK. And we have made a great start with thousands of our staff and customers helping raise over £750,000."

And the punch line is, because it is a co-operative, members get dividends!

"In most cases you receive one point for each pound you spend. When we know how much profit we have made, we will change your points into pounds and pence. You will receive your share twice a year: in June and November; in November our members receive an interim payment which values at a point equating to 1p for trading in the first half of the year. The actual amount you receive in June depends on our profitability and the frequency of the share of the profits each year. For instance in June 2009 each point was worth 2p." Members meetings are available on-line to watch, questions can be submitted to the CEO and there is a calendar of member events.

Apart from having shops, some large and some quite small, in every village we visited on holiday (even in the remote village town of Stromness, on the northern tip of the Orkney Islands, where we were chatting with a woman working at the Piers Art Centre who told us she buys her holiday liquor every year with her dividends), the Co-op has a variety of non-food businesses with which to earn points;





The also have the co-operative motor group, electrical group, a communications division and a magazine.

And we have 7 Elevens, Macs Milks and all things biggey-sized.


Perhaps, The Co-op would care to cross the pond?