Greenbelt Co-Op Supermarket Draws Loyal Customers
By: Melissa Ostrow
For: Suburban Newsline
View Original Article
Convenience, good customer service and a chance to catch up with the neighbors is what draws Greenbelt residents into the Greenbelt Co-Op Supermarket in the Roosevelt Center, said Arnold Norden, who has been a Greenbelt resident for 17 years.
Norden said he sees his trips to the co-op as a social function. "I see people I haven't seen all week -- I can't do that at the Safeway," said Norden.
The co-op is an intricate part of the community, said Michael McLaughlin, Greenbelt's city manager. He explained that the co-op is a key element to keeping Greenbelt a "viable planned community."
A co-op has been a part of the Roosevelt Center for at least 50 years, but this Co-Op moved into the spot in 1984. It was formed by the Greenbelt Consumer Cooperative to provide the community with a food store, said Bob Davis, the general manager.
Since the Co-Op's goal is not to make a profit, it returns any extra money to the 6,000 members and to its employees, said Davis.
This is something that differentiates the small, 18,000 square foot Co-Op from the large supermarkets nearby, such as Giant and Safeway, which are usually about 60,000 square feet.
The size of the Co-Op is both a blessing and a curse, said Davis, who explained that the Co-Op needs less space then the chain stores.
A large chain can carry more volume and has the advantage of having one administrative staff for multiple stores, said Davis. The Co-Op could expand but chooses to keep the store small to keep the neighborly atmosphere and the convenience of the store.
However, because profit is not one of the Co-Op's goals, it does not have to charge the highest retail prices, said Davis. It just needs to be able to pay its expenses and hold a small reserve to pay for repairs.
Keeping the prices low is also important to the Co-Op so that it can compete within the grocery market by not charging more than what other stores are charging.
The Co-Op's income statement for 2001 showed that it made $8,517,286.91 in sales, but after the cost of goods, employees' bonuses and members' refunds, it had a net loss of 1 cent. The Co-Op nets anywhere from a plus of 1 or 2 cents to a loss of a few cents each year.
Large chain grocery stores could never have a negative 1 cent at the end of the year for long because they have shareholders who want to be paid, said Davis.
Prices are similar to the nearby Giant on Greenbelt Road. A dozen extra large eggs were $1.09 at Giant and $1.29 at the Co-Op. But a quart of 1-percent milk was 89 cents at the Co-Op and $1.09 at the Giant.
Norden said that there were some advantages to Safeway because it is a chain supermarket, For example, the store goes through meats and vegetable quicker, so Safeway's products may be fresher.
But the Safeway cannot give Norden the same community feeling.
"I know them and they know me," said Norden of the Co-Op.
Because it is a community store, the Co-Op gives customers a voice in the supermarket, said Davis. Customers can put suggestions in the suggestion box or knock on Davis' office door to tell him what they like -- or don't like.
"It gives a small town feel, which is what Greenbelt is all about, said shopper John Wood, a resident of Greenbelt.
