In a memo to vendors, Calgary Co-op (CCL) has announced that it will begin buying food from Save-On-Foods beginning Spring 2020.
In an email to suppliers, CCL spokeswoman Sage Pullen McIntosh said the move is part of its strategy of “positioning our food business model for unique differentiation” and will have three main benefits for members:
- a better assortment of goods focusing on more local, healthy and convenient products;
- a new flyer exclusively for members;
- the addition of a new suite of private brands exclusive to Calgary Co-op.
CCL also says it will continue to work with local producers and growers to ensure more local products are represented in its stores.
Federated Co-operatives (FCL) warned that Calgary Co-op’s decision could have a major impact on its revenues and workforce. Calgary Co-op is FCL’s largest wholesale customer. FCL executive vice president Vic Huard told the Saskatoon StarPhoenix that “nothing of this magnitude” has happened before. But while he was disappointed with CCL’s decision, he said “we’ll weather this and come out the other side.”