Associated Wholesale Grocers
| Company type | Cooperative |
|---|---|
| Industry | Wholesale grocery |
| Founded | 1924 |
| Founder | Group of 20 independent grocers |
| Headquarters | Kansas City , United States |
Area served | 36 states in the Midwest, Southeast, and Southwest regions |
| Products | Grocery products, health and beauty products, general merchandise, specialty/international foods, pharmaceuticals |
Number of employees | Over 1,000 (as of 2012) |
| Website | www |
Associated Wholesale Grocers, Inc. (AWG) is a wholesale grocery cooperative owned by retailers, providing products to independently operated supermarkets and grocery outlets. It supports more than 4,000 stores across 36 states in the Midwest, Southeast, and Southwest regions through eight comprehensive wholesale divisions. AWG's combined sales volume approaches $10 billion on an annualized basis.
In addition to its core wholesale business, AWG manages subsidiaries that focus on real estate and supermarket development, digital marketing services, and the wholesale distribution of health and beauty products, general merchandise, specialty/international foods, and pharmaceuticals. Established in 1924 originally as Associated Grocers of Kansas City, the company later moved its headquarters from Kansas City, Missouri to Kansas City, Kansas.
AWG offers four proprietary grocery brands: Best Choice, Clearly Organic, Always Save, and Superior Selections, along with the IGA brand.
History
The foundation of AWG dates back to 1924 when a group of 20 independent grocers joined forces to enhance their purchasing power and advertising capabilities in response to competition from national chains. Initially, the cooperative consolidated goods storage in Kansas City, Missouri. In March 1926, AWG formalized its incorporation by filing Articles of Incorporation and established its inaugural warehouse on Troost Avenue.
In 1953, the organization adopted the name Associated Wholesale Grocers, Inc. (AWG). The following year, it transitioned from issuing stock dividends to distributing its first year-end patronage dividend totaling $20,441 to its members.
During the late 1960s, AWG expanded by opening new warehouses including a facility in Springfield. After a warehouse was destroyed by fire in 2010, it was replaced with a 50,000 square foot building. Subsequently, in 2015, AWG inaugurated a new office and warehouse complex spanning 565,000 square feet in Kansas City.
In the late 1980s, AWG members purchased Food Barn and Homeland stores. The former Homeland distribution center located in Oklahoma City was converted into AWG’s third division. Valu Merchandisers Company (VMC), a fully owned subsidiary specializing in health and beauty care as well as general merchandise, operates out of a 219,000 square foot facility situated in Fort Scott, Kansas.
AWG broadened its reach into the southeastern United States in 2003 by acquiring distribution centers in Goodlettsville, Tennessee (737,000 sq ft), Southaven, Mississippi (675,000 sq ft), and Memphis, Tennessee—facilities now managed by VMC. From Memphis, VMC supplies specialty foods and general merchandise while health and beauty products are distributed from Fort Scott.
In 2007, AWG expanded further by purchasing an Albertsons distribution center in Fort Worth, Texas to serve markets in Texas, New Mexico, and Louisiana. That same year saw the construction of an 800,000 square foot facility in Oklahoma City designed to support operations across Oklahoma, northern Texas, and southern Kansas.
The Gulf Coast Division was launched by AWG in 2011 with a distribution center based in Pearl River, Louisiana. This division services independent grocers across six states including Louisiana and Florida.
By 2012, AWG increased its Kansas City headquarters space by 30,000 square feet to accommodate more than 1,000 employees working across corporate offices and distribution centers including VMC personnel.
In 2016, AWG announced plans to acquire Affiliated Foods Midwest (AFM), a cooperative serving over 800 stores throughout 15 states—substantially expanding AWG’s market presence.
AWG began supplying Strack & Van Til stores located in Indiana in 2017 but also declared intentions that year to divest its Fort Worth division which employed roughly 200 people.
In 2020, as part of ongoing growth initiatives and operational expansion efforts, AWG revealed plans to develop new distribution facilities near Memphis, Tennessee and Hernando, Mississippi.
Store formats
- Apple Market
- Cash Saver
- Country Mart
- IGA
- Price Chopper
- Sun Fresh
- ThriftWay
Notable members
- Four B (Ball's Food Stores and Hen House Market)
- Apple Markets located in St. Joseph
- Cosentino's
- Harps Food Stores
- Homeland
- Houchens Industries
- Market Basket
- Ray's Apple Markets
- Reasor's
- Rouse's
- RPCS Inc.
- Superlo Foods
- Thriftway Stores based in Kansas City, MO
- B&R Stores (operating Super Saver and Russ's Markets)
- Gray's Finer Foods (Rockford, Illinois)
- GES, Inc. (managing Edwards Food Giant and Edwards Cash Saver)
- McKeever's Price Chopper
- County Fresh (including Cash Saver 417, Cash Saver 870, Porter's)
- Eastport Market (Eastport, Michigan)