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Associated Wholesale Grocers, Inc. (AWG) is the United States's largest cooperative food wholesaler to independently owned supermarkets and
grocery A grocery store ( AE), grocery shop ( BE) or simply grocery is a store that primarily retails a general range of food products, which may be fresh or packaged. In everyday U.S. usage, however, "grocery store" is a synonym for supermarket, an ...
stores. It serves more than 4,000 locations in 36 states and from 8 full-line wholesale divisions. The consolidated run-rate sales for AWG is close to $10 billion. In addition to its cooperative wholesale operations, the company also operates subsidiary companies which provide certain real estate and supermarket development services, digital marketing services, and is a wholesale supply provider of health and beauty care, general merchandise, specialty/international foods and pharmaceutical supplies. It was founded in 1924 as Associated Grocers of Kansas City and was based in
Kansas City, Missouri Kansas City (abbreviated KC or KCMO) is the largest city in Missouri by population and area. As of the 2020 census, the city had a population of 508,090 in 2020, making it the 36th most-populous city in the United States. It is the central ...
before moving to
Kansas City, Kansas Kansas City, abbreviated as "KCK", is the third-largest city in the U.S. state of Kansas, and the county seat of Wyandotte County. It is an inner suburb of the older and more populous Kansas City, Missouri, after which it is named. As of the ...
. Associated Wholesale Grocers distributes four private-label brands of grocery products, ''Best Choice'', ''Clearly Organic'', ''Always Save'', and ''Superior Selections'' along with ''IGA''.


History

AWG's history dates back to 1924 when a group of 20 independent grocers met for the first time to discuss the advantages of combining their buying and advertising power. Competition was fierce in those days with national chains dominating the grocery scene. Independents struggled to compete, and a cooperative effort was viewed as the only way in which to gain market strength. For two years, the group bought collectively and stored their wares in the back of a store owned by J.C. Harline at 39th and Troost in Kansas City, Missouri. In March, 1926, Articles of Incorporation were filed. The company's first official warehouse was located in the second floor of the Morehead Grocery Company, at 3842 Troost. In 1953, the company name was changed to Associated Wholesale Grocers, Inc., (AWG) and the following year, AWG paid its first year-end patronage of $20,441 to members. Prior to 1954, members had received dividends on their stock, usually from .50-.75 per share. By the end of the 1960s, AWG had two new warehouses including one in Springfield. In 2010 a 50,000 square foot facility was built to replace one destroyed by fire, and in Kansas City the long-awaited 565,000 square foot office and warehouse complex was ready for occupancy in 2015. itation required In the late 1980s AWG members bought 40 Food Barn stores and 29 Homeland stores, and the former Homeland warehouse in Oklahoma City became AWG's third division. Valu Merchandisers, AWG's wholly owned subsidiary supplying health and beauty care products and general merchandise, came on line offering a selection of more than 12,000 items from its 219,000 square foot facility in Fort Scott, Kansas. In 2003, AWG expanded into the southeastern United States with the acquisition of two grocery distribution centers: a 737,000 square foot facility in
Goodlettsville, Tennessee Goodlettsville is a city in Davidson and Sumner counties, Tennessee. Goodlettsville was incorporated as a city in 1958 with a population of just over 3,000 residents; at the 2010 census, the city had a total population of 15,921 and in 2020 the po ...
and a 675,000 square foot warehouse in Southaven, Mississippi. The 2003 acquisition also included a distribution center in Memphis, Tennessee now operated by AWG's Valu Merchandisers (VMC) subsidiary. VMC supplies general merchandise and specialty foods to its customers from their Memphis facility and health and beauty products from its
Fort Scott, Kansas Fort Scott is a city in and the county seat of Bourbon County, Kansas, United States. As of the 2020 census, the population of the city was 7,552. It is named for Gen. Winfield Scott. The city is located south of Kansas City on the Marmaton ...
warehouse. In 2007, AWG acquired a distribution center from Albertsons in Fort Worth, Texas. This facility served members in Texas, New Mexico, and Louisiana. Also in 2007, AWG built a new distribution center in Oklahoma City, Oklahoma. AWG built the 800,000 square foot facility to serve Oklahoma, northern Texas, and southern Kansas. In 2011, AWG broke ground on a division in Pearl River, Louisiana. This Gulf Coast Division serves independent retailers in Louisiana, Texas, Mississippi, Alabama, Georgia, and Florida. In 2012, AWG completed a 30,000 square foot expansion of its headquarters in Kansas City, KS. The newly expanded complex houses over one-thousand employees, including the AWG corporate office and the Kansas City distribution center, as well as 100 employees from Valu Merchandisers Company, a wholly owned subsidiary formerly located in
Kansas City, Missouri Kansas City (abbreviated KC or KCMO) is the largest city in Missouri by population and area. As of the 2020 census, the city had a population of 508,090 in 2020, making it the 36th most-populous city in the United States. It is the central ...
. AWG's Gulf Coast division, located in Pearl River, Louisiana, began shipping product on January 20, 2013. In 2016, AWG reached an agreement to acquire certain assets of
Affiliated Foods Midwest Affiliated Foods Midwest was a retailers' cooperative based in Norfolk, Nebraska, Elwood, Kansas and Kenosha, Wisconsin, serving the states of Oklahoma, Kansas, Colorado, Wyoming, Nebraska, Missouri, Illinois, Wisconsin, Iowa, South Dakota, Nort ...
(AFM). AFM, a like-minded retailer-owned cooperative, supplied members that operated more than 800 stores in 15 states. In 2017, AWG began distributing their line of groceries to the Highland, Indiana-based Strack & Van Til food stores. In 2017, AWG announced they would sell their 200-employee, Fort Worth, Texas division. In 2020, AWG announced plans to open distribution hubs in Memphis, Tennessee and
Hernando, Mississippi Hernando is a city in, and the county seat of, DeSoto County, which is on the northwestern border of Mississippi, United States. The population was 14,090 at the 2010 census, up from 6,812 in 2000. DeSoto County is the second-most-populous count ...
.


Store concepts

* Apple Market * Cash Saver * Country Mart *
IGA Iga may refer to: Arts and entertainment * Ambush at Iga Pass, a 1958 Japanese film * Iga no Kagemaru, Japanese manga series * Iga, a set of characters from the Japanese novel '' The Kouga Ninja Scrolls'' Biology * ''Iga'' (beetle), a gen ...
* Price Chopper * Sun Fresh * ThriftWay


Selected members

*Four B (Ball's Food Stores and Hen House Market) *Apple Markets of St. Joseph *Cosentino's * Harps Food Stores * Homeland * Houchens Industries * Market Basket *Ray's Apple Markets *
Reasor's Reasor LLC (more simply Reasor's or Reasor's Groceries) is an employee-owned, full-service, regional grocery store chain based in Tahlequah, Oklahoma. Reasor's has seventeen locations in northeastern Oklahoma. Reasor's has a significant pre ...
*Rouse's *RPCS Inc. *Superlo Foods *Thriftway Stores. (Kansas City, MO) *B&R Stores (Super Saver and Russ's Markets) *Gray's Finer Foods (Rockford, Illinois) *GES, Inc. (Edwards Food Giant and Edwards Cash Saver) *Mckeever's Price Chopper


References

{{Reflist


External links


Associated Wholesale Grocers web site
Companies based in Kansas City, Missouri Companies based in Kansas City, Kansas Economy of the Midwestern United States Economy of the Southeastern United States Economy of the Southwestern United States American companies established in 1924 Retail companies established in 1924 Supermarkets of the United States Retailers' cooperatives in the United States 1924 establishments in Missouri