Gristedes Foods has joined the Allegiance Retail Services LLC cooperative in a move the company said would better meet local market demands.
The retailer, which is owned by the Red Apple Group and operates 23 stores in the New York metro area, will be the 30th member of the co-op, bringing the number of stores served to 120.
The ARS cooperative, owner of Foodtown, provides services to its members such as marketing help, technological and operational support and a full line of Foodtown private label products.
John Catsimatidis, Red Apple Group’s chairman and CEO, said the strategic alliance will position the New York-based firm to improve improve its offerings and increase its ability to be the "neighborhood grocer for all New Yorkers."
For example, teaming up with the ARS cooperative will allow Gristedes to offer the Green Way Natural and Organic line of products, which originally launched at the now-defunct A&P stores, as well a larger selection of local items tailored to each neighborhood.
“Helping businesses serve local customers has been at the heart of our operation since our inception," said John T. Derderian, president and CEO of Allegiance Retail Services. "The addition of Gristedes to the Allegiance Retail Services family of cooperative grocers further supports our intelligent growth strategy.”