A consumer cooperative is a business owned by the people who use its products or services.
How it works:
Members join together to combine their purchasing power. This helps the cooperative provide:
- Better prices – Members combine their buying power.
- More choices – Access to a wider selection of products and services.
- Better Access – Members work together to make products and services easier to obtain.
- Better Service – The cooperative is focused on serving members, not outside investors.
Examples of Consumer Cooperatives
Consumer cooperatives can be found in many industries. Two of the most common examples are credit unions and food co-ops.
UW Credit Union – UW Credit Union is a member-owned financial cooperative that serves more than 300,000 members across Wisconsin. It offers services such as checking and savings accounts, loans, and investments. Because it is a cooperative, the people who use the credit union are also its owners.
Outpost Natural Foods – Outpost Natural Foods Cooperative is a member-owned grocery cooperative serving the Milwaukee area. It operates four store locations and is owned by more than 23,000 members. Outpost offers natural, organic, and everyday grocery items while supporting local farmers, producers, and community organizations. As a cooperative, it is owned by the people who shop there.
Madison Community Cooperative (MCC) is a nonprofit housing cooperative in Madison, Wisconsin, made up of 11 member-run cooperative houses with roughly 200 resident members. Founded in 1968, MCC provides affordable, collectively managed housing and is governed by its members through democratic processes. Its mission is to improve the Madison community by offering low-cost cooperative housing while fostering inclusion, education, and community engagement.
Consumer Cooperatives in Everyday Life
Many people already use consumer cooperatives in their daily lives without realizing it. Common examples include:
- Banking through a credit union
- Shopping at a food co-op
- Living in a housing co-op
- Receiving services from a cooperative utility
- Participating in a childcare cooperative
These organizations are owned and guided by the people who use them every day.