Hello June; Hello Dear Owners
June! The school year is wrapping up and kids of all ages are focusing on other important things: play, sports, camp, or summer jobs. Yeah! The weather is warming up as if on cue; Farmers’ Almanac is forecasting a stormy summer season ahead. I love thunderstorms and lighting! And, the days leading up to the equinox (June 20) are offering just a little more daylight, and then we start the trend in the reverse direction. Ah summer.
COVID-19 and operational protocols
Thanks to you, the Co-op was open for business throughout the pandemic.
Finally, after 14 long months, there is light at the end of the tunnel. We anticipate a number of operational changes in the coming few days and weeks in response to the Public Health Madison Dane County ending and not renewing another Emergency Order with regard to COVID-19. The social distancing, masking, hand sanitizing and handwashing protocols that we put in place so many months ago to help provide for a safer place to work and shop are now under consideration for phasing out as the emergency orders end.
Stay informed of up-to-date changes by checking out our website or social media.
On the horizon
Over the last few months we have been reviewing the current year’s financial performance, as well as looking ahead and planning our next fiscal year’s operating and capital expenditures budgets. Typically, we look at trends over the year or couple of years to help guide us for the coming year’s plan. We look at positive trends (sales increase) and negative trends (margin decrease) and depending on the results, we determine what we can do to stay the course or reverse the trend. The pandemic provided us an opportunity to learn that we could change how we have traditionally done business to meet the needs of our customers; for example growing e-commerce service, developing curbside pick-up and subscription boxes, and packaging bulk items.
Our goal for the coming year is to return to profitability. During COVID-19 our sales growth suffered and by the end of March this year (Q3 Fiscal Year 2021) our sales were down over 9% for the quarter and 6% for the year. The sales mix of items we sell also shifted significantly during this time to items we make less money on (for example, from prepared foods to packaged groceries). We have focused on matching our expenses to the lower revenues, but have not been able to reduce our expenses at the same rate our revenue has gone down. We anticipate a large loss this fiscal year and are developing plans around pricing, staffing, and reducing costs to ensure we can generate the income and cash flows needed to return to profitability in the near future. This will allow us to continue to provide the array of services and products you have come to know at all of our locations. To be successful we need your help. We need you to consider supporting your Co-op by spending more of your grocery dollars at Willy Street Co-op.
In the coming few weeks, those departments that have been operating for the majority of the year at minimal capacity will begin to reopen. You will see increased product selection and services with the salad, hot, and olive bars opening at our stores, as well as service at the Juice and Coffee Bar opening to its regular hours. We’ll be able to reopen outdoor seating, and eventually return to inside seating in the Commons and Community Rooms. I can’t wait for more things to start opening up!
The Co-op is wrapping up the current fiscal year, which means the annual meeting and Board elections are right around the corner. Save the date: our 2021 Annual Meeting is a virtual event and scheduled to take place on July 8, 2021. So, mark your calendar and plan to attend. Registration is required; check willystreet.coop/2021-annual-meeting. At the time this report was submitted, we were unable to report who is running for the Board to fill the three open seats, but be ready for candidate statements in the July issue of the Reader. You will be able to cast your ballot online, by phone, in the stores, or by mail.
Special store hours: Independence Day, July 4th
The fiscal year ends on July 4, and store hours will be reduced to reflect the holiday as well as to conduct a year-end inventory count. All stores are open until 4:30pm on Sunday, July 4. Plan ahead!
Until next month.
