Grocery buying clubs help families save money

Jen Wiggin and her friends are cutting out the middleman. Several years ago, they began buying groceries from the distributor Associated Buyers International of Barrington, New Hampshire. The company also supplies stores and restaurants but about a quarter of its business is with buying clubs.

Wiggin meets the $350 minimum order with just three families. They pitch in by placing the orders, collecting the money and dividing up the groceries.

"I think you could probably save the most money buying you know, bulk things: pasta, flour, baking products, sugar. And if you can divide them up with somebody, that's the way to save money," said Wiggin.

Wiggin says she saves $100 to $200 a month for her family of three. Large families say they can save as much as $500.

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