Dollar General hides dollar buyers with these major changes
The company tries to win the war of the customers of the war in dollars.
You have two major options with respect toDollar shops: General dollar and dollar tree. (There is also a family dollar that the latter has ownedSince a merger In 2015.) These retailers have been competing with customers for years, but competition becomes more ferocious than the dollar tree has moved away from its traditional $ 1 pricing structure at higher online prices with the typical price. General dollar. But the general dollar does not leave a rival moving into its space without making its own changes. Read it to know what changes the GENERAL dollar wins to attract the buyers of the dollar.
RELATED:Buyers threaten the Boycott dollar-here's why.
Tree dollar angry buyers by increasing prices in 2021.
Last year, the dollar tree made a decision thatquickly caused reactions Likewise his most loyal customers. The Company announced November 2021 that it would take the price of amajority of its products at $ 1.25 by the first quarter of 2022 after testing higher prices in some stores. "For 35 years, the dollar tree has succeeded by inflationary periods to maintain the dollar philosophy that distinguished the dollar tree and made it one of the most efficient retail concepts for three Decades, "said the discount chain in his ad.AE0FCC31AE342FD3A1346EBB1F342FCB
"However ... the company believes that it is the right moment to move the price constraints of $ 1.00", contained of the constate dollar. But despite the company stating that it had received positive comments from customers in the stores, the decision did not fit well with all buyers.Some customers have even said They were "sick to [their] stomach" on price change, CNN reported.
Now, the general dollar strives to highlight more of its $ 1 offers.
General dollar, on the other hand, has always had a wide range of buyers' prices, with far exceeding $ 1. But in the light of the dollar tree upsetting a lot of its customers, the general dollar is now working to try to attract these buyers. This last one isAdvertising prices of $ 1 to buyers in order to try to "take buyers of dollar trees" and position itself as a lower cost option,Michael MontaniAn analyst from Evercore Investment Bank Society, told ABC-Affiliate Kake in Wichita, Kansas.
According to the outlet, the general dollar makes changes in its stores to put more than $ 1 products in positions of choice in the region. The company also adds more signs to highlight the low price.
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The general dollar could also increase the number of $ 1 products it sells.
The general leaders of the dollar spoke more about these changes. "We have actually supported in our price price of $ 1", CEOTodd Vasos Confirmed on a call with analysts on March 13 by Kake. The company is "growing really [$ 1] the part of the company because I think our customers will need us even more there," he added.
According to Kake, the General Dollar said he also plans to increase his $ 1 product assortment. Vasos reported proposing items of $ 1 can help its main clientele - many of which have fixed income and tend to miss money at the end of the month. Its cheap products will help you "will expand by the month of [a customer]," he said.
Dollar General said that it hoped that some trends convince more buyers to stop at its stores.
Vasos did not talk to the rivalry of the company with the dollar tree, but he noted that the general dollar hoped that she can pull more customers with these changes, especially since buyers struggle even more Due tohigher gasoline price and inflation. "The more difficult times for the consumer normally mean that she needs us more," said Vasos.
According to Kake, GENERAL DOLLAR has 18,000 US stores, some of which are in areas where it is the only shop. The company said it would be likely to work in favor of rising gas prices. Dollar General believes that guests will lead less and get closer to home, which will circumvent the higher price stores and trading at the store at its locations, especially with additional products available.
RELATED: Family dollar has just published this urgent warning to buyers .