Dollar stores are struggling to win over bargain hunters — here’s why
Dollar stores may appear to be reasonable choices for consumers searching for deals. However, this frugal approach hasn't been sufficient to increase Dollar Tree and Dollar General's sales.
In 2024, the deep discounters' stock has already plummeted. Due to lower-than-expected sales, the retailers have separately lowered their full-year projections. Additionally, both have experienced leadership changes: Dollar Tree CEO Rick Dreiling resigned on November 4 and Dollar General and its former CEO Jeff Owens parted ways in October 2023. Dollar Tree is also considering selling off its more grocery-focused brand, Family Dollar.
Those outcomes represent a dramatic reversal for the dollar stores, which were once the talk of Wall Street. The two stores, who will release their quarterly earnings this...