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Dollar stores are expanding as it builds more outlets across the United States. It was reported that it is currently leading retail store openings in the country based on the data collected by Coresight Research.
According to Fox Business, John Mercer, head of global research, in the said firm explained to the publication why the Dollar stores including the Dollar General, Family Dollar, and Dollar Tree are very popular in the U.S. that is why they are sprouting everywhere even in the middle of the pandemic.
Likewise, the said three retail chains are opening more branches this year as per Core Research and they have recorded the most number of openings and closings. As of Aug. 27, the Dollar retail brands made up more than a third of all the retail openings.
Based on the report, Dollar General will be closing 18 stores but opening 1,035 outlets in various locations. As for Dollar Tree, it will launch new stores in 393 locations with no closures this year and Family Dollar will shut 26 branches and open 198. All in all, the Dollar stores have a combined store opening of 1,626 out of the total 4,616 nationwide.
"Dollar stores are leading store openings so far this year, continuing a trend we’ve seen for the last few years as this sector exploits a market opportunity, and it’s being driven in part by the longer-term bifurcation in the economy, where higher-income customers are doing well, but lower-income consumers are still on tight budgets," Mercer explained to Fox. "Dollar stores, opening up in convenient locations including rural and suburban locations, have positioned themselves well to serve that end of the market.”
He added that they are popular because their prices are cheaper compared to the other grocery and food stores. Dollar General, in particular, may get more customers after launching its fresh produce section. Since more Americans are looking for ways to save more money in these tough times, Dollar stores are simply the best option to shop for food and supplies.
Meanwhile, Dollar General is continuing its efforts to hire more employees before Labor Day this year. It is said to be aiming to employ 50,000 workers for its stores and offices across the country. The company is said to have started hiring in mid-July.
“Dollar General provides unrivaled opportunities for motivated individuals to start or advance their careers, and we look forward to welcoming new colleagues to the Dollar General employee family who shares a passion for serving our customers and communities,” DG’s executive vice president and chief people officer, Kathy Reardon, said in a press release.
