Dollar stores pursue expansion strategies

Dollar General and Dollar Tree, the nation’s largest dollar-store chains, are together on track to open more than 1,300 new locations this fiscal year. That is down from last year. But it still far outpaces other retailers’ expansions, reflecting dollar-store executives’ belief that new stores are the key to juicing sales and capturing market share.

Dollar stores historically thrive during periods of economic uncertainty such as the recent period of high inflation. Dollar Tree posted record-high sales during the 2008-09 financial crisis. In 2020, a rise in unemployment at the start of the pandemic boosted Dollar General as customers sought out cheaper groceries and household essentials. 

To read the full article by Kate King, please visit wsj.com.