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Dollar Tree raises prices to $ 1.25ExBulletin




Dollar Tree stores are raising prices above $ 1 for the first time in 35 years.

Scott Olson / Getty Images


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Scott Olson / Getty Images

Dollar Tree stores are raising prices above $ 1 for the first time in 35 years.

Scott Olson / Getty Images

For 35 years, the Dollar Tree discount chain has been committed to selling almost anything for $ 1. Now is the time to pass the buck: prices for most items will drop to $ 1.25.

Each year, the value of a dollar is eroded by inflation, making a dollar price commitment more difficult to maintain. Inflation hit the highest rate since 1990 last month.

Dollar Tree rivals, in particular, have moved away from strict prices of $ 1 or even $ 5, in the case of five below. Now the last sticky concedes. Dollar Tree plans to roll out higher prices to all stores by early 2022.

The company has been testing more expensive products for months, adding Dollar Tree Plus stores with $ 3 and $ 5 products. In September, the company said buyers had had a “positive reaction” and announced plans to try $ 1.25 and $ 1.50 at some traditional Dollar Tree locations. Tuesday, he said the test had also produced “overwhelmingly positive” results from undeterred buyers.

To meet the $ 1 restriction, the discount chain has had to stop selling certain sizes and products it hopes to put back on its shelves.

Dollar Tree CEO Michael Witynski argued that the price increase above $ 1 was “not a reaction to short-term or transient market conditions,” he said. in a report. But Witynski also added that “the additional price [affords Dollar Tree] greater flexibility to manage the whole business, especially in a volatile and inflationary environment. ”

Dollar stores have been among the fastest growing chains in the United States, adding hundreds of locations during the pandemic.




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