Dollar Tree Raising Prices

veteran+
Valued Contributor
Valued Contributor
Posts: 2234
Joined: January 3rd, 2015, 7:53 am
Has thanked: 1204 times
Been thanked: 72 times
Status: Offline

Re: Dollar Tree Raising Prices

Post by veteran+ »

storewanderer wrote: December 8th, 2021, 11:38 pm Saw a location tonight that removed the lit "Everything's $1.00" sign from the exterior completely.

Was still $1 inside if you could find anything on the shelves worth buying. Cannot believe employees are not embarrassed at even operating a store in this condition.

I guess all efforts are on removing the "everything's $1" signs in the store. So far they still have wall fixtures but have torn off all of the plastic shelf strips which I am guessing took a lot of time.

dltr3.jpg
dltr2.jpg
dltr1.jpg
dltr4.jpg
GROSS!!!!!
Romr123
Assistant Store Manager
Assistant Store Manager
Posts: 693
Joined: February 1st, 2021, 4:26 pm
Has thanked: 37 times
Been thanked: 56 times
Status: Offline

Re: Dollar Tree Raising Prices

Post by Romr123 »

oof-what a mess! The one I was in was certainly lots better than that! I did note that most food items looked to be reasonably fresh, though the pizza crusts had many expired ones in the stack (with several different dates, actually).
storewanderer
Posts: 14396
Joined: February 23rd, 2009, 3:54 pm
Has thanked: 2 times
Been thanked: 298 times
Contact:
Status: Offline

Re: Dollar Tree Raising Prices

Post by storewanderer »

How are the sign changes looking elsewhere?

This store is still $1 on all items but the exterior sign got modified.

This one looks horrible.
This is a former 98 Cent Clearance Center. It probably opened around 1994. The sign was modified when Dollar Tree bought the chain in the late 90's - basically covered up the 98 Cent Clearance Center logo on the left (this is why it doesn't quite look like a Dollar Tree logo) and then they swapped out the part of the sign on the far right to say 1.00 (it had said 98 cents).

I think with the price increase they are planning they could afford to improve the signs better than this. Also seems like it would be cheaper to replace the sign to say everything's 1.25 or less.

Maybe they are just waiting to replace the signs entirely and put new signs up that say Family Dollar since it appears that is the end game here. And if they do that, they won't make it. Family Dollar strikes me as a very poorly performing chain. If it was such a great idea to have multiple price points/higher price points in the stores, why were so many Family Dollar units converted to the Dollar Tree banner 4-5 years ago?

Now following Wall Street's orders they seem to be trying to revert over to a Family Dollar-like format on the Dollar Tree units.
dltr6.jpg
Alpha8472
Posts: 3931
Joined: February 24th, 2009, 8:55 pm
Been thanked: 79 times
Status: Offline

Re: Dollar Tree Raising Prices

Post by Alpha8472 »

The stores in the San Francisco Bay Area seem to be all $1.25 now. The Everything's A Dollar signs have been removed. The Dollar Tree logo is a tree with the number 1 as a tree trunk. That logo is still on the windows.
Bagels
Assistant Store Manager
Assistant Store Manager
Posts: 823
Joined: August 20th, 2018, 11:54 pm
Has thanked: 1 time
Been thanked: 12 times
Status: Offline

Re: Dollar Tree Raising Prices

Post by Bagels »

The Dollar Tree stores near me literally changed prices overnight: I was in the store one night as they were pulling the “everything is $1” shelf tags, and then again the next night in which hand written $1.25 signs were placed throughout the store.

Interestingly, I stopped at a brand new Dollar Tree in Utah recently and they had put up the “everything is $1” signs. I guess the Salt Lake market will remain at the $1 price point for awhile.
storewanderer
Posts: 14396
Joined: February 23rd, 2009, 3:54 pm
Has thanked: 2 times
Been thanked: 298 times
Contact:
Status: Offline

Re: Dollar Tree Raising Prices

Post by storewanderer »

Bagels wrote: December 29th, 2021, 4:42 pm The Dollar Tree stores near me literally changed prices overnight: I was in the store one night as they were pulling the “everything is $1” shelf tags, and then again the next night in which hand written $1.25 signs were placed throughout the store.

Interestingly, I stopped at a brand new Dollar Tree in Utah recently and they had put up the “everything is $1” signs. I guess the Salt Lake market will remain at the $1 price point for awhile.
No, all stores will be $1.25 by April 2022 based on what the upper management promised to Wall Street, who cheered the move.

I suppose if the results are a failure/flop they may go back on the move.

Still $1 in Reno (as of a couple days ago) but clearly getting ready to hit the $1.25 any second. They have pulled the $1 shelf strip signs out a couple weeks ago. There are still fixtures and other random everything's $1 signs up in the stores. That branding was all over the store, removing it is no small task.
Bagels
Assistant Store Manager
Assistant Store Manager
Posts: 823
Joined: August 20th, 2018, 11:54 pm
Has thanked: 1 time
Been thanked: 12 times
Status: Offline

Re: Dollar Tree Raising Prices

Post by Bagels »

storewanderer wrote: December 29th, 2021, 7:11 pm
Bagels wrote: December 29th, 2021, 4:42 pm The Dollar Tree stores near me literally changed prices overnight: I was in the store one night as they were pulling the “everything is $1” shelf tags, and then again the next night in which hand written $1.25 signs were placed throughout the store.

Interestingly, I stopped at a brand new Dollar Tree in Utah recently and they had put up the “everything is $1” signs. I guess the Salt Lake market will remain at the $1 price point for awhile.
No, all stores will be $1.25 by April 2022 based on what the upper management promised to Wall Street, who cheered the move.

I suppose if the results are a failure/flop they may go back on the move.

Still $1 in Reno (as of a couple days ago) but clearly getting ready to hit the $1.25 any second. They have pulled the $1 shelf strip signs out a couple weeks ago. There are still fixtures and other random everything's $1 signs up in the stores. That branding was all over the store, removing it is no small task.
It appears California is the first market to go to the $1.25 price point in its entirely. While it seems logical, the lion’s share of products may still be purchased for $1 at 99 Cents (Only) Store. It’ll be interesting to see if the 99 quickly matches, or uses it as an opportunity to win over new consumers.

I don’t expect the $1 price point to return, but it makes Dollar Tree uncompetitive on most of the food items it stocks.
storewanderer
Posts: 14396
Joined: February 23rd, 2009, 3:54 pm
Has thanked: 2 times
Been thanked: 298 times
Contact:
Status: Offline

Re: Dollar Tree Raising Prices

Post by storewanderer »

Bagels wrote: December 31st, 2021, 3:44 am

It appears California is the first market to go to the $1.25 price point in its entirely. While it seems logical, the lion’s share of products may still be purchased for $1 at 99 Cents (Only) Store. It’ll be interesting to see if the 99 quickly matches, or uses it as an opportunity to win over new consumers.

I don’t expect the $1 price point to return, but it makes Dollar Tree uncompetitive on most of the food items it stocks.
Still $1 in Reno today.

Also for locations that are not near a 99 Only, Dollar General basically duplicates the mix on the consumables at the $1 price point. For that matter, so does Family Dollar. Have the CA Family Dollars also moved their entire Dollar Tree product mix to $1.25? The NV ones have not and are still $1.

Dollar Tree needs to make some serious changes to its consumable mix for the $1.25 price point to represent the same value to the customer as the $1 did. Maybe they don't want to sell consumables. Maybe they just want to sell the higher margin type items (cards, bags, crafts, office supplies, OTC drugs) and get $1.25 for them instead of $1. They claimed this price increase was not because of inflation (always nice when you try not to play politics) and it would allow them to add more items. Okay guys, where are the new items being added in? I don't see any new items. These items are all from China and were ordered months ago (and presumably ordered with the intention of being sold at $1). All I see is an overnight price increase to 1.25 or 1.10 for the same junk that cost $1 before. So this feels like a money grab or a way to combat rising operating costs as opposed to rising product costs (if this isn't about inflation).

To that point I don't think I've ever seen a business literally do a 25% price increase overnight on their entire product mix.

Dollar Tree is a chain I have never really liked. I am amazed they held the $1 this long. The mix kept deteriorating over the years as they clung to the $1 price point. But the stores maintained their foot traffic and they have always been very useful for certain items; notably cards, bags, and sometimes small household items if you just need something to get some small job done like a small paint roller, screwdriver, etc. Also have brought along a few books from Dollar Tree when I need something to put me to sleep on a flight. Even at $1.25 I would probably continue to make these purchases there. But I would no longer impulse buy a bag of candy, or a bottle of hand soap, or a roll of paper towels at the $1.25 price point like I often did at the $1 price point.

I really like this article and the various commentary of people interviewed.
https://www.cnn.com/2021/12/08/business ... index.html
Bagels
Assistant Store Manager
Assistant Store Manager
Posts: 823
Joined: August 20th, 2018, 11:54 pm
Has thanked: 1 time
Been thanked: 12 times
Status: Offline

Re: Dollar Tree Raising Prices

Post by Bagels »

storewanderer wrote: December 31st, 2021, 11:12 pm
Bagels wrote: December 31st, 2021, 3:44 am

It appears California is the first market to go to the $1.25 price point in its entirely. While it seems logical, the lion’s share of products may still be purchased for $1 at 99 Cents (Only) Store. It’ll be interesting to see if the 99 quickly matches, or uses it as an opportunity to win over new consumers.

I don’t expect the $1 price point to return, but it makes Dollar Tree uncompetitive on most of the food items it stocks.
Still $1 in Reno today.

Also for locations that are not near a 99 Only, Dollar General basically duplicates the mix on the consumables at the $1 price point. For that matter, so does Family Dollar. Have the CA Family Dollars also moved their entire Dollar Tree product mix to $1.25? The NV ones have not and are still $1.

Dollar Tree needs to make some serious changes to its consumable mix for the $1.25 price point to represent the same value to the customer as the $1 did. Maybe they don't want to sell consumables. Maybe they just want to sell the higher margin type items (cards, bags, crafts, office supplies, OTC drugs) and get $1.25 for them instead of $1. They claimed this price increase was not because of inflation (always nice when you try not to play politics) and it would allow them to add more items. Okay guys, where are the new items being added in? I don't see any new items. These items are all from China and were ordered months ago (and presumably ordered with the intention of being sold at $1). All I see is an overnight price increase to 1.25 or 1.10 for the same junk that cost $1 before. So this feels like a money grab or a way to combat rising operating costs as opposed to rising product costs (if this isn't about inflation).

To that point I don't think I've ever seen a business literally do a 25% price increase overnight on their entire product mix.

Dollar Tree is a chain I have never really liked. I am amazed they held the $1 this long. The mix kept deteriorating over the years as they clung to the $1 price point. But the stores maintained their foot traffic and they have always been very useful for certain items; notably cards, bags, and sometimes small household items if you just need something to get some small job done like a small paint roller, screwdriver, etc. Also have brought along a few books from Dollar Tree when I need something to put me to sleep on a flight. Even at $1.25 I would probably continue to make these purchases there. But I would no longer impulse buy a bag of candy, or a bottle of hand soap, or a roll of paper towels at the $1.25 price point like I often did at the $1 price point.

I really like this article and the various commentary of people interviewed.
https://www.cnn.com/2021/12/08/business ... index.html
The latest Dollar Tree circulars for my area show $1.25, so it appears all of Southern California is indeed at that price point. There are no Dollar Generals or Family Dollars in the market, but there are plenty of The 99 and a plethora of Hispanic dollar stores.

I have mixed feelings at the $1.25 price point. A solid portion of the items I’ve historically purchased remain at/near the $1 price point at Walmart, even with recent price hikes, and aren’t likely to see $1.25 soon. That includes most all the junk food.

If Dollar Tree brought back many of the old sizes — for example, they use to sell 20 oz. Coca-Cola bottles (now 8 oz. Cans), I’d have no issue with the $1.25 price point. But as it is, much of what they sell is junk — for example the bottles of body wash have so much water content that they don’t last long. That includes the Colgate offerings (Speed Stick and Lady Speed Stick sold in Softsoap bottles).

Dollar Tree was a Godsend to me in my 20s, and thankfully I don’t “have” to shop their anymore but it’s disappointing to see how the chain turned out.
buckguy
Store Manager
Store Manager
Posts: 1004
Joined: January 31st, 2017, 10:54 am
Has thanked: 3 times
Been thanked: 61 times
Status: Offline

Re: Dollar Tree Raising Prices

Post by buckguy »

This probably won't be their last trip to the rodeo for changing prices. They're likely chasing inflation on some items and searching for higher margins on others. The question is where they reach a point where they have more competition from other stores (and other kinds of stores) and where the value of what they sell gets lost. They also may need to spend more on promotions as the items get more expensive esp. if they get into items that have more of a "season" and need periodic clearances. They probably won't lose the occasional shoppers who go there because it's quick and easy and there isn't much else around that's worth the effort, but they really need to know their regular customers to figure out how far they can take this.
Post Reply