Original title: inflationary pressure is so great that the price of "dollar stores" in the United States is about to rise.
Source: Wall Street
The products of Dollar Tree, a dollar store in the United States, have sold for more than the so-called "one dollar".
The retailer will soon start selling products worth more than $1, according to a statement released by Dollar Tree on Tuesday.
At the same time, Dollar Tree will sell more goods worth more than $1 in its Combo and Dollar Tree Plus stores, some of which sell for as much as $3 or $5.
Dollar Tree CEO Michael Witynski said in a statement:
Many customers tell us that when they come shopping, they also want to have a richer variety of products.
We believe that over time, increasing the price of dollar tree products will enable us to expand our product range, launch new products, and meet more day-to-day needs of our customers.
Many customers tell us that when they come shopping, they also want to have a richer variety of products.
We believe that over time, increasing the price of dollar tree products will enable us to expand our product range, launch new products, and meet more day-to-day needs of our customers.
Dollar stores in the United States gradually emerged after the outbreak of the economic crisis.
After the economic crisis, many Americans lost their jobs, their incomes fell, and many middle-class families had to spend less. In order to save daily expenses, more and more Americans are turning to these "dollar stores" that sell cheap necessities of life.
The prices of goods sold in these stores are cheaper than those in ordinary retail stores, even more than Walmart Inc.The lowest price.
Dollar Tree is one of the leading brands in the "dollar store" retail market. Its retailers rely on cheap goods from stable sources and make profits at low prices, but the lag in transportation costs and time has been seriously affecting their profit margins.
At the same time, the data showed that the US CPI data rose for the 15th month in a row, with CPI rising 5.3 per cent year-on-year in August and more than 5 per cent year-on-year for the fourth month in a row. The annual CPI growth rate also exceeded 5 per cent for the first time in more than a decade.
Because in the year after the outbreak, surging demand and supply-side shortages pushed up prices. This is also one of the important reasons for the increase in the price of the dollar tree.
Bloomberg believes that Dollar Tree has long been based on products priced at $1, but as inflation pushes up the cost of many commodities, the plan marks the end of this traditional business of Dollar Tree.
Dollar Tree also said it would have 500 Dollar Tree Plus stores by the end of the fiscal year in January and plans to open another 1500 next year, while it plans to add 400 Combo stores in fiscal year 2022, almost four times the total number of stores in its current form.