DOLLAR STORES PLANNING FOR PERMANENT AMERICAN UNDERCLASS, SELL MORE GROCERIES THAN WHOLE FOODS

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Why Dollar General will keep its promise to build 1K stores this year

Dollar General has more stores across the country than any other retail nameplate — 13,205 at last count. That compares to Wal-Mart at 5,229, Target at 1,803 and CVS at 9,600. Its toughest rival, Family Dollar, has 7,964 stores, and Family Dollar’s sister Dollar Tree has 6,320. By this time next year there will be about as many Dollar Generals in the U.S. as McDonald’s restaurants.
:wow:


At a time when many retailers are closing physical stores and ramping up digital operations, off-price retail offers a healthy environment with room to grow. Robin Lewis, CEO of The Robin Report, a retail strategy publication, has long espoused there is room for more discount retail.

“They have a huge runway for expansion. There is an enormous underclass and they are not being served by traditional retail," Lewis told Retail Dive. "They don’t have any disposable income to speak of. If they are employed, they are marginally employed at best, mostly service jobs — flipping hamburgers. For those that do have jobs they are not participating in the migration to the internet. They can’t do business on the internet without a credit card.”

:wow::wow::damn::damn:

Dollar General's model, a combination of low prices and convenience, has attracted enough shoppers to produce the cash flow necessary to fuel its rampant growth. A standard 7,300 sq. ft. Dollar General store costs about $250,000 to build, and pays for itself within 1.7 years, according to company reports.
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