Dollar Tree Set to Close 1000 Stores
Well, Dollar Tree missed their Holiday quarter estimates and seems to be in a spot of trouble as they prepare to close 1,000 of their 16,774 stores. Shares of the company fell nearly 14% after projected 2024 sales and profit fell below expectations. Dollar Tree will be reviewing their underperforming stores and those will be selected for closure. CEO Rick Dreiling claims their biggest problem iss getting enough merchandise into the stores fast enough for consumers. Apparently, Temu and Amazon are causing issues with in store sales as well.
I dunno about you but I rarely visit Dollar Tree. I tend to go there for the movie snacks (and I don’t even do that anymore) and that’s it because my stores (we have several) are a bit chaotic mess. I’m talking stuff all over the floor, opened candy and chips on the shelves, and just general messiness. I also never really find all these cool things that other people seem to score and share across social media. Our stores are filled with a bunch of cheapy, cheesy stuff.
I think they lost a lot of people when they raised the pries to $1.25. It wasn’t a huge increase but people really rebelled at that extra 25 cents being tacked on.
Do you shop Dollar Tree? Are you concerned with it closing down stores?