Popular Dollar Store Chain Upping Some Prices to Nearly $10

While inflation has cooled since its dizzying post-pandemic heights, household objects and groceries are still putting a dent in many people’s wallets. Some Americans turn to the dollar store as a way to stock up on essentials without breaking the bank. In recent years, the moniker of “dollar store” has become increasingly less relevant as prices have started to range from $1.50 to as much as $5 per item. 

One popular dollar store chain is raising its prices to new heights. According to USA Today, Dollar Tree CEO Rick Dreiling divulged some of the forthcoming pricing plans in a March 13 company call. 

“This year, across 3,000 stores, we expect to expand our multi-price assortment by over 300 items at price points ranging from $1.50 to $7,” Dreiling said. 

This move follows other price hikes across the company since the turn of the decade. In 2021, Dollar Tree raised the base price of the lowest items in stores to $1.25, effectively defying its own name. Just last June, the company set a $5 cap on items, though that number is now increasing another $2. 

Dreiling explained that the higher-cost items will include food, pet items, and personal care products. “Over time, you will also see us fully integrate multi-price merchandise more into our stores so our shoppers will find $5 bags of dog food next to our traditional $1.25 pet treats and toys, and our $3 bags of candy will be found in the candy aisle,” he said.

Executives at Dollar Tree, which also owns Family Dollar, attributed the decision to a change in customer profile, noting that more people who have been coming into their stores can easily afford an increase of a few dollars. “The fastest-growing demographic is north of $125,000 a year in income,” they pointed out. 

It seems like the days of dollar stores actually selling one-dollar items are long gone.