Dollar Tree to increase max price in stores to $7, reports higher income shoppers

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Dollar Tree to increase max price in stores to $7, reports higher income shoppers

James Powel and Anthony Robledo USA TODAY
Published 8:35 p.m. ET March 25, 2024 | Updated 8:35 p.m. ET March 25, 2024

Discount retail giant Dollar Tree said that it would raise the price cap in its stores to $7 in its fourth quarter earnings call earlier this month.

"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," Dollar Tree CEO Rick Dreiling said in the call on March 13. .

A $5 cap was set in June, according to Yahoo Finance. In 2021 the company raised the base price of items to $1.25. ... The higher cost items will include food, pet and personal care items, though not all items will be at the $7 price cap.

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Dollar Tree sees traffic from higher income consumers

Dollar Tree executives said on the call that the demographics of their customers trended towards higher income brackets. ... "The fastest-growing demographic is north of $125,000 a year in income," said. "It's not like the Northeast is strong and the West is weak. That boat is lifting pretty even all the way up."

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