This is Bethany of Bargain Bethany, she makes Dollar Tree DIYs. This screenshot is from this video
In September, US discount retailer Dollar Tree announced that they would raise prices on some items by over a dollar. Where I live, Dollar Tree is only retailer where all products are priced at a dollar and under. Incidentally when I first moved to the south I was confused by the fact that there are other stores called Family Dollar and Dollar General, which have products at different price points. Dollar Tree is just for items at one dollar and under. You can get great deals there on pantry items,cleaning products and toiletries. I regularly shop there for things like toothbrushes, candles, candy and cards. Their cards are nice and you can’t tell that they only cost a dollar! Whenever I go to CVS and make impulse buys I end up regretting it because I could have purchased it at Dollar Tree for so much cheaper. (Also if you need a drain snake get it at Dollar Tree because it costs $4-$5 at other places. They also have things like Command Hooks, mops, sponges and shower organizers for $1. I could go on, and some items are not cheaper because they come in smaller packages, but that’s another story.)
Dollar Tree has some more expensive items at their Dollar Tree Plus stores with specialty $3 to $5 products along with their regular $1 stock. They’re now increasing prices across all stores to $1.25. In their announcement they stated that it’s not a response to inflation and that it will go into effect by the end of the first fiscal quarter.
Dollar Tree.. one of America’s last remaining true dollar stores — said Tuesday it will raise prices from $1 to $1.25 on the majority of its products by the first quarter of 2022. The change is a sign of the pressures low-cost retailers face holding down prices during a period of rising inflation.
Dollar Tree (DLTR) said in a quarterly earnings release Tuesday that its decision to raise prices to $1.25 permanently, however, was “not a reaction to short-term or transitory market conditions.”
Selling stuff strictly for $1 hampered Dollar Tree, the company said, and forced it stop selling some “customer favorites.” Raising prices will give Dollar Tree more flexibility to reintroduce those items, expand its selection and bring new products and sizes to its stores.
Dollar Tree also said that hiking prices will help the company increase its profit margins by “mitigating historically high merchandise cost increases,” including freight and distribution costs, as well as wage increases.
“This is the appropriate time to shift away from the constraints of the $1 price point,” CEO Michael Witynski said in a statement.
This won’t affect my shopping there, but many low income people rely on Dollar Tree and will feel the pinch from a 25% price increase. Maybe they’ll offset that by introducing larger and new products as they mentioned. Inflation is hitting people hard, especially with food and fuel costs. Dollar Tree is a corporation, not a franchise. Hopefully they will also raise wages for their workers as their statement mentioned. Their CEO makes over $10 million dollars a year and they also have five other top executives who make about $4 million and up a year. They could spread that wealth among the people who do the hard work and put their lives at risk during the pandemic.
I asked the cashier at my local Dollar Tree, which has never had anything over a dollar, if she knew more about this. She said that they were told there would be a price increase but that they didn’t know when it would happen. There were no signs about it, although they’ll probably put some up when it gets closer to the price change.
Also I watch a lot of Dollar Tree shopping and DIY videos. I’m not particularly crafty but I find them soothing and I like seeing what people come up with. My favorites are Bargain Bethany, She So CraftDee, Glue Guns and Roses, Do It on a Dime, and ChicOnTheCheap. Sometimes I just like to watch women shopping because I also find that relaxing. PrettyNflawed is so great for that.
This is a screenshot from a video from PrettyNflawed where she showed the stuff she got at Dollar Tree. She loves these plates for Thanksgiving because she doesn’t like having her food touch. It was cute! Also she got broom holders from Dollar Tree. I got a similar set from Amazon for over $10.
Catherine from Do It on a Dime. This screenshot is from this video.
I watch all of those exact same youtube channels too. Its amazing how creative those women are. While it sucks that Dollar Tree is raising prices, I’m surprised that it took them so long to do it.
I feel for the people on low incomes who rely on dollar tree for their basics. But how much landfill is that store alone responsible for? Also, beyond the environment if something is that cheap than people were exploited to make it.
Ever noticed the gross plastic smell in dollar stores? It’s all cheaply made toxic sh*t (mostly made in China). Who benefits from these types of stores in the long run? Nobody.
There is so much that is so bad about it. Stuff can’t even be a dollar without a lot of shortcuts and sacrifices along the way. And again, I do understand there are legitimately trying to survive and that’s where they can get very cheap basics. But that is not the majority. Most of the crap in there is designed to be used once or a couple of times before it’s thrown out. It’s so irresponsible.
I go there for the kitchen sponges I use to wash the dishes. Would I pay more than a dollar for that? Ummm. No. I could but I don’t want to. Other places might sell it for 4 or 5$. I get to use that difference on other things that might be more useful to me. Can you imagine the savings/financial power some families get from stores like the dollar tree? Unfortunately, many things are cheaply made yes. A lot of plastic, yes. Not always environmentally responsible, like many other stores, yes. We can’t have everything. Whether we like it or not, there will be an increasing need for this type of stores with the incredible inflation coming – it will hit us hard. I’m gonna have to pay my sponges 1.25 now. Sigh
The assistant manager at the one my son works at is on food stamps. So, yeah, pay raises for everyone would be nice.
Hoping the increase goes to employees:
Warren Gunnels
@GunnelsWarren
Dollar Tree made $1,230,000,000 in profits this year, gave its CEO $10,767,883 and pays workers as little as $8.32 an hour. Over 7,400 Dollar Tree employees are forced to rely on food stamps and Medicaid subsidized by U.S. taxpayers.
That’s so criminal. The people who work there should absolutely be paid more, in addition to all the people exploited along the value chain (which is not exclusive to Dollar Tree or other dollar stores).
It should go to the employees, but it won’t. I try not to patronize stores like this that fail to pay a living wage to anyone along the way – except corporate, of course.
I am happy to shop at Dollar Tree because they hire people who have been convicted of felonies, and most other businesses won’t. My local Dollar Tree hires otherwise unemployable people and trains them to get back into the workforce, after they have served their time.
The store closest to my work is a Dollar Tree Plus test case, so everything is already 1.25, and they do have larger items for 3-10+. The problem is the other ones around me are still $1, so why pay more until every store is the same? I’m a teacher so I buy a lot of supplies etc. there, plus I too enjoy all those crafty ladies!!
I hope this increase waits until after Christmas. I usually fill my kids stockings with things from the dollar store and they love it!
Man, your comment just brought back memories. I used to do the same when my kiddos were little! They really enjoyed all those goodies and it saved my budget. They have the best candy too.
our Dollar Trees have already converted to the $1.25 base price, and I see absolutely nothing new in the store.
I am bummed out about this. My kids love to go to Dollar Tree as a reward for various things. The concept of having three dollars and buying three items is easy for preschoolers to understand. I used to have to shop there for food and home supplies, and tons of people still do. A 25% increase is huge. I live in an area where there are Dollar Generals on every corner, but things in there are usually more expensive than the grocery store. A true dollar store is a lifesaver.
In Canada, they raised dollar store prices years ago. You’d be lucky to find anything for a dollar anymore.
The 1€ (Euro) shops over here have raised their prices to €1.10 last spring, saying the pandemic made things like heating and lighting more expensive, and the minimum wage was raised too.
I go there for drug store brand shampoos and discontinued DYI hairdyes from e.g. Garnier or Schwarzkopf – and for stuff like greeting cards, or the rest of last year’s Christmas deco from discount stores like Aldi or Lidl.
They sell pregnancy tests there that are as accurate as the drug store ones! Don’t spend $10 on one from target, just get the ones at the Dollar store, especially if you want multiples. You can find some good deals but also lots of plastic junk that’s horrible for the environment.
Ooh thanks for the suggestions on the YouTube pages-especially during the fall and winter I love decorating and can do so much more given how much I save there.
So will they change the name?
Tree-and-a-quarter?
Dollar Tree 1 point two five?
LMAO
A few years back, Dollar Tree bought Family Dollar(which were on the verge of closing). It seems like they are trying to pattern their stores after 5 and below. There was no reason to increase the price to $1.25 or convert them into Dollar Tree plus stores because according to reports, they made a lot of money last year. Plus they have the revenue that comes from their Family Dollar stores which sell items from 50 cents to over 20 dollars.
You can find a lot of great things(cleaning supplies, magazine organizers, deodorizers, trays, jars, wall and holiday decor, candles) at the Dollar Tree, which makes this price increase so disappointing. They already raised the price of the candy bars years ago(they used to be .88 cents and now they are at 1), took away certain products(folding mesh laundry baskets which are $5 at their Dollar Tree plus stores), and increased the wooden craft, paint, and sticker section. They need to reconsider this price increase.
My only criticism is that not all the stores will have the same things and certain stores don’t receive the nice things.