Dollar General is expanding its private-label program and $1 price points to attract higher-income shoppers, CEO Todd Vasos said during the chain's first-quarter earnings call. The largest increase in customer count came from households earning more than $100,000 annually, even as penetration grew across all income segments. The chain's Value Valley section, which features more than 500 rotating items all priced at $1, posted an 18.4% comparable sales increase in the quarter, outperforming the chain average. Dollar General now offers more than 2,000 items at or below the $1 price point, including new private-label products and a dedicated frozen door. The move mirrors the private-label success of retailers like Costco, whose Kirkland Signature brand has helped drive loyalty, as private-label sales in the U.S. reached $330 billion with a 24% unit share, according to Circana.
Dollar General CorporationExpanding private-label and $1 items attracts higher-income shoppers, driving customer growth and comparable sales.
Costco Wholesale Corp