Dollar General executives said the retailer expects its core customers to remain under pressure through the second half of 2026, as sustained inflation and higher fuel prices push shoppers to visit more often but buy fewer items per trip. Chief Executive Officer Todd Vasos said the core consumer, generally those earning $40,000 to $45,000 or less, is cutting basket sizes, and that middle- and upper-middle-income shoppers are showing similar behavior, with some customers earning more than $100,000 saying they no longer feel like high-income consumers. The company is leaning on value, offering more than 2,000 items priced at $1 or less, and said Value Valley comparable sales rose 16% in the second quarter, while its seasonal $1 assortment for the second half is up 40% from a year earlier. Delivery contributed 40 basis points to second-quarter comparable-sales growth and has introduced more than 1 million customers to the retailer's stores, and Dollar General plans to pilot a delivery subscription offering at the end of 2026. Chief Financial Officer Donny Lau said the company remains confident in its 2028 targets of 2% to 3% same-store sales growth and a 6% to 7% operating margin, and Vasos said he will leave the CEO role in January 2027, with JJ Fleeman, formerly a U.S. operating chief executive within Ahold Delhaize, selected as his successor.
Dollar General CorporationDollar General warns its core shoppers remain under pressure through H2 2026, cutting basket sizes and buying fewer items per trip.
Koninklijke Ahold Delhaize NV