The Dollar Tree Dries Up

Dollar Tree dealt a blow to George Washington diehards in its Thursday earnings report. It’s abandoning its trademark to sell products above $1.

"Dollar Tree Plus!", a collection with items over $1, will arrive in over 100 locations this month. This doesn’t mean the whole store is due for a price-hike: Execs promise all items outside of the Plus! assortment will stay as-is.

The last of the Real Ones: As Dollar General and 99 Cents Only installed higher prices, Dollar Tree held out on its one-buck promise. Following the crowd, even if it's belated, is a big deal for Dollar Tree’s low-income customers. Dollar stores are more common than traditional supermarkets in areas where shoppers can’t afford groceries.

Zoom out: Dollar Tree makes 40% of its products in China, meaning it’s particularly vulnerable to new tariffs. Dollar Tree boosting prices = a way to offset tariff costs without scrapping its entire pricing model.