Stores

Dollar General plans to open 1,000 Popshelf locations

The concept, which targets wealthier suburban shoppers, should hit its goal by fiscal year 2025.
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Francis Scialabba

· less than 3 min read

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Dollar General is going all in.

Not only does the chain plan to open 1,110 more locations next year, it wants to expand its Popshelf concept to 1,000 by the end of fiscal year 2025.

  • The chain has 30 Popshelf locations in six states, as of Q3 ending October 29.

Top dollar: EVP and Chief Merchandising Officer Emily Taylor told CNBC that Popshelf is gaining traction with customers, citing higher average basket sizes and value.

“We realized a standalone concept had a lot of merit, particularly as it related to providing a really exciting, joyful, engaging shopping experience in the small-box store,” Taylor said.

Popshelf has a different customer base from Dollar General’s namesake stores; the latter are typically located in rural areas, and its shoppers earn roughly $40,000 or less each year. Popshelf, meanwhile, targets suburban women with household incomes as high as $125,000.

  • That being said, 90+% of Popshelf’s merchandise cost less than $5, according to the company.
  • Home goods are particularly popular items, according to Taylor.

Don’t forget: There’s also a shop-within-a-shop concept. Dollar General is testing Popshelf inside DG Markets (yet another of the chain’s formats), with 14 so far. But the plan is to add more.

The big picture: It’s all about growth—especially as inflation hits shoppers hard.—KM

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