The retail chain long known for its affordable goods set at around $1 will begin to sell more goods above that price point, Dollar Tree announced on Tuesday.
The retail chain, which has nearly 8,000 stores, has already sold items at some of its locations for over $1. Beginning in 2019, some of its stores had an area of their space called Dollar Tree Plus that sold items for $3 and $5, The Wall Street Journal reported. Dollar Tree noted in its announcement that it was making the move following the success of its Dollar Tree Plus format and positive customer reaction.
“For decades, our customers have enjoyed the ‘thrill-of-the-hunt’ for value at one dollar - and we remain committed to that core proposition - but many are telling us that they also want a broader product assortment when they come to shop,” Dollar Tree CEO Michael Witynski said in a statement on Tuesday.
“We believe testing additional price points above $1 for Dollar Tree product will enable us over time to expand our assortments, introduce new products and meet more of our customers’ everyday needs,” he continued.
According to the Journal, the retail chain will begin selling some of its goods at $1.25 and $1.50. In an interview with the newspaper, Witynski cited that the decision comes amid increased freight, supply-chain and wage costs. The chief executive told the news outlet that raising the costs of some of its items could allow customers to buy new items that the retail chain introduces like seasonal items or frozen meat.
All stores that have a Dollar Tree Plus section will sell more items above $1; the higher price point will also be used in some of its legacy stores, the company said in their Tuesday announcement.