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America´s Poorest Shoppers Are
Putting Discount Stores Out Of Business

Business Insider, by Ashley Lutz

Original Article

Posted By:MissMolly, 7/30/2014 4:53:12 AM

Discount stores are slowly dying. Yesterday, Dollar Tree announced it would buy Family Dollar, a chain that is in the process of closing hundreds of stores and firing workers. Other discount stores have been struggling as well, writes Heidi Moore at The Guardian. Fashion discounter Loehmann´s filed for bankruptcy, while Wal-Mart´s sales have declined for the past five quarters. "There’s just not enough money deployed by American families to keep all the discount chains in business," Moore writes. Dollar stores saw their heyday during the recession, when middle-class shoppers came to buy smaller, cheaper packages of household necessities like toilet paper. While middle-class shoppers have

      


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Reply 1 - Posted by: pineledger, 7/30/2014 5:33:16 AM     (No. 9945736)

The story I read in the WSJ said that Family Dollar and Dollar Tree were merging and NOT closing stores. Walmart is making a down-market move, into the budget-budget space. I think this is overstating the situation.

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Reply 2 - Posted by: judy, 7/30/2014 6:11:48 AM     (No. 9945763)

People have less $$$ to spend, high utilities, high insurance premiums, higher gas prices, higher real estate taxes, higher food prices etc.

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Reply 3 - Posted by: StormCnter, 7/30/2014 6:25:23 AM     (No. 9945769)

I think the novelty wore off when shoppers discovered the "discounts" weren´t all that great.

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Reply 4 - Posted by: revdeppisch316, 7/30/2014 6:35:38 AM     (No. 9945779)

#3 is right-- stuff that sells for a buck at Dollar Tree is often more expensive than the same item at many retail stores: the difference is in the actual amount (oz.) or the horrific lack of quality in many items that schmucks perceive as being a bargain when it really costs more!

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Reply 5 - Posted by: ROLFnader, 7/30/2014 6:57:59 AM     (No. 9945791)

It would help if the Dollar Store didn´t have that " You´ve popped all three balloons, so you get to pick your prize" feel to it.

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Reply 6 - Posted by: grace1798, 7/30/2014 7:16:26 AM     (No. 9945808)

Kill off the middle class, then you kill off the businesses which will kill off the economy. It´s a PLAN....SAY....isn´t that also the PLANS of ISLAM against USA? uh huh.

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Reply 7 - Posted by: skedaddle, 7/30/2014 8:02:46 AM     (No. 9945854)

The middle class took one or two strolls through some of the supposed bargain stores and made a smart decision to never go back. First, the bargains aren´t bargains if you have decent math skills - lots of the stuff is more expensive. Second, the workers and the clientele are off-putting, to say it mildly. I´ll wait for the sales at stores I´m comfortable in and buy brands I´m familiar with, thank you very much.

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Reply 8 - Posted by: agrunt, 7/30/2014 1:25:07 PM     (No. 9946476)

The real answer (I think) is that "our poorest" are sending tons of money out of the USA and not spending it here.

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Reply 9 - Posted by: Lalo, 7/30/2014 1:43:05 PM     (No. 9946507)

To begin with - it´s a bit subtle, but Dollar Tree, unlike Family Dollar, does not have a markedly unattractive ambiance; so that is just the market doing its survival of the fittest thing. As for Loehman´s - it should have been gone long ago. Why should the poor or semi-poor like me pay more for dorky things when you we find cute things for better prices at Marshall´s and TJ Maxx? Before someone jumps on me, I am not anti-Walmart - in principle anyway. I´m grateful to them for often having what I need when I can´t find it elsewhere and I go when I have to but - again - it´s an ambiance thing in part. Target is somewhat nicer to visit, to me anyway.

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Reply 10 - Posted by: BigGeorgeTX, 7/30/2014 2:16:50 PM     (No. 9946567)

18% true unemployment, food prices spiking, many without a raise for years, high insurance and energy costs. Can´t imagine why retail sales are down at discount stores.

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Reply 11 - Posted by: ColonialAmerican1623, 7/31/2014 12:56:23 AM     (No. 9947312)

The last paragraph says it all.

Toilet tissue at the dollar store is no bargain and runs out quickly.

It is the smell of China direct that takes my breath away, and the constant complaining from the employees that gets on my last nerve. Find a real job if you hate the customers.

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Reply 12 - Posted by: ladydawgfan, 7/31/2014 3:27:24 AM     (No. 9947342)

Location, location, location!!! The Dollar Tree near me is awesome. The employees are all friendly and helpful and I go there frequently for a variety of items. Sure, I can also find them at Walmart or the local grocery store, but why should I pay more than I need to when I get great service and only pay $1 per item?

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