Dollar Tree Raises Its Prices By 25%

Photo+taken+by+Nicolina+Bilella+

Photo taken by Nicolina Bilella

Nicolina Bilella, Staff Writer

    Spring is just about half over, and people are already preparing for the summertime. If you want to save a lot of money, Dollar Tree may just be your go-to store.  However, there is a big change for the franchise. The name instilled since 1986 still stands, but not the prices.  

     Inflation has swept the country, but Dollar Tree seemed to be the last place people expected to be affected by this nation wide issue.  According to CNN.com, this change has happened to 2,000 out of the 8,700 stores in the United States, including the one on Wellwood Avenue.  This includes the classic $1 signs plastered under items being raised 25 cents.  

    This may sound like an insignificant part of inflation, however it caused an outrage among customers who rely on unbelievably cheap prices for consumer goods.  

“It could end up being one the worst decisions in retail history if it is not dialed back.””

— Scott Mushkin, a founder and analyst at R5 Capital, a retail research and consulting firm

     Some people in the corporation appear to resent this decision, such as David D’Arezzo, a former chief merchant at Dollar General and an executive at pharmacy and supermarket chains. He describes the boom in prices, saying it “destroys 35 years of brand equity in one fell swoop.”  On the contrary, a spokesperson who talked to CNN Business display a new opinion, “We have had a very positive response from the overwhelming majority of our customers around the $1.25 price point, and the extreme value and broader product selection it has enabled, especially in these inflationary times.”  However, he notified people it wasn’t due to the rise in costs of materials, but rather to make profit for the more expensive items being sold and to sustain the wages of workers.

    This may not be the end of this inflation.  Forbes.com, who interviewed a Dollar Tree retailer, states that instead of one dollar, the price may rise towards $1.50.  Besides that, a “Dollar Tree Plus” section may be added to house certain items that will cost multiple dollars.  Despite the change in pricing, Dollar Tree employees urge people to continue shopping at the chain.