despite - or because of - covid19, dollar general is thriving and planning for more stores
Plans are underway for the building this year of at least 1,000 new outlets for the Dollar General Corporation.
In December, the Goodlettsville, Tennessee-based chain said that 1,000 new store target would exceed the 975 stores Dollar General opened last year.
Besides opening 1,000 new stores for this year, the company has also said that it will remodel up to 1,500 existing but older properties, and relocate another 80 stores.
Dollar General’s expansion plans come on the heels of a robust 2019 which saw overall sales hit the $27.8 billion mark, substantially up from $25.6 billion of the previous year.
The chain is now projecting a net sales growth of up to 8 percent this year, and a capital expenditure that could reach the $975 million mark.
According to company sources, the role that the COVID-19 outbreak may play on the store’s fortunes remain unknown.
In a statement, Chief Executive Office Todd Vasos said “There is no guarantee that this outbreak will not have a more significant impact” on Dollar General’s business.
In fact, the company’s stores have been booming in the wake of the coronavirus, with plans to hire up to 50,000 new employees to meet with a growing customer demand in the last month.
In a statement, Kathy Reardon, Dollar General senior vice-president, said, “We believe our customers are relying on us now more than ever to provide an affordable, convenient retail option.”
New Dollar General stores have opened in the last several weeks in Chattanooga, Tennessee; Abilene, Texas; Youngstown, Ohio; and Pine Bluffs, Wyoming.
The company’s outlet presence has been particularly strong in the South and Midwest. It is thought that the one region of the country that will see the construction of the most new stores will be in the West.
By Garry West
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