If you’re a photographer who often turns to Dollar Tree for cheap photo props or do-it-yourself materials, get ready to pay (a bit) more. After 35 years of selling most products for exactly $1, the retail chain announced today that it is hiking its price to $1.25.
Founded in 1986 with the name Only $1.00, Dollar Tree stores sell a wide range of products from food to beauty to toys to electronics. Many of the products are useful for photographic (and other creative) purposes — things such as fake flowers, home decor, colorful lights, poster board, foam core, simple clamps, and various tapes, glues, and adhesives.
Even as baseline prices at other dollar stores broke the $1 barrier years ago, Dollar Tree became the last major dollar store in the United States to stick to $1 pricing, opting to lower the quantity and quality of items instead of raising prices.
The company finally gave in today to cost pressures, announcing in its quarterly earnings release that it is going the way of its competitors.
“For 35 years, Dollar Tree has managed through inflationary periods to maintain the everything-for-one-dollar philosophy that distinguished Dollar Tree and made it one of the most successful retail concepts for three decades,” the company states. “However […] the Company believes this is the appropriate time to shift away from the constraints of the $1.00 price point in order to continue offering extreme value to customers. This decision is permanent and is not a reaction to short-term or transitory market conditions.”
The new $1.25 price point will apply to the majority of Dollar Tree products nationwide by the first quarter of 2022. The company says that the price increase will give it room to be more flexible with what it sells as well as bring back products that were previously discontinued due to the limits of the $1 price point.
“[The new price] will enhance the Company’s ability to materially expand its offerings, introduce new products and sizes, and provide families with more of their daily essentials,” Dollar Tree says. “The Company will have greater flexibility to continue providing incredible value that helps customers get the everyday items they need and celebratory and seasonal products Dollar Tree is best known for.”
Dollar Tree operates over 15,000 stores across the United States and Canada. As inflation continues to impact the US economy and business’ bottom lines, Dollar Tree’s announcement represents the final nail in the coffin of sorts for the traditional dollar store.
Image credits: Header illustration based on photo by Michael Rivera and licensed under CC BY-SA 4.0