Saturday, August 9, 2014

Dollar Stores Are Becoming Fast Grocery Stores

Intel is famous for making computer chips that are faster, better and cheaper every two years.  Moore’s Law, states that the number of transistors on a chip will double approximately every two years. Consistently it continues to ring true.  Retail food consumers want food fast. Consumers don’t like long lines or walking around in a 100,000 sq. ft. store when they need the “basics”.

Convenience stores figured that out long ago and continue to garner market share from both restaurants and grocery stores focused on speed of service, mix and match meal offerings and price. Dollar General is the largest discount retailer in the United States by number of stores with over 11,120 neighborhood stores in 40 states.

Dollar General may bid to buy Family Dollar which would create the largest convenience retailer in the U.S. giving 7-Elenen a run for their money.  Dollar General is among the largest retailers of top-quality food products made by America's most trusted manufacturers such as Procter & Gamble, Kimberly Clark, Unilever, Kellogg's, General Mills, Nabisco, PepsiCo and Coca-Cola. Increasingly Dollar General is adding fresh food and fresh prepared food.

The dollar store sector is jumping into food and fresh food with both feet.  Family Dollar Stores added 150 food items in February of 2012 and there has been no looking back.  In fact walking into a Family Dollar stores you just might think they have more food products than non-food. 

Dollar General is but one example of a food channel company garnering new customers, creating industry disruption, and continued customer migration.  Every company in the Dollar stores sector can be found adding more and more food items.  Many are now adding coolers and offering fresh prepared food as well.  Success does leave clues and Dollar stores understand the consumers need for speed as well as fresh prepared food.  Do you correctly utilize speed of service, mix and match meal offerings and price to garner customers?  Are you ready for Outside Eyes?

Since 1991 retail food consultancy Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche for more on Foodservice Solutions® or for a Grocerant Scorecard visit,  Email:

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