Content about Variety stores

MEMPHIS, Tenn. — Fred's Super Dollar on Thursday reported sales for the five-weeks ended Feb. 2 were up 31% to $173.6 million. Comparable store sales were up 28.6%. 

On an adjusted basis, which eliminates the one week ended Feb. 2, sales were up 2% and same-store sales were flat, Fred's added. 

COMMERCE, Calif. — Fueled by strong store growth and increased household penetration, dollar stores have been stepping outside of their comfort zone in pursuit of consumer trips that have historically belonged to retail pharmacy. 

At first blush, there appears to be nothing special about Dollar General’s first Southern California store in the suburb of Montclair. It occupies about 7,500 sq. ft. of space in an aging strip center, and a small banner hung on the exterior beckons to passing motorists and pedestrians, “Now Open.” Inside, more signs explain the bare-bones merchandising of familiar brands to shoppers unfamiliar with the Dollar General value proposition.

In IFC’s hit comedy series “Portlandia,” there’s a sketch in which the two main characters order chicken in a restaurant. But they don’t just order: They ask which farm the chicken came from to make sure it’s sufficiently local and whether the chicken was raised according to their exacting standards. The waiter quickly responds with a portfolio featuring the chicken’s pre-mortem photograph, biography and name (“Collin”).


SEATTLE — The combined store count of the county's largest dollar store chains outnumbers that of the largest retail pharmacy chains as continued economic difficulties drive the channel's growth, according to a new study released Monday by Colliers International.

MEMPHIS — Family Dollar opened its 7,000th store Thursday, further cementing the dollar-store channel as an area of rapid growth.

The store is located in Memphis, Tenn., and features a green building design and a spacious layout for an optimal shopping experience, the company reported.

To commemorate the opening of its 7,000th store in Memphis, Family Dollar completed the celebration with a $7,000 donation to the Mid-South Food Bank, along with cans of food donated by members of the local community.

MATTHEWS, N.C. — A 25% increase in the health and beauty care product assortments at Family Dollar contributed to overall inventory growth during the company’s third quarter, the retailer announced Wednesday morning with the release of its financial results.

In addition to the major expansion of the health and beauty category at 5,000 of the company’s 6,900 stores, Family Dollar said it also expanded assortments of food by 20%, which, combined with the health and beauty care initiative, resulted in an overall increase in inventory levels of 15%.

GOODLETTSVILLE, Tenn. — Dollar General maintained its momentum in 2010 by achieving record sales, profits and expansion; and it’s looking like 2011 will bring more of the same. Last year, Dollar General opened 600 new stores and remodeled or relocated another 504 units to end its fiscal year on Jan. 28 with 9,372 stores. The additional square footage combined with a 4.9% same-store sales increase enabled the company to grow total sales by 10.5% to roughly $13 billion.

MATTHEWS, N.C. — Family Dollar reported Monday a comparable-store sales increase of 5.1% for the second quarter ended Feb. 26. Net sales for the quarter increased 8.3% to $2.26 billion, from $2.09 billion last year. According to the retailer, warmer weather earlier in the year, as well as strong performance in its consumables and seasonal categories, helped drive sales.

MEMPHIS — Fred's on Wednesday reported a fiscal 2010 sales increase of 3% to $1.8 billion for the year ended Jan. 29. Comparable sales were up 2.2%, versus an increase of 0.4% in the prior year.

January comp increases of 2.1%, however, fell well short of the 3.9% analyst consensus tallied by Thomson Reuters, a factor that may have had more influence in driving the company’s stock down 37 cents to $13.31 on Wednesday’s trading. Winter weather played a role in those not-as-good-as-expected results, the retailer reported.

GOODLETTSVILLE, Tenn. — Dollar General reported that its third-quarter net income was $128 million, or a diluted earnings per share of 37 cents.

Excluding a net loss of $8 million ($5 million after income taxes) relating to the early repayment of certain long-term obligations, net income for the 2010 third quarter was $133 million, or a diluted EPS of 39 cents, a 76% increase over net income of $76 million, or 24 cents per diluted share, in the third quarter of fiscal 2009.