Are they are so bad at business that they can’t capitalize on having an even larger amount of their core demographic aka the cash strapped customer, which would only expand further on recession fears? All of their stores exist in areas for the cash strapped and impoverished, how is this bad for them? I assume this is more of an indictment that they are terrible at business and can’t take advantage of their position. We’ve all seen that John Oliver episode all they do is shamelessly max exploit everyone from their employees to customers, what’s changed for their business plan?
Once the mid late September scaries have had their way with the market how is this not a good gamble for some calls like 1/26 etc? It’s a strange word salad combo to hear our core demographic has expanded but we are weaker then ever.
Posted by yourenotmykitty
23 Comments
I dont live nearby a dollar general. Short DG
While the trinkets are cheap the food is not. People have figured this out and are shopping at larger stores with better prices. You should go to a DG and see the prices for yourself.
*announces random buyback* stock returns to pre er price. This shit is not going anywhere. You know how many rural towns literally depend on a single dollar general for almost everything they need? A lot. DGX was a good idea too. LONG.
The cash strapped customer has found better deals elsewhere. They’re poorly staffed and everything is laying out on the floor and disorganized like a hurricane hit it.
walmart is a better deal , the crap is useless at dg . it’s a place for crackheads to get paraphernalia
Did anyone shop at or visit a DG market? If so describe your experience.
I think they’ve been losing market share for a long time and got popped for it once again. Rural areas are key for them, but even now, there’s a Walmart every 30 miles or so. Also, Dollar General has many standalone stores, even in the city. Family Dollar is more likely to be in the same complex as the vape shop and the cleaners, so more convenient. Dollar Tree the same, although usually located in an objectively nicer area. Even, Roses and Ollies are taking a slice. “How is this not a good gamble”? *Maybe, because it lost nearly 70% in the last 21 months*; but I don’t know.
It’s so easy to steal from a Dollar General, they have one employee there 90% of the time. And the employees make < $10/hr so do you think they care….?
Labeling yourself Dollar General where nothing is actually $1 should be a class action lawsuit.
Apple can’t release “The $1000 iPhone Awesome” model and then charge $1800 for it – it’s called false and deceptive advertising and there are legal precedents against that predatory behavior.
So basically think of the four walls of DG as a giant predator that’s trying to lure you into a $1 candy store to sell you candy, but once you get inside it’s actually bleach and toxic processed foods that aren’t anywhere close to $1.
Like thinking you are walking into a weed farm but someone end up in a meth lab.
DG is kinda like that.
The way they work is actually pretty terrible. All of their items are generally priced at close to the normal retail you’d find elsewhere, but the size of the package is smaller.
For example, one apartment I moved to I needed a new trash can and there happened to be a DG within walking distance so I went and picked one up. Thought nothing of the $10 or so since it seemed like the right price for a normal size kitchen trash can. It wasn’t until I got home I realized it was 11 gallons not 13 as is normal.
So for people who don’t realize, care, or pay attention to what they are buying. They are getting shorted by shopping there.
i think i’ve seen like 3 dollar generals in my life. i wouldn’t play calls on it
Idk much about DG. Anecdotally in my very poor people in a VHCOL area the cities are pushing DG and similar stores out of town because of their business model.
I think the issue might be that due to their constraint of having everything be in the dollar range, when PPI rises sharply, they are killed on their bottom line. Idk much about them though so this is just a guess
Prices are not good if you can do math. For a gullable person, there may be some deals inside.
I don’t like going because of the unknown checkout time. Theft has caused them to shut off the self checkout. I have to ring a bell and wait, or stand behind 4 people waiting on the one person working there.
The theives know dollar general only has one employee working usually, so they will show up in pairs, distract the employee while the other one steals. This is the problem they are probably having now.
In looking at the forest instead of the trees, given things Walmart has been saying, what is happening is that people much higher up the food chain have been forced to going to Walmart to keep their spending in check, and people who went to Dollar General before have nowhere to go now.
Everyone except the top 5%ish are worse off than ever before.
Got some puts ready for earnings on Tuesday. I’m ready to lose all of my money.
Every dollar general near me closed, and dollar tree just opened and people go there all the time
<4mo old profile cutting hot take.
Lemme guess…your last profile was/got blah, blah, blah, lie, lie, lie
Market sentiment has turned against them. If the oft predicted never materialized recession happens I think they’ll recover. Right now though everyone has peaked behind the curtain to see the funny little man running the show and nobody is impressed with his bag of tricks.
So puts on DLTR earnings?
High interest rates are smacking them for their recent expansions, I think. All that real estate financing isn’t cheap and is probably adjustable-rate commercial loans..
Retail peaked right before COVID. It could theoretically make a comeback.
But inflation has absolutely destroyed the purchasing power of the prime demographic that DG targets.
I went to the country the other time and the amour of DG is crazy 🤪