A Value Channel ReFRESH

If we told you that Dollar General is one of the country’s fastest-growing grocery stores, would you believe us? You should! Earlier this year, they surpassed their goal of offering fresh produce in more than 5,000 stores nationwide, giving them more individual points of fresh produce distribution than any other U.S. mass retailer or grocer.*

In addition to DG’s ongoing initiative of making fresh fruits and vegetables more accessible, their 2023 “Food First” initiative expanded its private label brand, Clover Valley. This brought over 100 new items to shelves, like entrees, sauces, condiments, and snacks.* Combine that with their existing frozen/refrigerated section, and it’s easy to see the consumer appeal.

Image Source: newscenter.dollargeneral.com

Dollar General’s presence in both urban and rural areas, especially in smaller communities, offers a valuable opportunity to tap into markets that may be underserved by traditional grocery chains. As they lead the way from fresh to fridge to frozen, what does this mean for brands that are typically found in popular grocery retailers at a higher price point?

If you know us, then you know we’re passionate about effective brand strategy and strategic positioning. Being featured on Dollar General’s shelves offers brands a chance to position themselves as affordable and convenient options, enhancing brand perception among value-conscious shoppers. If brands can align their product attributes with Dollar General’s value proposition, there is opportunity to maximize appeal.

Dollar General’s commitment to affordability and accessibility aligns with consumer trends toward budget-conscious shopping. With this, promotional efforts and in-store marketing will be a priority, allowing brands to benefit from targeted advertisements and campaigns. Brands in Dollar General’s fresh, frozen, and refrigerated sections can capitalize on the increased demand for convenient and cost-effective food options, potentially leading to higher sales volumes.

Dollar General’s partnership with Shelf Engine, A.I. software that improves perishable food forecasting and ordering, provides optimized inventory management resulting in more efficient distribution and better shelf placement. This can help reduce out-of-stock scenarios, which in turn can help improve sales performance for brands.