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Dollar Tree confirms a massive shutdown in the United States: it's already known where

A Shake-up in the World of Discount: Major Closures at Dollar Tree

In the retail sector, changes are usually gradual. However, this time, the decision has been forceful. One of the most popular chains among those seeking low prices has decided to scale back its presence in many cities across the country. This is Dollar Tree, which has begun to carry out a large-scale restructuring.

In recent years, the company had tried to keep the balance between two brands: Dollar Tree and Family Dollar. Both belonged to the same business group, but not always the same profitability. Sales figures, operating performance, and consumer behavior started to show differences that were hard to ignore.

Facade of a Dollar Tree store with a green sign and parking in front.
Dollar Tree is going to close many of its stores | Dollar Tree

Dollar Tree Must Make Adjustments

This internal situation adds to external factors such as inflation, shoplifting, and pressure from competitors like Walmart or Aldi. All together have led the company to take drastic measures. The adjustment includes eliminating hundreds of stores spread across several states.

Now, with its focus on its strongest format, Dollar Tree has chosen to close 370 additional stores before the end of 2025. These add to the 600 stores it already closed at the beginning of the same year. The operation is one of the largest in the sector since the pandemic and affects both Dollar Tree and Family Dollar stores.

States with the most locations, such as California or Texas, will probably be the most affected. Although the company hasn't made the full list public, progressive closures are already being seen in many areas. Most will be finalized when lease contracts end.

The decision doesn't come alone: meanwhile, the group has sold Family Dollar to private investors. The goal is clear: to focus solely on the business model that has worked best and abandon the format that caused constant losses. The data support the decision, since in recent fiscal years, the Family Dollar brand has been a financial burden.

Storefront with the sign
Dollar Tree Wants to Optimize Resources | Google Maps

Dollar Tree's strategy from now on will be to concentrate on expanding its original store, opening new, more profitable locations, and improving its assortment. It's estimated that in 2025, 300 new stores with a more optimized concept will also open. In these, variable prices above the classic $1.25 will be explored, aiming to adapt to a more demanding consumer.

Deep Changes at Dollar Tree

This transformation is influenced not only by economic factors. New consumption habits, systematic shoplifting in many stores, and the wear and tear of certain formats have forced discount chains to rethink their model. Customers, moreover, are no longer the same. They seek variety, speed, better presentation, and truly low prices.

With this wave of closures, Dollar Tree is betting on strengthening its image, reducing operating costs, and protecting its profit margins. This is a change that not only affects employees and entire neighborhoods, but also marks the end of an era in the recent history of American retail.

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