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COVID-19: Dollar Tree Will Sell Items Over $1 Amid Supply-Chain Issues, Freight Costs

Dollar Tree
Dollar Tree Photo Credit: Google Maps street view

Discount chain Dollar Tree is poised to start selling some merchandise at prices above $1 amid COVID-19 pandemic-related global supply chain issues.

The discount chain said it wants to begin adding price points above $1 in selected legacy Dollar Tree stores, in addition to offering $1, $3, and $5 products across its Dollar Tree Plus stores.

"Our brand promise is that customers get great value for what they spend at Dollar Tree," CEO Michael Witynski said in a statement. "We will continue to be fiercely protective of that promise, regardless of the price point, whether it is $1.00, $1.25, $1.50.”

CNBC reported that the company has reported facing supply chain issues and labor shortages.

Many businesses across the United States have faced similar supply chain issues in recent months. 

Dollar Tree reportedly said rising freight costs are set to bring its earnings down. 

CNBC said low-cost retailers have struggled with these rising costs, as they could lose customers if they raise prices like other businesses have.

"We believe testing additional price points above $1 for Dollar Tree product will enable us over time to expand our assortments, introduce new products and meet more of our customers’ everyday needs," Witynski added in the announcement. 

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