Dollar General’s CEO, Todd Vasos, has expressed concerns about the worsening financial situation of customers due to inflation. He said the macroeconomic environment is unlikely to improve in 2025, citing potential headwinds from tariffs and changes to government entitlement programs.
Customers are expecting value and convenience from the dollar-store chain more than ever, with many reporting they can only afford basic essentials. Vasos noted that Dollar General’s core consumer is “always strained” but also resourceful.
The company is monitoring economic pressures, including President Trump’s tariffs, which could impact consumers further. While Dollar General mitigated the impact of previous tariffs, Vasos warned that the current situation is different. The company’s 2025 guidance takes into account continued economic pressure, but not further changes to tariff policy or government initiatives.
Dollar General reported a 1.2% same-store sales growth in the fourth quarter, driven by increased average transactions, while customer traffic fell 1.1%. The company plans to close 96 stores and convert six Popshelf stores into flagship locations this year.
Source: https://www.cnbc.com/2025/03/13/dollar-general-ceo-consumer-warning.html