Dollar General to close nearly 100 stores by 2026

Dollar General, a well-known dollar store chain, has recently announced its decision to close nearly 100 stores by 2026, in line with other major retailers like Kohl’s, Macy’s, Joann, and Forever 21. This move comes after the release of the company’s fourth-quarter earnings report, where they revealed plans to close 96 Dollar General locations and 45 pOpshelf locations.

According to Dollar General, this decision was part of a larger store portfolio optimization review that included evaluating individual store performance, expected future performance, and operating conditions to identify stores for closure or re-bannering. While these store closures may paint a picture of uncertainty for the company, Dollar General has emphasized its commitment to opening new stores and remodeling existing ones in the U.S. and Mexico. The company aims to open 575 new stores in the U.S. and up to 15 new stores in Mexico while also renovating over 4,000 existing stores.

It’s important to note that the planned closures represent less than 1% of Dollar General’s total store footprint, indicating that the company remains confident in its overall operations and future growth. Although a specific list of stores slated for closure has not been released yet, Dollar General has announced that these closures will commence in May of this year.

The decision to downsize comes amidst a trend in the retail industry, with other popular stores like Macy’s and Kohl’s also scaling back their operations. Notably, while Joann and Forever 21 have resorted to filing for Chapter 11 bankruptcy and closing down entirely, Dollar General is taking a more strategic approach by maintaining the majority of its stores open worldwide.

In a climate where store closures have become increasingly common, Dollar General’s proactive steps to optimize its store portfolio and focus on growth in key markets demonstrate its commitment to adapting to changing consumer trends and market dynamics. As the company navigates these changes, it remains to be seen how these closures will impact the overall shopping experience for customers and the retail landscape in the coming year.