Saturday, June 15, 2024

Dollarama and Family Dollar

Dollarama
Typical Dollarama in Parkdale, Toronto in the boys' (Rush) backyard

 Dollar Tree are thinking of spinning off Family Dollar because of declining profits. While Family Dollar could go back to being on their own, they could be sold to Dollar Trees rival in Canada, Dollarama of Mount-Royal, Québec in Montréal. Dollarama have expanded into Latin America, but are only known in the US to those who have crossed the border to shop at one, like I have in Gananoque and Niagara Falls, ONT. If this were to happen like Sunrise buying FYE, then combination Dollar Tree/Family Dollar stores would likely convert to just Dollar Tree (the closest to me is in Rochester). The closest Family Dollar to me used to be another Canadian conglomerate, Loblaws, which we've touched upon already, that older people in the US may assume is gone who don't keep up or travel north. The merger would give the multi-generation owners the Rossys a blueprint that stretches across the Western Hemisphere that rivals that of Walmart. The product line would look the same that isn't at both apart from national brands and the US office should move back to Mecklenburg County after separating from Dollar Tree in Chesapeake Bay about a hundred miles away.

In Gananoque in eastern Ontario, there used to be an unrelated indie dollar store called Mega Family Dollar, but that was sold to Dollarama. That could be a sign. The Bargain Shop!, which took over Woolworths locations, were down Hwy 2 in the village until several years ago and is now one of the few mom and pop alternatives in the Kingston tourist exurb. There's also another place across the street.

Back in this country, Dollar General seem to do just fine while their rival(s) trail behind. Maybe selling Family Dollar may be the next step to move forward. After that, when I go to Dollarama, it'll still be different and largely catered to that market. Dollar Tree does sell a brand of soap from Mississauga, which is Toronto area, while the chains office in Canada is outside Vancouver, BC. We'll just wait and see if Family Dollar split in any case.

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