Dollar General Tests Same-Day Delivery in 75 Stores
Dollar General, a deep discounter, is testing same-day delivery to its customers’ homes as it attempts to compete with rival retailers like Walmart. The company’s CEO, Todd Vasos, announced the pilot program on an earnings call last Thursday, stating that it has been “soft launched” since September and is currently available at around 75 stores.
The program is being offered in partnership with a third-party company, which Vasos chose not to name. The service, called DG Delivery, allows customers to place orders through the Dollar General app and receive same-day delivery to their homes in as little as an hour. The program accepts digital coupons and offers cashback rewards, and it does not charge a fee or have a minimum order requirement.
Vasos believes the program will help the company grow its advertising business, as customers will be more likely to engage with the app when placing orders. He also stated that the service will ultimately expand to “thousands of stores” and is an opportunity to increase business in the tough retail market.
Dollar General’s decision to test same-day delivery comes as it faces increased competition from other retailers, including Walmart, Amazon, and Temp. The company’s earnings have been impacted by concerns over inflation and e-commerce growth, and Vasos has acknowledged the loss of market share to Walmart. The new program is an effort to counter this trend and keep up with changing consumer habits.
