Dollarama not living up to its name: price increases in the upcoming fiscal year
In recent weeks, it has become evident that prices are increasing in all economic sectors. Fuel, food, clothing, and technology have seen record-high prices in response to the Coronavirus pandemic.
Following suit is Canada's very own Dollarama. Once made famous for its startlingly low prices (the majority of which were below a dollar), the company announced yesterday that it will be introducing new price points throughout the course of Fiscal 2023.
"The Corporation will gradually roll out additional price points up to $5.00, consistent with its multi-price point strategy in place since 2009. Over time, this will enable the Corporation to maintain and enhance its broad product assortment and compelling value."
In Fiscal 2022, Dollarama entered into a long-term lease for a seventh warehouse, located in Laval, Quebec, to increase its capacity in support of its long-term target of 2,000 stores in Canada by 2031. The new 500,000 square foot is currently under construction and is expected to be operational by the end of Fiscal 2023.
Although the Corporation acknowledged the "complex" economic environment, it stated that it remains confident it will continue to achieve profitable growth and follow through on its promises.
"We are committed to providing Canadians from all walks of life with compelling value on every dollar they spend, and with proximity and convenient access to a broad range of affordable, everyday items."
What are your thoughts on the price increases? Is 5$ still considered a deal? Let us know in the comments down below.