After beginning to carry higher-priced items, Dollar Tree is moving into more affluent neighborhoods, according to a Bloomberg analysis.
Half of the Dollar Tree locations opened since 2019 are in more affluent ZIP codes, Bloomberg reported. In December, the company said 60% of its new customers have household incomes above $100,000.
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“Today, we serve an increasingly broad spectrum of shoppers, from core value-focused households to middle- and higher-income shoppers who are making deliberate choices about how and where they spend,” CEO Mike Creedon said.
Dollar Tree now operates more than 9,000 stores, up from about 5,000 nearly a decade ago. Until the COVID-19 pandemic, most items were priced at $1. Today, prices range from $1.25 to more than $5.
Bloomberg noted that Dollar Tree’s 9,000th location opened just blocks from a Louis Vuitton store and a steakhouse selling $525 Wagyu beef. Luxury vehicles were spotted in the parking lot, reflecting the shift in clientele.
“Dollar Tree is for smart shoppers across all income brackets where value, convenience and discovery matter,” Creedon said. “At the same time, higher-income households are trading into Dollar Tree. Lower-income households are depending on us more than ever.”
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The retailer says its stores are a convenient option for basic goods, including party supplies, snacks and cleaning products — items purchased across income levels.
While many retailers struggled with comparable sales, Dollar Tree’s sales grew 4.2% from the third quarter of 2024 to the same quarter in 2025.
Although the company is attracting more high-income customers, it says lower-income consumers remain an important part of its customer base.
