Wave of Family Dollar Store Closures Hits State, Shoppers Unsurprised by the Trend

Customers at Family Dollar are not surprised by the recent series of store shutdowns happening across one state.

The chain has been closing stores since the beginning of the year. Its parent company, Dollar Tree, plans to close over 1,000 Family Dollar locations within the next few years.

Ohio Hit Hard by Family Dollar Closures

Rick Dreiling, the company's chairman and CEO, announced in a March earnings call that at least 600 Family Dollar stores are set to close by mid-2024.

Ohio is experiencing more closures than any other state. By the end of April, at least 35 Family Dollar stores in the state will have shut their doors. Most closures were scheduled for around April 20, meaning many Ohio shoppers may have already found their local stores closed last week, according to Fox affiliate WJW.

The final stores are expected to close by April 30. In Cincinnati alone, at least 10 Family Dollar locations have been included in this recent wave of shutdowns.

As Franchise Herald reported, the recent closures of Family Dollar stores will affect about 265 workers, with nearly 200 facing possible layoffs.

However, company officials have mentioned that employees can move to different store locations if they choose.

Rising inflation has pushed prices higher, and now many items at Dollar Tree are selling for more than the usual $1.25. In an effort to draw customers despite these increases, the store has introduced some higher-priced items, which are still seen as good deals.

Despite these efforts, Dollar Tree is struggling to keep prices low while managing the climbing costs, making it hard to meet customer expectations for budget-friendly shopping.

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Ohio Shoppers React to Family Dollar Closures

One shopper expressed frustration over the numerous Family Dollar closures in Ohio, noting that the store's prices had been above one dollar for quite some time, but they weren't surprised by the closures.

This customer also mentioned that there were 50% off liquidation sales happening at all 35 closing locations across the state. "They can't make a profit from it and the tax write-offs now (plus they haven't been a dollar in forever)," the shopper posted on X, formerly known as Twitter.

"They've essentially shut down every Family Dollar in Ohio, with this month likely being the last," they continued. "All these stores are holding 50% off closing sales."

While some are upset about the closures, others are pleased to see the stores go. "GOOD!!" one user exclaimed on X. Another commented, "I thought they were already closed. Those stores are nasty."

Another dissatisfied customer described the operations at the closing stores as unreliable and claimed that each location had only eight employees, adding to the frustrations felt by many.

Over the next few years, around 370 Family Dollar stores and 30 Dollar Tree locations will close as their leases expire.

Dreiling described these closures as a response to a "very challenging macro environment" during a recent earnings call. He also stated that the company is planning a thorough review of the Family Dollar store network to shut down underperforming locations that do not fit the company's future goals.

Related Article: Dollar Tree Announces Closure of 35 Stores in Ohio, Final Sales Underway