That trip to Dollar Tree is going to cost you an extra quarter.
The retailer announced it has begun rolling out a price increase to $1.25 for many of its items in stores.
In a statement released Tuesday, Dollar Tree said the decision is not “a reaction to short-term or transitory market conditions.”
“Lifting the one-dollar constraint represents a monumental step for our organization and we are enthusiastic about the opportunity to meaningfully improve our shoppers’ experience and unlock value for our stakeholders,” said Dollar Tree president and CEO Michael Witynski in a statement. The adjustment arrives as Americans continue to deal with the impact of inflation, which has reached a 31-year high. Strong consumer demand and labor shortages are among some of the reasons for rising prices.
Dollar Tree said the shift to $1.25 pricing will allow them to introduce new products and bring back previous products discontinued because of the $1 price constraint.
In September, Dollar Tree announced it was testing products with prices above $1, as well as Dollar Tree Plus stores with prices at $3 and $5. Dollar Tree said the results of those tests had been “overwhelmingly positive.”
The company has more than 15,800 Dollar Tree, Family Dollar and Dollar Tree Canada stores across 48 states and five Canadian provinces.
Dollar Tree said the price change will roll out to all stores by the end of the first fiscal quarter of 2022.