Fresh Produce Self-Distribution in Plans at Dollar General

Fresh Produce Self-Distribution in Plans at Dollar General

Dollar General has completed its initial rollout of its DG Fresh initiative, so now the company will focus on adding more fresh produce to stores, and possibly self-distribution of fresh produce.

Based in Goodlettsville, TN, the company is now delivering refrigerated and frozen items to 17,500 stores from 12 facilities.

“And while produce was not included in our initial rollout plans, we believe DG Fresh provides a potential path to accelerating our fresh produce offering in up to 10,000 stores over time as we look to further capitalize on our extensive self-distribution capabilities,” Jeff Owen, COO said.

Fresh produce is now in more than 1,500 stores, with plans to expand to a total of more than 2,000 stores by the end of the year.

Dollar General plans to open 1,050 stores this year and remodel 1,750.

While the company’s same-store sales couldn’t keep up with a record 2020, CEO Todd Vasos said basket size is bigger, as is customer base.

“We believe we will ultimately exit the pandemic with a larger, broader, and more engaged customer base than we entered it, resulting in an even stronger foundation from which to grow,” Vasos said, during the call.