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Gene Hoffman

President/CEO
Corporate Strategies International

Dollar Stores Consuming Greater Share of Food Market

December 7, 2012

FROM RETAILWIRE:
Even as the economy has begun to recover, dollar stores continue to pick up share from supermarkets and mass merchandisers. Do you expect the competitive threat posed by dollar stores to other food retailers to increase, decrease or remain the same over the next five years?      [more...]

MY COMMENTARY:

The threat of dollar stores will put increased pressure on other food retailers as the concept of value diminishes and the concept of gaining advantage proliferates.

Whoever can offer dollar stores the most unique products - whether brands or private label - will be the most valuable to differentiate dollar stores. That would require a new supply paradigm but look to what Trader Joe's has accomplished.

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