Family Dollar Sees Opportunity in Food Stamps
has found a niche serving lower income consumers and
found that offering consumables is a sure fire way to drive traffic during
good times and bad. Now the chain is looking to speed up its rollout of
the company’s "store of the future" so it can sell food to consumers
paying with food stamps.
by the Los Angeles Times, Family Dollar CEO Howard Levine recently
told analysts that the company currently accepts food stamps at 3,000 of
its stores and is looking to offer the service at the 3,600 locations that
don’t currently accept payment from the government program.
said that the number of households using food stamps increased by 17 percent
in September ’08 compared to the previous year. A total of 14 million households
were food stamp recipients.
expansion of our food assortment, combined with the upgrade of our point
of sale technology, positions us well to serve this growing population
of customers," he said.
What are your views on the food stamp opportunity? What does it mean
for retailers looking to serve this market while finding a point of difference
from the competition?