US Discount Retailer Dollar General Targets High Income Households

摘要

1.We have previously highlighted discounter opportunities within the MGR space, however, we note that American consumers arealso becoming increasingly price conscious in other retail segments, with US discount chain Dollar General reporting homeproducts being its strongest growth segment in 2020.2. The company rolled out a new retail concept store, Popshelf, which provides home decor, health and beauty products and otherhouse supplies for less than USD5.00.3. Whilst we believe that consumer spending will begin to recover in 2021 on the back of the economic recovery, USconsumers will still continue to be price sensitive, weighed down by elevated unemployment, wage stagnation and uncertaintysurrounding stimulus measures, with this also impacting higher-income households.