“It probably was a wise thing for them to be proactive in putting this forward,” said Lee Holman, a retail analyst at IHL Group, suggesting Dollar Tree customers have had some time to get used to the price point. “Meanwhile, they’re now more concerned about paying 75 bucks to gas up their car.” While gas prices continue to soar to new records and grocery bills get relentlessly larger, there’s new evidence of just how much inflation—still near 40-year highs—is affecting the entire supply chain. Companies facing higher costs for shipping, merchandise, and labor are having to decide how much to pass those on, and how much will turn customers off. Last week, Walmart executives reported disappointing profit, noting they were caught off guard by the magnitude of their extra expenses and had begun to better match their costs to prices. Have a question, comment, or story to share? You can reach Terry at tlane@thebalance.com. Want to read more content like this? Sign up for The Balance’s newsletter for daily insights, analysis, and financial tips, all delivered straight to your inbox every morning!
