As shoppers continue looking for ways to save on everyday essentials, Dollar General is moving ahead with one of its biggest expansion efforts, opening hundreds of new stores while redesigning many existing locations.
Learn about Dollar General's plans to increase and redefine its store footprint in 2026.
Dollar General is opening 450 new locations
Dollar General continues to plan to open approximately 450 new U.S. stores during fiscal 2026, a goal the company reaffirmed in its latest earnings report. The discount retailer has not yet revealed where the new locations will be, but CEO Todd Vasos has said they will be "predominantly in rural communities".
The company also plans roughly 4,730 real estate projects, including:
- 450 new U.S. stores
- 10 new Mexico stores
- 2,000 Project Renovate remodels
- 2,250 Project Elevate remodels
- about 20 relocations
Dollar General has already made significant progress on those plans. During the first quarter of fiscal 2026, the retailer opened 195 new stores, remodeled more than 1,300 locations, relocated six stores, and closed 33 stores. About a year ago, the chain announced plans to close around 100 locations; big plans are in the works for 2026, including a new store format.
Stores will feature a new and improved layout
Vasos has explained that one of their growth strategies is to focus on improving the customer experience while shopping. As a result, a new store format will be introduced this year in hopes of driving larger purchases.
"This new format is designed to be more open and inviting, resulting in greater browsing and treasure-hunt shopping as customers are exposed to more categories as they navigate the store," Vasos said in a conference call.
The new format stores were quietly tested in 2025 and produced results indicating incremental sales lift and outperformance relative to their traditional store models.
In addition to store format, Dollar General is introducing other exciting changes.
New subscription plan
Dollar General plans to pilot a new subscription model as part of the expanded loyalty program. Dollar General has discussed testing a subscription offering tied to its loyalty program, although the company has not announced a nationwide rollout or released additional details since first outlining the concept earlier this year.
Expanded delivery options
Not all consumers enjoy shopping in person, and Dollar General continues expanding its digital shopping options. The company says myDG Delivery and third-party delivery services are now available in the majority of its stores, building on partnerships with DoorDash and Uber Eats.
A new CEO
Dollar General has already named its next CEO. Jerry "JJ" Fleeman Jr., currently CEO of Ahold Delhaize USA, is scheduled to succeed Todd Vasos on Jan. 1, 2027. Vasos will remain with the company as a senior adviser through early 2027 to help with the transition.
What is Dollar General's digital strategy?
Dollar General continues investing in its digital business through the myDG app, personalized offers, retail media network and expanded delivery options, which executives say are helping strengthen customer engagement.
How is Dollar General doing financially?
In its most recent quarterly report, Dollar General reported first-quarter fiscal 2026 net sales of $10.8 billion, up 3.4%, while same-store sales increased 2.0%. The company also raised its full-year earnings outlook while reaffirming plans to open about 450 stores this year.
What else should customers know about Dollar General?
Products may also be shifting. Over 1,500 SKUs have already been taken out of the inventory selection, and Dollar General has been simplifying portions of its merchandise assortment by reducing lower-performing products while focusing on core everyday items. This streamlining of products is part of the plan to strengthen its financial position and optimize focus around the core products shoppers are purchasing.
Dollar General isn't the only discount retailer capitalizing on a new consumer emphasis on savings, either. Dollar General is expanding its multi-price strategy, including a more expensive but still discounted inventory, many at $7 across more categories. They will be adding approximately 400 new store openings this year, as well as closing 75 underperforming locations as part of a larger portfolio review.
Bottom line
It's no surprise that Dollar General is shifting its focus toward groceries as they move forward with expansion plans. Average American consumers are struggling to find ways to tackle rising grocery costs, and one solution is to shift spending to groceries available for less at discount stores.
The focus on expanding into more rural areas can also help combat "food deserts" in which communities have to travel quite far to find a supermarket, which will be further enhanced by expanding delivery options for both the in-house app and third-party services.
FAQs
What are Project Renovate and Project Elevate?
They are Dollar General's two remodel programs. Renovate is a full remodel aimed at stores that have gone seven or more years without an update, while Elevate is a lighter, partial remodel for newer stores. The company plans about 2,000 Renovate and 2,250 Elevate remodels in 2026.
Is Dollar General bigger than Dollar Tree?
Yes, by store count. Dollar General operates around 21,000 U.S. stores, while Dollar Tree ended the first quarter of fiscal 2026 with 9,382 across the United States and Canada.
Does Dollar General sell fresh groceries?
Some stores do, yes. Packaged and frozen groceries are available chain-wide, but fresh produce is limited to select locations. The larger store format rolling out this year adds cooler space and room for produce.
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