Dollar General Boosts Digital Strategy

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Dollar General is letting customers buy online and pick up in store which could help attract a younger demographic, analysts say

By Sara Castellanos Oct. 9, 2019 2:38 pm ET Dollar General Corp. is working on making it possible for customers to buy its wares online and pick them up at a nearby store, a move that analysts say could help the retailer attract a younger demographic.

The discount retailer with about 16,000 stores in 44 states plans to test the system in the coming months, initially through a mobile app. Mr. Wenkoff declined to give the number of stores that will participate. To make the buy-online, pick-up-in-store feature work, Mr. Wenkoff’s team will need to integrate the mobile app with several data systems and applications that have information about the company’s supply chain and inventory. If an item is out of stock, the app could suggest similar items that are available. It could also let customers use digital coupons on items purchased online.

The company’s digital tools include the “cart calculator” feature in one of its mobile apps, which lets in-store customers calculate the exact total of items in their cart, including taxes and discounts, before they go up to the cash register. It is available in about 75% of stores. Another feature lets customers know when a coupon is available for an item in their cart.

Some cost-conscious customers who are pressed for time will find that the ability to order items online and pick them up in store adds another level of convenience, said Anthony Chukumba, managing director and senior research analyst at Loop Capital Markets LLC.

 

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