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Discount Showdown: Dollar Stores Winning Out Over Big-Box Cousins With Customer Service, Convenient Locations

Posted on: Saturday, 11 March 2006, 12:00 CST

By Paige Lauren Deiner, The Monitor, McAllen, Texas

Mar. 11--There's an adage that says it pays to shop around. In the case of household and grocery items the benefits of comparison shopping can yield a lot more than pocket change -- especially if you're shopping at one of the ubiquitous "dollar stores" that are popping up around the Rio Grande Valley.

In McAllen alone there are more than half a dozen of these discount stores and more than 50 in the surrounding area.

The stores, which are generally around 7,000 square feet, don't have the selection of retail giants like Wal-Mart or Target, but what they do have is generally cheaper than their larger cousins.

"I find that it's a lot cheaper than Wal-Mart," said Margo Ramirez, who says she buys almost all of her groceries at Dollar General in Edinburg.

Price may be part of the reason why this type of store is growing in popularity; but another reason, and possibly more important, is convenience.

Dollar General, which has the most stores in the Valley, intentionally builds stores close to neighborhoods so that families don't have to drive more than five miles to reach the discount store. The chain recently opened its 8,000th store, located in Mission.

Maria G. Ramirez says that the Dollar General in Edinburg is near to her home. "Wal-Mart is far away," she said. "Here things are inexpensive and I can save a little. It's convenient."

Discount stores also are made for quick shopping. According to its press kit, Dollar General shoppers spend an average of 10 minutes in the store.

"Our stores are designed to be neighborhood stores. They are small by design. We want our customers to get in and get out quickly," said Tawn Earnest, senior vice-president of communications for Dollar General.

Carlos Correa, owner of Planet Dollar on Sugar Road in Edinburg, said most of his customers shop on their lunch breaks or after work. The store is busiest between 11 a.m. to 2 p.m. and 4 to 8 p.m. Most of the customers are women between the ages of 30 and 40.

Correa said that customers generally come in and purchase jewelry and gift bags.

Outside the Dollar Tree store on Closner Boulevard in Edinburg, Yolanda Fuentes said she likes shopping at dollar stores because they are less crowded than H.E.B. and Wal-Mart. She said both the discount store and large retail stores sell the same products and there is little difference in price. But she said dollar stores have "cute things" that other stores don't, like an "old fashioned door ringer."

"It's a better shopping experience," she said.

Part of that may be due to dollar stores' emphasis on customer service. That is a large part of the reason why Margo Ramirez shops at Dollar General.

The people who work there are "friendly, always smiling," Ramirez said outside the store, a yellow plastic bag full of merchandise in her hand. "When I go to Wal-Mart they point and tell you the aisle where you can find something. Here, the people walk you to it and make sure you find it."

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Paige Lauren Deiner covers features and entertainment for The Monitor. You can reach her at (956) 683-4425. For this and more local stories, visit www.themonitor.com.

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Copyright (c) 2006, The Monitor, McAllen, Texas

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Source: The Monitor (McAllen, Texas)

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