Customer Base – Identified by 4 types of consumer profiles
Diane – Necessity Driven Survivor
$34K avg. income
16% of the shoppers and 48% of the dollars
Rita – Resourceful Budget Conscious
$39K avg. income
21% of the shoppers and 23% of dollars
Olivia – No Nonsense / Frugal
$45K annual Income
22% of the shoppers and 15% of dollar spent
Becky – Fun Seeking Bargain Hunter
$49K Avg. Income
18% of shoppers and 9% of the sales
Diane and Rita represent 80% of the sales; Olivia & Becky are the fastest growing segments.
Magazines are a $1 Billion business for Dollar General, who have a real commitment to magazines and are willing to try new things. They introduced mainlines back into 4,000 stores, adding pockets to the checkout, introduced a new checkout, improved magazine fixture etc. They are also growing at a rate of a store a day and are opening up stores at strategic locations. The fastest growing segment of their customer base is earning $70K+, so they are appealing to a larger audience as they grow. Also they are rumored to be in acquisition mode.