Deals

Deals (previously stylized as DEAL$) is an American chain of discount variety stores currently owned by Dollar Tree. There are more than 194 stores located in shopping centers, malls, and urban areas in 19 states throughout the country.

Each store stocks a variety of products including national, regional, and private-label brands, as well as accepts manufacturers' coupons. Departments found in a Deals store include health and beauty, food and snacks, party, seasonal décor, housewares, glassware, dinnerware, household cleaning supplies, candy, toys, gifts, gift bags and wrap, stationery, craft supplies, teaching supplies, and books. The majority of Deals stores also sell frozen foods and dairy items such as milk, eggs, pizza, ice cream, frozen dinners, and pre-made baked goods.^[1]

History

Only two years after opening, Deals became a success with 41 stores in eight states, and $30 million in sales. 60 more stores were scheduled to open in 2002, the year the chain posted its first profit. Even Tom Holley, President of the company, was somewhat surprised by the success of the Deals stores, which began shortly after Gramex sold its Grandpa's discount chain to Value City Department Stores Inc. in November 1999. Holley launched the first Deals store in November 1999 and had expected to have about 25 stores by the end of 2001, but his projections were too conservative. Store No. 41 opened January 29 in Cleveland.

Financial backing for the stores came from several private investors in St. Louis. Among the local investors are Holley's brothers: David Holley, a principal at Kirkwood High School; Michael Holley, a teacher at Nipher Middle School in Kirkwood; and Scott Holley, a teacher at Westminster Christian Academy.^[2]

Acquisitions

In 2003, it was announced that SuperValu had acquired Deal$. At the time, Deal$ operated 53 stores across eight Midwestern states. Jeff Noddle, SuperValu president and chief executive officer had said, "We are excited to introduce a general merchandise strategy into our breakthrough grocery format Save-A-Lot through the acquisition of Deal$. By following the same disciplined approach that secured Save-A-Lot's leadership position, we can positively influence the growth of our extreme value retail business over the long term." Save-A-Lot's entire store network was expanded by approximately 150 stores in fiscal 2003 representing approximately 100 new Save-A-Lot's and the addition of the Deal$ store base. The acquisition was included in SuperValu's previously announced capital spending plan of $500 - $525 million and was expected to be earnings neutral in fiscal 2003.^[3]

In 2006, Dollar Tree, Inc. acquired 138 Deal$ stores^[4] from SuperValu, Inc.

eCommerce site

In 2013, Deals launched a new full e-commerce website which sells merchandise in both single items and larger quantities to individuals, small businesses, and organizations. The company also advertises in-store events, specials, seasonal promotions, and featured products through the site. Customers can locate a retail store, research information about Deals, view product recalls, and purchase products online to ship to their office, home, or local Deals or Dollar Tree store.

References

External links

• Deals Website