Dollar stores are now the fastest-growing food retailer in the U.S.

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Dollar store food purchases nearly doubled between 2008 and 2020, according to new research.
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Lower-income households and people of color are most likely to turn to dollar stores for food.
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While dollar store food is less healthy overall, most families balance purchases with healthier options elsewhere.
In many rural areas of America, supermarkets are few and far between. That gap is increasingly being filled by dollar stores, according to new research from Tufts University and the USDA-Economic Research Service.
The study, published in the Journal of the Academy of Nutrition and Dietetics, shows that calories obtained from dollar store purchases nearly doubled between 2008 and 2020, rising from 3.4% to 6.5% of total household food purchases.
The analysis, which tracked food-buying habits of 180,000 U.S. households over 12 years, sheds light on how the rapid expansion of dollar stores has influenced American diets. While dollar store food purchases were found to be less nutritious than items bought from grocery and club stores, researchers say families appear to be using them strategically, often supplementing with healthier foods from other outlets.
The trend is particularly pronounced among lower-income households and families led by people of color, groups that often face limited access to full-service grocery stores. In rural areas, dollar stores frequently serve as the most convenient option, especially where the nearest supermarket may be miles away.
People go to different types of stores for different reasons, and the dollar store is one that people choose because of the price advantage, said study lead author Wenhui Feng, a professor at Tufts University School of Medicine. There are a lot of concerns that foods on dollar store shelves are less healthy, but whats on the shelf does not equal what each household takes home.
Dollar stores expanding footprint
Dollar stores are now the fastest-growing food retailer in the U.S., with more than 37,000 locations nationwide. Their presence is particularly strong in the South and in communities outside of major cities. While they offer low prices, most dollar stores primarily sell packaged foods and sugary beverages, with limited fresh produce or meat options.
Concerns about the spread of dollar stores have prompted at least 25 local governments to impose restrictions on their expansion. Critics point to potential public health risks, competition with local grocers, and even safety issues tied to understaffing. But the study suggests more research is needed before policymakers can fully assess their impact.
On average, U.S. households still obtain more than half (55%) of their non-restaurant calories from grocery stores and another 22% from club stores. While foods from dollar stores scored lower on measures of healthfulness, the researchers found evidence that shoppers may be offsetting those purchases with better choices elsewhere.
Some people seem to be going to dollar stores strategically to buy sweets and snacks, along with other packaged foods, said senior author Sean Cash of Tufts University. We need more data on the real effects of dollar stores on healthy eating, as some communities may be putting the policy cart before the horse.
Posted: 2025-09-12 14:35:37