Dollar store deals: Testing Dollarama and Dollar Tree (Marketplace)

We're looking for a deal... I've got some Chef Boyardee... Hitting your favorite

dollar

store

s. I love saving money. When you have a limited budget, it is important to save. Great place to go to get things at a more reasonable price. Everyone wants a bargain and

store

s like these are everywhere. What is the value of a

dollar

to you? A lot, because a dollar can go towards milk or formula, it's very important to me. You keep a close eye on your results. Yes, because I... I'm going from monthly to monthly. But are we really getting the best deal?

To find out that we are getting help from Renu Bansal and Joe Fazzari for the ultimate showdown over the dollar deal. We live very close, so when I need some things I come here. How often do you visit dollar stores? I would say two, three times a week. They head to the dollar stores and we head to Walmart, all armed with a list. So, 680 thousand, largest size, 87 dollars. We found the same products here and will use them to compare prices of products at dollar stores. This is a game for me. I want to beat the man, whoever he is, you know?

They're both dollar store fans who think they know how to get the most out of their dollar. Every little penny counts. I don't want to waste money or pay more unless I have to. Is this 3.50? Renu is located in one of the more than 1,400 Dollaramas in the country. There are about 230 dollar

tree

stores in Canada and this one is right around the corner from Joe's. What did you buy in other stores? I think it's exactly the same one we bought, yes. The list has food, snacks... Here we have some Pringles. Cleaning supplies, toiletries, and even some fun stuff.

Hot wheels! And it adds up. Something you tell us is quite common. I come in with a list and then I'm like, oh yeah, that, that, and it's only a dollar, that's great! Add it to my bag. You just think it's cheap and you take a bunch of stuff, when you leave it's, you know, forty dollars when you leave, right? It is not interesting? We met with Professor Markus Giesler. He is editor of the Journal of Consumer Research and a professor at the University of York. The way merchandise is presented to us is designed to make us buy more than we absolutely need.

Honestly, that's also the trap that many consumers fall into. Me included. I have bad news for you, let's take all of this now. There's a lot of good junk food there, you know? There is. All made at Walmart! We have everything our other buyers got. Now we need to break down the numbers and see how we did. Shopping usually involves a lot of homework, that's why dollar stores tell us as consumers, you come here, you don't have to do this homework because we already make the promise to you that the products you'll find here are below market price when In reality, they may not always be.

Let's face it, we're too busy to analyze every purchase this way. So, we do the math for you. I have many products here. We make. Calculate how much each item costs when we divide it into the same unit size. This is 194 grams. How are you Pringles. Two different sizes. I have the little one here. It's 67 grams. And different prices. $1.25. $1.25, okay. So, we calculated the price if they were all a 100 gram can. It's time to tell buyers how it went. We did the math and consulted with some experts. Same brand, almost the same size as some of the things you bought.

Froot Loops are back. Ah, the smallest size. Dollar Tree sells it for $25. But they are only 87 grams. Others? Larger. Dollarama beats the other two on this and overall seems to be doing well with prices roughly the same or lower than its competitors. But Dollar Tree is the most expensive option in terms of price per unit. So, it shows, promise unfulfilled. Stores like these should be partners that help make the life of a family or person like this easier and not more difficult. All of Joe's things were $25 or $50. Did his biggest savings at Dollar Tree beat out the others?

These Smarties body wash and Lever 2000. So you'd think you'd have an edge, but after our unit price analysis of 17 items, 12 of them were as expensive or more expensive than the other buyer. Oh really. Starburst, Hot Wheels, those potato chips, that chocolate bar. Oh, wow. Toothpaste, soup, this cat food. They are all the same price or less at Dollarama. But at Dollar Tree, 40 percent of those 17 products we analyzed are more expensive in a per-unit price comparison. You know you're only spending $25, $50 but... Well, it certainly adds up. Where do you think we got the best deal on these two products?

I would say Dollarama. It's actually Walmart. Actually? I'm surprised about the Play-Doh. We always think Dollarama is the best. I'll really have to think about whether it's worth going to the dollar store or not. Or to know my prices per mL, per item. But then a surprise. This toothpaste, for 100 ml, costs over six dollars at Dollar Tree. The other stores have larger sizes and cost less per milliliter. That margin for this size is simply outrageous compared to the other two. Who ends up paying the full cost? Consumers. And ultimately it's not in the best interest of the store brand because it means that the faith and trust that consumers have in those products is eroded, and in those brands it is eroded.

Both Renu and Joe tell us they are lucky: they can afford occasional overspending. Markus says many can't. We often talk about vulnerable consumers, low-income families, and families who really need every penny and dollar. These stores are typically located in lower-middle class neighborhoods and signal that we make affordability and the Canadian dream a reality. Next, our biggest surprise with the stickers. More than eight dollars. Oh! Plus, sharing our pricing inquiry with the dollar store giants. You can't afford to miss your Market. This is your Market. We're back to our price check at the dollar store. Here's the biggest surprise of all: a pregnancy test. $1.25 at dollar stores.

Good. Guess how much this one cost at Walmart? Maybe a dollar? More than eight dollars. -Oh. -Oh! In the end, Dollarama did well in our test. Always beating Dollar Tree on prices and cheaper or a few cents away from Walmart. The company tells us that its goal is to offer competitively priced everyday products at low fixed prices all year round, without sales or promotions. As for Dollar Tree, they tell us that Crest 3D White toothpaste is considered a travel-size item and they say consumers continue to shop at Dollar Tree because of the extreme value the store offers.

As for Renu and Joe, they both feel like they are better shoppers now, and although the Pennywise couple never met, they had a message for each other. Good luck shopping next time. I think you need to calculate your prices and, you know, know them a little better. I can't believe she is the best buyer. I just can't believe it.