A Dollarama store is seen Tuesday, June 11, 2013 in Montreal.THE CANADIAN PRESS/Paul Chiasson

Retailer Dollarama unfazed by arrival to Canada of China’s Miniso

Retailer Dollarama unfazed by arrival to Canada of China’s Miniso

MONTREAL — Dollarama Inc. says it’s not worried about the arrival to Canada and growth plans of Chinese dollar store chain Miniso.

“We consider them a pure China-based, Chinese import dollar store,” Dollarama CEO Neil Rossy said Wednesday during a conference call about its latest quarterly results.

“They do a very nice job in stores about one quarter to one third the size of ours.”

Miniso has opened six stores in British Columbia and hopes to reach up to 50 locations by the end of next year, including Ontario, Quebec and Alberta.

Overall, the firm hopes to have 6,000 stores around the world by 2020.

Rossy said Miniso’s merchandise is focused on “design-oriented non essentials” which is a different customer base than Dollarama. The Canadian retailer caters to many shoppers with a broad offering of food, kitchenware, party decorations, toys and seasonal goods.

“We will consider them as competition as we consider all the other retailers in Canada as competition. But there’s nothing for us to react to at this time.”

The Quebec-based discount retailer (TSX:DOL) said it earned $130.1 million of $1.15 per diluted share in its third quarter, up from $110.1 million or 92 cents per share a year ago when it had more shares outstanding.

Analysts on average had expected a profit of $1.11 per share, according to Thomson Reuters.

Sales in the 13 weeks ended Oct. 29 totalled $810.6 million, up from $738.7 million.

Comparable store sales grew 4.6 per cent as the average transaction size grew 4.5 per cent and the retailer saw a 0.1 per cent increase in the number of transactions.

Dollarama said it has no immediate plans to expand its price points beyond $4.

“We had 17-plus years to master $1, and it’s going to take us a bunch of years to master $3.50 and $4,” Rossy added.

The retailer also said it will likely wait for other retailers to hike prices in response to minimum wage increases before it follows suit.

“If they do, it gives us an option. And if they don’t, obviously, we must, like all the other retailers, find a way to fight a good fight and figure it out,” Rossy told analysts.

Just Posted

One strong wind leaves years of replanting work for Red Deer parks staff

High visibility boulevards already replanted, neighbourhood work starts next year

Red Deer-area indigenous filmmakers invited to apply for $20,000 grant

Storyhive launches Indigenous Storyteller Edition

Restaurant closed after compliance team patrol

Public Safety Compliance Team checked eight bars and restaurants on Oct. 19

Red Deerians await local cannabis stores

So far 31 stores in Alberta awarded licence to operate

Rimbey RCMP seek missing man with health concerns

Has anyone seen Bill Harris of Ponka County?

WATCH: Make-A-Wish grants Star Wars loving teen’s wish

The Make-A-Wish Foundation granted Anakin Suerink’s wish in Red Deer Saturday afternoon

Local Sports: Rudy Soffo valuable to Kings on the court

When Rudy Soffo first saw the RDC basketball Kings roster he was… Continue reading

Except for 1 kick, Saints, Ravens are evenly matched

BALTIMORE — In a matchup between the league’s highest-scoring offence and top-ranked… Continue reading

Julia Louis-Dreyfus gets a top award for comedy

WASHINGTON — After a 35-year acting career and with two iconic television… Continue reading

Ricky Skaggs, Dottie West enter Country Music Hall of Fame

NASHVILLE — Bluegrass and country star Ricky Skaggs, singer Dottie West and… Continue reading

AP Exclusive: Stephen Hawking’s wheelchair, thesis for sale

LONDON — Stephen Hawking was a cosmic visionary, a figure of inspiration… Continue reading

Canada deemed U.S. a safe country for asylum seekers after internal review

OTTAWA — Canadian immigration officials have determined that the United States remains… Continue reading

Bombardier sues Mitsubishi over alleged theft of aircraft trade secrets

MONTREAL — Bombardier is suing Mitsubishi Aircraft in the United States over… Continue reading

Three strong earthquakes reported in Pacific Ocean off Vancouver Island

Three relatively strong earthquakes were recorded Sunday night in the Pacific Ocean… Continue reading

Most Read