Building on its enhanced financial services, Dollar General Corp. has partnered with Ibotta to offer cash-back options to all consumers.
Ibotta is a free-to-use cash-back rewards platform that, according to the company, has delivered more than $1.1 billion in cumulative cash rewards to its users for making purchases in-store, on mobile apps or via websites. It offers cash back on purchases on more than 2,700 leading brands and retail partners. In addition to its owned properties, Ibotta also powers rewards programs for top retailers like Walmart and makes its offer content available on a number of leading websites and apps through the Ibotta Performance Network (IPN). The IPN enables promotions to be delivered in a coordinated fashion across retailer platforms, large third-party publisher sites and Ibotta’s direct-to-consumer properties.
As part of its partnership, Dollar General will join the IPN. Consumers can currently receive cash-back rewards on thousands of items at Dollar General through Ibotta’s platform and expect cash-back rewards available directly through Dollar General’s app and website by spring 2023.
“Dollar General has enjoyed explosive growth because of its innovative approach to helping consumers stretch their budgets,” said Bryan Leach, founder and CEO of Denver-based Ibotta. “Partnering with like-minded brands is a priority for us, and Dollar General is deeply committed to creating maximum value for their customers through seamless, customized programs that help save them even more money.”
“We are excited to provide an additional innovative option for our customers to help stretch their budgets,” added Emily Taylor, Dollar General’s EVP and chief merchandising officer. “Ibotta’s cash-back rewards program further complements our continuous efforts to provide financial offerings and rewards to customers alongside our everyday low prices.”
Dollar General recently achieved sales growth during its last financial quarter. Year-over-year, its third quarter ended Oct. 28 brought a net sales increase of 11.1% to $9.5 billion, and a same-store sales increase of 6.8%. Operating profit rose 10.5% to $735.5 million, diluted EPS increased 12% to $2.33, and year-to-date cash flows from operations totaled $1.2 billion.
Due to greater-than-anticipated gross margin pressures, however, the retailer lowered its financial guidance for the remaining quarter of fiscal 2022. Dollar General expects to see same-store sales growth of approximately 6%-7% and diluted EPS in the range of $3.15-$3.30. Previously reported net sales growth expectations of approximately 11% and share repurchases of approximately $2.75 billion for the full fiscal 2022 remain unchanged.
Goodlettsville, Tenn.-based Dollar General operated 18,818 stores in 47 states as of Oct. 28, 2022. The company is No. 15 on The PG 100, Progressive Grocer’s 2022 list of the top food and consumables retailers in North America.