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Dollar Greeting Cards - How Dollar Store Greeting Card Departments Work

Posted by Paul Chase on 8/16/2018 to Wholesale Dollar Cards
Dollar Greeting Cards - How Dollar Store Greeting Card Departments Work

If you’ve ever been to the dollar store, you may have noticed racks of greeting cards selling at the low price of 99 cents or $1. These dollar cards are very profitable for discount retailers and stores often carry up to 40 linear feet of cards. Obviously, the larger the selection of cards, the more volume of cards that a dollar store will sell. 

These discount cards usually carry the same titles as their premium counterparts with birthdays, new baby, wedding, anniversary, get well, thinking of you, & sympathy being among the top sellers. Seasonal cards such as Christmas, Easter, Valentines Days, Mother’s Day, Father’s Day also keep the till busy and clocking in those dollar bills.

Department size ranges from a simple spinner of cards up to ten 4’ card racks (40 linear feet). One 4’ card rack typically holds 96 designs of greeting cards packed in 6 per design, or 576 cards total. Card racks are modular by design making up the total greeting card display length in 4’ rack sections. These card racks are installed either as an aisle, an island, or against the wall.

Quality of this dollar store merchandise varies from manufacturer to manufacturer. Some publishers on the very low-end, wholesale cheap cards for a very low price, but they do not sell well. High quality publishing with full size cards, quality printing, appealing sentiments, and embellishments such as glitter and die-cut, sell the best.  These days, dollar cards are often wrapped in cellophane to protect the cards from grubby fingers and to help avoid missing envelopes.  

Special signing depicting the discount price of each card is inserted into each rack. These signs usually read “50% Off Greeting Cards”, “All Cards 99 Cents” or “All Cards $1”. This offers great value to bargain hunting consumers who see the MRP price of $2.80 printed on the back of each card.

A planogram showing the exact positioning of each card design on the rack is implemented at installation. This way, retailers know which card goes in which slot, a matrix position that makes reordering the right cards easy and fast.

As distinct from premium cards, dollar card sellers make their profit by volume. Premium full price cards make a higher profit per card sale, whereas dollar stores make a higher profit on overall volume. Retailers who implement their own dollar greeting card department make 50% margin, typically buying one card for 50 cents and selling for $1. They make 50 cents profit per card sale.

Because of the low price of each card, it is common for shoppers to buy many dollar cards at once, making the average retail sale of $4.00 - $5.00. Retailers who invest in turn key discount greeting card departments can make a very high return on their investment.    

For additional information contact InterGreet at 888-600-9354 or [email protected]    

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