73% of U.S. Consumers Plan to Shop at Discount Retailers This Holiday Season: VTEX Commerce

NEW YORK--(BUSINESS WIRE)--Nearly three-quarters (73%) of U.S. consumers say they plan to shop at discount retailers such as Dollar General, Dollar Tree, and Five Below this holiday season, according to new research from VTEX (NYSE: VTEX), the enterprise commerce platform.

“Last holiday season was dominated by Shein and Temu. But with tariffs and higher costs reshaping the playing field, this year could be the moment for American discount retailers to win big" said Mariano Gomide de Faria, Founder and Co-CEO at VTEX.

Share

According to the research, Millennials showed the strongest intent, with 53% saying they are very likely to make discount stores part of their holiday shopping. Social media is also fueling purchase decisions: more than one-quarter of respondents (28%) said they had been influenced by TikTok or Instagram holiday shopping content featuring discount stores, a number that rises to 52% among Gen Z.

“Discount store chains are no longer holding an advantage with their competitive pricing alone,” said Mariano Gomide de Faria, Founder and Co-CEO at VTEX. “They have continued to take noticeable share from Amazon and the big-box giants on value, while social media apps such as TikTok have turned dollar stores into discovery engines for Gen Z. At the same time, Gen X and Millennials, already familiar with these formats, continue to rely on discounters as trusted destinations as the heavy cost of daily life requires them to keep holiday spending in check.”

Other key findings from the VTEX survey include:

• Stocking stuffers dominate: 61% of shoppers said discount retailers were their top choice for stocking stuffers, followed closely by holiday décor (59%) and party supplies (59%).
  
  
• Connected multi-channel shopping required: 26% had already shopped online at discount stores, and another 53% said they would if online prices matched in-store.
  
  
• Convenience is currency: Consumers ranked same-day delivery (22%), mobile coupon apps (21%), and buy-online-pickup-in-store (19%) as the most valuable online features.
  
  
• Budgets are tight: More than half (53%) expected to spend $500 or less this season, underscoring the appeal of value-driven retailers.

The data points to a holiday season where discount retailers sit at the intersection of affordability and accessibility. Consumers are willing to stretch their budgets by turning to value-driven stores, but they also expect the digital ease, delivery options, and inspiration they get from mass retailers and e-commerce giants.

“Last holiday season was dominated by Shein and Temu. But with tariffs and higher costs reshaping the playing field, this year could be the moment for American discount retailers to win big. Consumers are still laser-focused on price, but the real test is whether dollar stores can pair that affordability with digital convenience. If they close the gap between in-store value and online expectations, they won’t just ride the wave of price-consciousness; they could redefine who really owns the holiday season,” said Mariano Gomide de Faria, Founder and Co-CEO at VTEX.

If TikTok has already sparked a cultural resurgence for dollar stores, will discount retailers take the next step and build the digital experiences that make them lasting destinations for every generation of shopper?

Survey Methodology

This online survey was commissioned by VTEX and fielded by Dynata, a global market research firm, in September 2025. The survey included 1,000 U.S. adult respondents, with demographic breaks to ensure consistency and close-to-national representation for gender, age, and region.

About VTEX

VTEX (NYSE: VTEX) is the commerce suite of choice for bold CIOs and CEOs globally, delivering transformative outcomes with unprecedented operational efficiency. By unifying a comprehensive ecosystem of solutions—including B2C, B2B, Omnichannel, and Retail Media— VTEX empowers brands and retailers to eliminate friction, foster collaboration, and accelerate growth. More than just software, VTEX is an agent of transformation, seamlessly connecting customers, partners, and developers to drive tangible business results. Trusted by 2.4 thousand global B2C and B2B customers, including Carrefour, Colgate, Sony, Stanley Black & Decker, and Whirlpool, VTEX supports 3.4 thousand active online stores across 43 countries (FY ended December 31, 2024). For more information, visit www.vtex.com.