Five Below is back at it, and bigger than ever.
The discount chain that some shoppers now say is cheaper than Dollar Tree is setting the retail world buzzing with its massive expansion plans. After launching over 200 new locations in 2024, the brand is not slowing down. In fact, according to COO Ken Bull’s latest comments during a recent earnings call, Five Below is dropping 30 new stores across the U.S. in the next few months alone. That’s on top of the 55 that have already opened in 20 states just this year. The ultimate goal? A jaw-dropping 150 new store openings by the end of 2025.
Currently, the chain has more than 1,800 stores nationwide. And while it still has a long way to go to catch up to Dollar Tree’s massive footprint of over 8,700 stores, many customers are now arguing that Five Below actually offers better value.
Why Five Below is Winning Right Now:
- 30 new stores opening in summer 2025
- Targeting 150 total new stores by year-end
- Already opened 55 stores in 20 states this year
- Over 6.2% rise in transactions in Q1 2025
- Viral social buzz: fans say it’s now cheaper than Dollar Tree
- Avoiding tariff hikes with smarter sourcing
CEO Winnie Park confirmed that the first quarter of 2025 was a big win for the company, thanks to their focus on delivering fun and value-driven items. She also revealed a 6.2% jump in transactions, proving that more people are heading to Five Below and checking out with full carts.
Of course, all this growth comes at a time when global tariffs are shaking up the retail world. With President Donald Trump’s sweeping reciprocal tariffs making waves, Park made it clear that Five Below is ready to adapt. She emphasized that the company is working to “control the controllables,” with smart strategies to navigate the rising costs of imported goods.
How Tariffs Are Impacting Five Below:
| Issue | Five Below’s Response |
|---|---|
| 51% Chinese tariff rate | Reduced China sourcing by 10% for 2025 |
| Product cost increase | Paused China orders during April tariff hike |
| Price-sensitive goods | Sourcing alternatives to stay under $5-$10 |
| Fan confusion | Some joking brand might go “5 Above” |
Still, the move sparked confusion among some longtime fans. “So what exactly are they going to sell?” one person posted on X. Another joked, “Going to sell only American-made goods and call it 5 Above.” Whether those predictions pan out or not, one thing’s clear, Five Below is not going anywhere.
The chain is also making smart tweaks in stores, including updates to their checkout setup after complaints about awkward design. Oh, and shoppers are raving about a $5 dupe of Birkenstocks, nearly identical and at least $150 cheaper.
So whether it’s opening hundreds of new stores, dodging tariff drama, or serving up shockingly cheap fashion finds, Five Below is proving it knows exactly how to play the game. And if this summer’s store openings are any sign, it’s winning it.
