The Truth About What Customers Want

Chapter 42. Dollar stores make good cents

About 14 percent of Americans live below the poverty line, and most marketers largely ignore this segment. Still, although poor people obviously have less to spend than do rich ones, they have the same basic needs as everyone else. Low-income families purchase staples, such as milk, orange juice, and tea, at the same rates as average-income families. Minimum wage–level households spend more than average on out-of-pocket health-care costs, rent, and food they eat at home. Unfortunately, they find it harder to obtain these resources because many businesses are reluctant to locate in lower-income areas. On average, residents of poor neighborhoods must travel more than 2 miles to have the same access to supermarkets, ...