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Kmart Be Warned: Dollarama is Here to Steal the Disount Retail Crown

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Well, bargain hunters, the writing’s on the wall, and soon, it won’t be in red and yellow. After more than 40 years of dollar-stretching deals, The Reject Shop is officially getting a Canadian makeover. Yep, the big green and yellow of Dollarama is moving in, and by 2027 those iconic Reject Shop colours will be nothing more than a memory.

From Reject to Dollarama – How the Face of Australian Retail Will Shift

In case you missed it, Canadian retail giant Dollarama swooped in earlier this year with a juicy $259 million deal. That’s right, your neighbourhood Reject Shop has been bought out, signed, sealed, delivered.

And now? The phase-out begins.

Shelves are already being swapped, layouts are getting a slick new look, and the red-and-yellow branding is headed for the bargain bin.

Think less “cheap and cheerful” and more “discount supermarket on steroids”. Dollarama isn’t here to play small. They’re here to muscle up against Kmart, Target and Big W, and they’ve got 390 stores ready to morph into shiny green and yellow bargain heavens.

Dollarama storefront in Canada
Dollarama is ready to transform the Reject Shop and on scale! Source: Adobe Stock

What’s Actually Changing?

  • THE BRANDING: The Reject Shop logo and colours — gone. Say hello to green and yellow storefronts that scream “Dollarama.”

  • THE LAYOUTS: No more cramped aisles and random piles of stuff. Dollarama wants sleek supermarket-style shelving that makes browsing (and impulse buying) way too easy.

  • THE RANGE: More private-label products, more categories, more “you didn’t know you needed this” items. If it works in Canada, expect it here.

  • THE PRICING: While Dollarama’s famous for “nothing over $5” at home, Aussie execs are keeping it vague. But cheaper shelf prices and simplified price points are the promise.

When Will You Notice?

Don’t expect to rock up next week and see a full Canadian takeover on your next visit, this is a slow burn. Dollarama plans to have the entire rebrand wrapped up by the end of 2027. That means you’ll spot some stores flipping earlier, while others will cling onto their Reject Shop signs for a while longer.

So yes, you’ve still got time to take one last selfie with the iconic Reject Shop logo if nostalgia’s your thing.

Why Should You Care?

Because this isn’t just a paint job. This is a seismic retail shake-up. Here’s what it means for your Saturday shop:

  1. Fresher Look, Fatter Range: Forget the “meh” factor. Stores will look brighter, tidier, and packed with more variety. Love it or hate it, the Reject Shop as you knew it is gone.

  2. More Stores to Raid: Got a gap between Kmart and Coles? Dollarama wants to fill it. They’re aiming for 700 stores by 2034 (nearly double what we’ve got now). That’s bigger than Big W and closing in on Kmart territory.

  3. Price Wars Incoming: When one retail giant muscles up, others usually sharpen their pencils. Translation? Cheaper deals for you, as Kmart, Target and Big W scramble to compete.

  4. Goodbye Familiar, Hello Foreign: The Reject Shop was Aussie-born and felt, well, ours. Dollarama? Not so much. If you’re sentimental, brace for the loss of a little homegrown bargain heritage.

The Dollarama Shopper’s Survival Guide

Here’s how to keep your cool while your favourite discount chain goes under the knife:

  • Don’t panic if your local looks “different.” The aisles aren’t shrinking, the bargains aren’t vanishing — they’re just wearing new clothes.
  • Spot the Dollarama imports. Private-label Canadian goodies will sneak in — could be awesome, could be odd. Keep your eyes peeled.
  • Take advantage of the rivalry. More players fighting for your dollar = better deals in your trolley.
  • Soak up the nostalgia. Snap that last Reject Shop photo before the glow-up is complete.

The Bigger Picture

Dollarama isn’t just rebranding, they’re rewriting the rules. Think about it: a chain that was once the cheap-and-cheerful afterthought in your local shopping centre is now being groomed to rival Australia’s discount heavyweights.

Love it or hate it, this is big. For families juggling the cost-of-living crunch, more competition can only be a good thing. For bargain purists who still call it “the Reggie Shop”? Well, better start practising “Dollarama.”


Final Word

So, shoppers, consider this your warning label: The Reject Shop you grew up with is on borrowed time. By 2027, those red and yellow walls will be a memory, replaced by a bold new green-and-yellow empire.

Nostalgic sighs aside, there’s a silver lining: more stores, fresher layouts, and (fingers crossed) cheaper deals. The name might change, but the bargain-hunting spirit lives on, just under a new Canadian accent.

Bottom line? Get ready to say “see ya” to The Reject Shop and “What’s Up?” to Dollarama. Your wallet may just thank you.

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Belinda's a passionate advocate for community and connection. As the founder of the Mum Central Network she’s committed to celebrating the journey that is Australian parenthood. Mum to two cheeky boys, and wife to her superstar husband, they live a busy but crazy lifestyle in Adelaide. Great conversation, close friends and good chocolate are her chosen weapons for daily survival. Oh, and bubbles. Champagne is key.

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