Dollar General and Western Union announced Tuesday (April 2) that customers can complete Western Union money transfers at more than 15,400 locations in the 44 states with Dollar General store locations.
In a press release, the companies said the alliance enables customers to initiate international and domestic money transfers digitally through the Western Union mobile app or website and then pay in person at Dollar General stores. Consumers can receive money transfers in the Dollar General stores.
“Dollar General is excited to work with Western Union to help provide value and convenience when customers send or receive money transfers,” Jason Reiser, Dollar General’s executive vice president and chief merchandising officer, said in the press release. “With approximately 75 percent of the American population within a five-mile radius of a Dollar General, we are uniquely positioned to provide customers with a convenient location to complete their money transfer transactions.”
Western Union said the deal with Dollar General extends its reach in the U.S., adding to the more than 40,000 agent locations by an additional 30 percent. It's in line with Western Union’s strategy of maintaining a robust network of agents that are accessible and digitally connected. “This strategic alliance brings multiple benefits for customers. We are pleased to offer multi-point access to money transfers and include convenient channels using a hybrid of digital and retail for our customers,” said Carter Hunt, senior vice president and general manager of Western Union, North America in the same press release. “We are also excited that through Dollar General, we are growing our network to better serve even more local communities across the U.S.”
The announcement comes a few weeks after Western Union's stock took a hit over fourth-quarter revenue that missed Wall Street's projections. The company reported earnings of $212 million or $.48 per share in the quarter, versus a loss of $1.1 billion or $2.44 per share in the year-ago period. Adjusted for one-time items, Western Union earned $.49 per share, up from $.41 at this time last year. That $.49 was exactly what analysts had predicted pre-release. Revenue fell 3 percent to $1.4 billion, the company said, below the $1.44 billion a year ago that analysts had been anticipating.