Kohl’s Continues to Invest in Active
Senior management at Kohl’s reiterated the retailer’s ongoing strategy to strengthen its position in the active segment to ultimately grow the category to 30 percent of its overall business versus 20 percent currently. Floor space for ‘Active' brands and products will increase by at least 20 percent this year, following a successful larger footprint in 160 stores over the last two years. Expanded assortments and new brands, both in athleisure and outdoor, will be an integral part of the story. These will include Nike Shine in women, Under Armour ColdGear, Adidas, Champion, Columbia and Land’s End. Also, this month, Kohl’s will roll out FLX, its new athleisure private brand, for both male and female customers. In the fall, Eddie Bauer-brand products will be introduced in 500 stores and online.
“We are confident that our moves in the Active category in 2021 will further differentiate and strengthen Kohl’s positioning, and drive increased customer engagement,” CEO Michelle Gass told analysts last week.
Among other developments, Kohl’s continues to see significant growth in digital, which it hopes will represent 40 percent of all sales in 2023, and positive factors from its relationship with Amazon. Digital sales rose 22 percent in the final quarter of 2020 to account for 42 percent of the period’s net sales versus 31 percent in the prior year. Store fulfilled nearly 45 percent of digital orders, up from 35 percent in 2019. The retailer said “at least two million unique customers” shopping at Kohl’s last year were as a result of its Amazon returns program. One-third of them were Millennials.