Kohl’s is moving forward with year two of its “Greatness Agenda” that is focused on a five-pronged approach that includes products, enhancing the shopping experience and developing “winning” teams of store associates.
According to company officials, the multi-year plan has set the goals of increasing sales to $21 billion by the end of 2017, be in the 90th percentile for associate engagement and best-in-class for customer engagement.
“Since announcing this strategy one year ago, we’ve changed the trajectory of our performance trend line from negative to positive,” said Kevin Mansell, Kohl’s chairman, CEO and president. “With one year of key wins and further customer insights under our belts, we are on course to meet our three-year goals and become the most engaging retailer in America.”
In the first year of the Greatness Agenda, Kohl’s officials said the retailer saw immediate success in its newly launched Yes2You Rewards loyalty program, which now has more than 33 million members, the rollout of an expanded and elevated beauty department, introduction of personalized marketing efforts, launch of a mobile app, double digit year-to-date growth and significant market share gain in the active and wellness business, and the launch of several key national brands, including FitBit, Madden Girl, Columbia, Samsung and Bliss.
To reach those strategic growth goals, officials with the retailer said the Greatness Agenda is supported by five pillars: amazing product, incredible savings, easy experience, personalized connections and winning teams.
Developing localized store assortments was also noted by Mansell. “Our goal now is to create unique assortments by individual store and complete the process across our entire merchandise offering by the middle of next year,” he said.
New diversified store formats are also being tested. “We have created a smaller, more nimble 35,000 square foot Kohl’s prototype and will open five to ten of these Kohl’s stores in underserved markets next year,” Mansell said. “After seeing the potential from our first Off-Aisle by Kohl’s pilot store opened last year, we will open two more Off-Aisle by Kohl’s locations in 2016. All three of these new formats create new revenue streams and growth for Kohl’s.”