Report: Sears Testing Kmart Store-In-Store Concept

According to a recent report on CNBC, as Sears Holdings continues to look for ways to boost sales, the company is testing new store concepts, including a mini-Kmart inside a Sears store in Brooklyn, NY.

A 10,000-square foot Kmart convenience shop opened inside the larger Sears store. The small Kmart sells everyday items including groceries, health and beauty supplies, cleaning supplies and pet gear, according to the report.

Sears will also soon roll out a test mini-Sears location, as an appliance shop selling higher-end merchandise, inside some Kmarts, a company spokesman told CNBC. The move follows several other new format initiatives from the department store retailer, such as small format stores that sell only mattresses and appliances.

New York was chosen as the site of the store-within-a-store test because Sears has, “some of the best stores there,” the company spokesman told CNBC in the report. “Our focus is continuing to focus on our best stores.”