We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • ::COVID-19 COVERAGE::
  • INDUSTRY PRESS ROOM
  • SUBMISSIONS
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
Home » Kohl's fights back—with its stores
Forward Thinking

Kohl's fights back—with its stores

February 28, 2018
David Maloney
No Comments

Retailer Kohl's Corp. aims to stay relevant with the assets that have gotten it to this point: Its 1,100 stores.

"Kohl's has chosen to fight back with our stores," Sona Chawla, chief operating officer of the Menomonee, Wis.-based retailer, said Monday at the keynote session of the RILA 2018 Retail Supply Chain Conference in Phoenix. "We have a strong belief that physical stores matter."

Chawla outlined how Kohl's intends to maintain its store traffic while seeing online sales continuing to climb. A key to the strategy is operational efficiency in the company's supply chain. "Efficiency will be the differentiator that you will see in the retail industry," she said.

New automation in its e-commerce DC operations now allows Kohl's to be two to three times more efficient than the previous facilities, Chawla said. Kohl's is leveraging its stores for direct-to-customer distribution as they now operate as mini-fulfillment centers to handle online orders.

Kohl's stores currently perform 32 percent of its online fulfillment, according to Chawla. On "Cyber Monday," the stores collectively did three times the fulfillment volume of its traditional e-commerce channels, she said.

A key factor for the strategy is that stores shorten the distance to customers, Chawla said. Delivery from stores is 25 percent faster than filling an e-commerce order from a distribution center, she said.

Kohl's has increased its store traffic by encouraging in-store pickups, where customers order online but come into the stores to pick up their merchandise. Chawla says that 90 percent of online customers also shop in Kohl's stores. Incentives, such as the Kohl's Cash discount loyalty programs, also help to keep customers coming back.

Another strategy has been to break down silos between its operational teams, Chawla said. Managers now work together to make adjustments and tradeoffs, rather than just ensuring their own areas are optimized at the expense of others, she said.

Strategy
  • Related Articles

    High-flying bird: interview with Keller Rinaudo

    Right on Target

    It’s time to get real

David maloney headshot
David Maloney is group editorial director of CSCMP's Supply Chain Quarterly.

Recent Articles by David Maloney

Anonymous in autonomous

Right on Target

It’s time to get real

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • Is it time to blow up S&OP?

  • How to build a supplier diversity program that will drive long-term impact

  • Logistics pros warn of business impact from Russia-Ukraine war

  • Supply chain’s miracle workers

  • Container prices continue to drop

Featured Video

Cccb7d13 710a 4473 8132 da8b6cc286f1

The Sportsman's Guide Case study: Increasing Accuracy & Productivity

Viewer Contributed
Thanks to the Lucas Warehouse Optimization Suite, The Sportsman's Guide has increased productivity, reduced training time, and experienced a boost in accuracy for both full-time staff and seasonal employees. Want to learn how Lucas can help your DC be more efficient, accurate, and safe while reducing labor costs?...

FEATURED WHITE PAPERS

  • Omnitracs One – Last Mile Solutions

  • The enterprise shipper's guide to building a smarter truckload RFP

  • Fixed vs. Flexible Automation: Which Option is Better for 3PLs?

  • Enhancing Relationships in Logistics through Data & Collaboration

View More

Subscribe to Supply Chain Quarterly

Get Your Subscription
  • SUBSCRIBE
  • E-NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2022. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing