Over the course of the past year, department store chain Kohl's (NYSE: KSS) added two million consumers due to a partnership it struck Amazon (NASDAQ: AMZN) back in 2019. Under the pair's partnership, Kohl's began accepting Amazon returns at all of its stores across the United States, with hundreds of locations also selling Amazon products.
"While details of the partnership are confidential, we will continue to see that this is accretive to both sales and profit," stated Chief Executive Officer Michelle Gass during a conference call following the company's quarterly earnings report.
Kohl's reported that a great deal of these new visitors were millennials, and that it hoped to keep these younger customers moving into the future. Kohl's announced that, ever since its partnership with Amazon, it has presumed higher growth rates as well as share buybacks. Its shares have strengthened by more than 2% following its earnings report.
Michelle Gass also added that, ever since its partnership with Amazon, elements that had been always been present simply began to "heighten," such as level of convenience for the company overall. She also wishes for "relevance" to be brought to the shoppers, as well as impeccable customer service.
In order to build more relationships with the customers, Kohl's is taking in "eligible" Amazon items without boxes or labels. Kohl's has more than two hundred of Amazon products in its stores now, and will only continue to sell its items. Some of the top products that Kohl's has decided to sell are the Fire TV and the Echo Dot.
Other data has also proven that the partnership between Kohl's and Amazon is beneficial and working out to both of their advantages. Earnest Research conducted a study that stated that Kohl's stores in Chicago outdid national sales from the prior year, according to CNBC. The statistics also have demonstrated that the level of new customers from the previous year have gone up by 9% in the area of Chicago alone.
The companies of Kohl's and Amazon have created quite a team with their ability to catch the attention of over two million customers in the year 2020. With many new commodities on the rise, this partnership has already proven to be beneficial, and will likely only continue to move forward as time goes on.