Kmart is continuing its upward movement with solid branding
strategies and improved merchandise mix in apparel. Here is an
overview of the key players at Kmart:
Joe Boxer: Kmart's biggest asset remains the Joe Boxer name. We see
what looks like Joe Boxer departments emerging in the kids, juniors
and young men's areas. Signage is going up and a focused range of
SKUs including lounge and foundations is what is on deck here. We
will keep our eyes on these emerging spaces to see how distinct they
become and how much traffic they generate.
PINK: In a clever little play on a hot name, Kmart has taken the name
'Pink' (Victoria's Secret) and has substituted the K with the Kmart-
'K'. The merchandise is not at all like the Pink merch at Victoria's
Secret but maybe they are planning on maximizing this new name. Our
feeling is that they should focus on the Joe Boxer name and really
play that up versus taking on another lounge moniker.
RDoll: This is a relatively new tag on the Kmart floor. They are
offering funky knit tops and fashion forward sweaters in juniors.
Thalia: This 'celebrity' line has been scaled back in juniors but we
did see a larger section of her merch in the 7-14 girls area.
Lee Rider: This 'mom' jean brand is trying to shake its dowdy image
with updated silos and skus in the womens wear and girls area.
Disney: Disney has set up an impressive 'shop within a shop'
environment in the infant and toddlers department. The selection
includes sets and separates as well as accessories under a huge
banner. Their presence really elevates the kids department. We also
found basic embroidered polar fleece tops in juniors.
Dickies: Dickies has a huge presence here in juniors, young men's,
girls and boys. The basics are all branded and the quality-price
ratio speaks volumes to the shoppers here.
Little and Small Wonders: This house brand is doing an incredible job
in the infant, toddler and layette areas. The quality of their
merchandise, the fashion content and the variety are top notch.
Prices can run a little higher that usual on some items so we'll be
watching to see if they eventually scale back on the fashion and
focus on basics or if the forge on in the fashion area.
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