Kohl's to handle Amazon returns in selected stores

19 Septembre, 2017, 19:20 | Author: Marc Bacque
  • Kohl's to handle Amazon returns in selected stores

Kohl's Corp. said Tuesday it will pack and ship eligible Amazon return items for free at the 82 stores offering the service.

"This is a great example of how Kohl's and Amazon are leveraging each other's strengths - the power of Kohl's store portfolio and omni-channel capabilities combined with the power of Amazon's reach and loyal customer base", said Richard Schepp, chief administrative officer of Kohl's.

Amazon customers can return eligible Amazon return merchandise to select local Kohl's stores under the Amazon Returns at Kohl's. These 10 stores will be among those included in the returns program.

The announcement did not spell out how refunds would be handled, but it makes sense (to us, at least) that refunds would be made in accordance with Amazon's refund policy at the time the item is left with Kohl's to be returned.

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For Kohl's, Jefferies analysyt Randal Konik thinks the move is "another smart way to deal with the elephant in the room". Retailers are trying to give customers new reasons to come to their stores beyond just shopping; that's why Toys R Us, which just filed for bankruptcy, plans to add more play areas to its stores. Kohl's now has to convert that traffic into sales. In a note to clients, Gordon Haskett analyst Chuck Grom wrote that the Kohl's-Amazon returns program is clearly part of the department store retailer's "standard to small" store initiative.

"Indeed, Kohl's has historically seen a roughly 25-30% uptick in baskets from BOPUS transactions, so it's plausible that the company will see some benefit", he said.

The decision goes after the primary friction in e-commerce: Buying items online is easy, but returning them is a hassle.

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