The unique collaboration between Kohl’s and Amazon is budding by the day. Kohl’s announced on Tuesday that it will be receiving eligible Amazon.com returns at specific U.S. locations for packing and onward shipping, for free, to Amazon fulfillment centers.
Kohl’s added that customers who specifically come to their stores for Amazon returns will have access to designated parking spots close to store entrances. Kohl’s maintained that shopper convenience is a key component of the partnership.
The retail chain and Amazon announced their partnership earlier in the summer in a deal that will see 10 Kohl’s stores start selling Fire tablets, Echos and other Amazon devices.
Richard Schepp, Kohl’s chief administrative officer said that the partnership was a excellent example of the two companies leveraging on each other’s strengths in the marketplace – Amazon’s broad reach and devoted customers and Kohl’s physical presence and omnichannel capacity.
Kohl’s’ market performance on Tuesday was enhanced with its shares up 2.7 percent.
Amazon continues to utilize partnerships that provide it with the advantage of brick-and-mortar without setting up its own. The return service will initially be available at 82 Kohl’s locations with a likelihood of expansion in future.
With foot traffic on the downtrend at many retail locations, the deal will attract customers who want to make a return into the stores where they are likely to pick other items. A similar return service was launched at more than 400 Whole Foods stores after Amazon’s acquisition of the grocer.
In another deal with Amazon, Sears will be able to sell its devices through the online retailer’s platform.
Chuck Grom, an analyst at Gordon Haskett said in a note to customers that the deal was a smart way for Kohl’s to maximize on unused sections of their store to increase traffic and possibly lead to higher sales. He added that investors were impressed with Kohl’s’ out-of-the-box thinking that will enable the retailer adapt to the evolving landscape.