A Blog by Jonathan Low

 

Sep 21, 2017

Why Amazon Is Partnering With Kohls To Manage Customer Returns

Both to maximize customer ease of doing business with Amazon - and to build alliances with bricks and mortar retailers in order to head up growing frustration with Amazon's commercial dominance. JL

Samantha Gowen reports in the San Jose Mercury News:

Amazon, in its relentless pursuit to be your one-stop e-commerce shop, has concocted a package return program with Kohl’s. The online titan has made strides this year to acquire or partner with brick-and-mortar stores, expanding its grip on the retail scene. Kohl’s, a discounter has maximized partnerships with name brands to grow its customer base.
Amazon, in its relentless pursuit to be your one-stop e-commerce shop, has concocted a package return program with Kohl’s.
The retailers in October will offer a free return service at 82 Kohl’s stores on certain Amazon purchases. The return program will launch at Kohl’s stores in the Los Angeles and Chicago areas. A representative with Kohl’s said Tuesday a specific store list would be shared closer to the launch date.
“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 omnichannel capabilities combined with the power of Amazon’s reach and loyal customer base,”  Richard Schepp, chief administrative officer at Kohl’s, said in a statement.
Here’s how it works, according to a statement from Kohl’s:
  • Items can be returned free of charge regardless of return reason and regardless of whether the items are packaged for shipping.
  • Kohl’s will package and transport all returned items to Amazon return centers.
  • Customers visiting Kohl’s for Amazon returns can use designated parking spots near the store entrance.
Amazon was not specific about what kinds of items could be returned at Kohl’s. Expect them, however, to be the traditional Amazon warehouse purchases vs. items bought through third-party vendors at the website.


The online titan has made strides this year to acquire or partner with brick-and-mortar stores, expanding its grip on the retail scene. The company in June announced it would buy Whole Foods for nearly $14 billion. When the deal closed in August, it reduced prices on some essential items like milk and added its smart home devices — the Echo and Dot — to the grocery store aisles.
Amazon in August said it would open “Instant Pickup” shops at or near college campuses.
The latest brick-and-mortar partnership has been with Kohl’s, a discounter that also has maximized partnerships with name brands to grow its customer base. The retailer has cut deals with Under Armour and celebrity fashion houses including Vera Wang and LC Lauren Conrad.
Amazon and Kohl’s also are building “smart home” experience stores within some Kohl’s locations.. No specifics have been offered on which stores in the region might have the smart shops. They are expected sometime in October, Kohl’s said in early September.


Kohl’s operates 1,154 stores in 49 states.

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