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Proven and Unique Store Concept: Targeting Middle Market Consumers with Value and Name Brands

Our store concept combines value, name brands, and convenience to cater to customers who shop at both department stores and discount stores. We focus on the middle market consumer segment, offering more value and name brand options. With a core customer base and expansion plans, our growth trajectory is strong. Leveraging effective marketing strategies, effective sales performance against national retailers, and technological advancements, we aim to stay ahead of the competition. Our focus on merchandise analysis and interactions across various areas ensure maximum productivity and customer satisfaction.

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Proven and Unique Store Concept: Targeting Middle Market Consumers with Value and Name Brands

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  1. PROVEN AND UNIQUE STORE CONCEPT Value, Name Brands and Convenience

  2. Positioned To Serve Customers Who Shop Department Stores As Well As Discount Stores • Department Stores • THE MIDDLE MARKET CONSUMER • Customers Wanting More Value • Customers Trading Up to Buy Name Brand • Discounters

  3. OUR CORE CUSTOMER

  4. Existing Stores (Opened more than 12 months) New Store Openings (Opened less than 12 months) Store Closings UNIT EXPANSION # of Stores 375-380 320 259 213 182 150 128 22 Sq. Ft. Growth 23% 20% 25% 21% 24% 26% 18-19%

  5. 2000 EXPANSION ND MN 1 NY 16 WI 1 SD MI 2 CT - 8 PA 3 NE IA NJ - 11 OH IL 3 IN DE MD - 1 CO 4 WV VA MO 2 KS KY NC 1 TN OK 3 TX 5 New Markets/States Fill-in States Existing States

  6. SIGNIFICANT EXPANSION OPPORTUNITIES ND MN NY WI SD MI CT PA IA NE NJ IN OH DE WV CO IL MD KS MO VA KY NC TN OK AK GA TX 1992 - 2000 States 2001 New States

  7. EFFECTIVE MARKETING • Newspaper inserts • Over 17.0 million fullcolor inserts weekly • Broadcast • Credit card

  8. COMP STORES SALES vs.NATIONAL RETAILERS AUGUST YTD (%) Kohl’s vs. Direct Competitors Kohl’s vs. High Growth Retailers

  9. AVERAGE COMP STORE SALES GROWTH (%) 1995 - 1999 Kohl’s vs. Direct Competitors Kohl’s vs. High Growth Retailers

  10. Leveraging Technology • E-commerce • Capitalize on Kohl’s brand awareness in the marketplace. • Integrate sales and customer service with existing store locations. • Building an infrastructure to support web site updates, fulfillment, and customer service. • Business Systems • Internally built systems that allows us to analyze sales, merchandise placement and flow of goods to stores. • Continue to build new systems that give us a technological edge on competition.

  11. Merchandise Analyst • Store Inventory Manager • Comp, Non-Comp and New Stores • Trending Stores/Markets • Maximize productivity while ensuring in-stocks • Average Analyst Manages: • $100.0 million in inventory • 3,500 Items • 300 + Stores

  12. Areas of outside interaction - Future Careers? • Merchant Team • Stores • Logistics/Distribution Centers • Vendors • Micro Markets • E-Commerce • Customer • MIO

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