Kohl's Corporation (KSS): Lienzo del Modelo de Negocio [Actualización de Ene-2025]

En el mundo dinámico de la venta minorista, Kohl's Corporation se erige como un estudio de caso convincente de la adaptación estratégica y la innovación centrada en el cliente. Al aprovechar un modelo de negocio sofisticado que combina perfectamente el comercio minorista tradicional de ladrillo y mortero con estrategias digitales de vanguardia, Kohl's se ha posicionado como un jugador formidable en el mercado minorista de nivel medio. Desde su asociación estratégica de Amazon hasta su sólido enfoque omnicanal, la compañía demuestra cómo un modelo de negocio bien elaborado puede transformar los desafíos en oportunidades, creando valor tanto para los accionistas como para los clientes en un panorama minorista cada vez más competitivo.

Kohl's Corporation (KSS) - Modelo de negocios: asociaciones clave

Alianza estratégica con Amazon

En 2019, Kohl estableció una asociación estratégica con Amazon para aceptar los retornos de Amazon en 800 tiendas en 17 estados. A partir de 2023, esta asociación se expandió a 1.150 ubicaciones de tiendas de Kohl. La colaboración permite a los clientes devolver las compras de Amazon sin empaquetar en las tiendas de Kohl.

Detalle de la asociación	Métrica
Tiendas que aceptan devoluciones de Amazon	1.150 ubicaciones
Asociación iniciada	2019
Estados cubiertos	17 estados

Asociaciones de proveedores

Kohl's mantiene las relaciones estratégicas de los proveedores con múltiples marcas de ropa nacionales y de etiqueta privada.

• Nike
• Adidas
• Bajo armadura
• Levi's
• Ropa deportiva de Columbia

Asociación con tarjeta de crédito

Kohl's tiene una asociación exclusiva de tarjeta de crédito con Capital One. A partir de 2023, el programa de tarjeta de crédito de Kohl generó aproximadamente $ 1.2 mil millones en ventas de crédito de etiqueta privada.

Detalle de la asociación de la tarjeta de crédito	Valor
Socio de tarjeta de crédito	Capital uno
Ventas de crédito de etiqueta privada (2023)	$ 1.2 mil millones

Colaboraciones de marca

Kohl persigue activamente las colaboraciones de marca para mejorar las ofertas de productos y la participación del cliente.

• Asociación de mercancías de Disney
• Línea de ropa final de Lands
• Integración de productos Eddie Bauer

Kohl's Corporation (KSS) - Modelo de negocios: actividades clave

Gestión de mercancías minoristas y distribución de inventario

Kohl's opera 1.186 tiendas minoristas en 48 estados a partir de enero de 2024. La compañía administra un inventario extenso en múltiples categorías de productos.

Categoría de productos	Porcentaje de inventario
Ropa de mujer	32%
Ropa para hombres	22%
Ropa para niños	18%
Accesorios	15%
Artículos para el hogar	13%

Operaciones minoristas omnicanal

Kohl's integra canales de ventas físicas y digitales con las siguientes métricas:

• Las ventas en línea representaron el 35% de los ingresos totales en 2023
• Procesos de plataforma digital aproximadamente 250,000 pedidos en línea diariamente
• Las descargas de aplicaciones móviles superan los 35 millones de usuarios

Optimización de la experiencia del cliente y mejora de la plataforma digital

La inversión digital se centra en las mejoras tecnológicas:

Área de inversión digital	Gasto anual
Plataforma de comercio electrónico	$ 75 millones
Tecnología móvil	$ 45 millones
Análisis de datos del cliente	$ 30 millones

Desarrollo de la campaña de marketing y promoción

La estrategia de marketing incluye:

• Presupuesto anual de marketing de $ 350 millones
• Programa de lealtad con 65 millones de miembros activos
• Marketing digital personalizado que alcanza el 40% de la base de clientes

Inversión total de actividades clave: $ 500 millones anuales

Kohl's Corporation (KSS) - Modelo de negocio: recursos clave

Extensa red de tiendas minoristas

A partir de enero de 2024, Kohl's opera 1,116 tiendas minoristas en 47 estados en los Estados Unidos. Total de pies cuadrados minoristas: 88.1 millones de pies cuadrados.

Métrica de almacenamiento	Cantidad
Total de las tiendas	1,116
Estados cubiertos	47
Total de metros cuadrados de cuadras minoristas	88.1 millones de pies cuadrados

Infraestructura de tecnología digital

Capacidades de comercio electrónico: Las ventas digitales representan el 27% de los ingresos totales de la compañía en 2023.

• Plataforma omnicanal integrada
• Aplicación móvil con 17.5 millones de usuarios activos
• Sistema de seguimiento de inventario en tiempo real

Reconocimiento de marca

Posicionamiento del mercado: segmento minorista de nivel medio con $ 19.9 mil millones en ingresos anuales para el año fiscal 2023.

Inventario de productos

Categoría de productos	Porcentaje de inventario
Vestir	42%
Accesorios	22%
Artículos para el hogar	21%
Calzado	15%

Recursos financieros

Activos totales a partir de enero de 2024: $ 11.4 mil millones. Efectivo y equivalentes en efectivo: $ 374 millones.

Recursos humanos

Total de empleados: aproximadamente 90,000 a partir de enero de 2024.

Kohl's Corporation (KSS) - Modelo de negocio: propuestas de valor

Ropa asequible y moderna y artículos para el hogar

A partir del cuarto trimestre de 2023, Kohl ofreció ropa y artículos para el hogar con un rango de precio promedio de $ 15- $ 75 por ropa y $ 20- $ 200 para artículos en casa. La mezcla de mercancías de la compañía incluyó:

Categoría	Porcentaje de ventas	Ingresos anuales (2023)
Ropa de mujer	32%	$ 2.16 mil millones
Ropa para hombres	22%	$ 1.48 mil millones
Ropa para niños	18%	$ 1.21 mil millones
Artículos para el hogar	28%	$ 1.89 mil millones

Experiencia de compra conveniente

Las plataformas de compras multicanal de Kohl incluyen:

• Tiendas físicas: 1.186 ubicaciones a partir de enero de 2024
• Plataforma de comercio electrónico: kohls.com
• Aplicación móvil con 25 millones de usuarios activos
• Servicio de devolución de Amazon en 1.150 tiendas

Precios competitivos y estrategias promocionales

Detalles promocionales para 2023:

Tipo de descuento	Frecuencia	Descuento promedio
El efectivo de Kohl	10 veces al año	20-30% de descuento
Ventas estacionales	4 eventos importantes anualmente	40-60% de descuento
Descuentos del programa de fidelización	Continuo	5-15% de descuento

Diversa demografía de clientes

Desglose del segmento de clientes para 2023:

• Grupo de edad primaria: 25-54 años (65% de la base de clientes)
• Ingresos familiares promedio: $ 75,000
• Distribución de género: 68% mujeres, 32% hombres
• Miembros del programa de lealtad: 31 millones de miembros activos

Kohl's Corporation (KSS) - Modelo de negocios: relaciones con los clientes

Programa de fidelización con recompensas y descuentos personalizados

El programa de recompensas de Kohl a partir de 2024 incluye:

Característica del programa	Detalles
Base de membresía	29.7 millones de miembros activos de recompensas de Kohl
Estructura de recompensa	5% de reembolso en cada compra
Ingresos anuales del programa de fidelización	$ 1.2 mil millones en ventas impulsadas por la lealtad

Participación digital a través de aplicaciones móviles y plataformas en línea

Métricas de participación digital para Kohl's en 2024:

• Descargas de aplicaciones móviles: 12.5 millones de usuarios activos
• Ventas en línea: ingresos anuales de $ 3.8 mil millones
• Tasa de transacción móvil: 47% de las compras digitales

Soporte de servicio al cliente en múltiples canales de comunicación

Canal de soporte	Disponibilidad
Soporte telefónico	Servicio al cliente 24/7
Chat en vivo	Tasa de respuesta del 85% en 2 minutos
Soporte por correo electrónico	Tiempo de respuesta promedio: 4 horas

Marketing personalizado y ofertas promocionales específicas

Estadísticas de personalización de marketing:

• Campañas de correo electrónico personalizadas: tasa de apertura 22% más alta
• Anuncios digitales dirigidos: gasto anual de $ 145 millones
• Tasa de conversión de ofertas personalizadas: 6.4%

Kohl's Corporation (KSS) - Modelo de negocios: canales

Tiendas minoristas físicas en todo el país

A partir de 2023, Kohl's opera 1.186 tiendas minoristas en 49 estados de EE. UU. Total de pies cuadrados minoristas: 92.1 millones de pies cuadrados.

Métrica de almacenamiento	2023 datos
Recuento total de tiendas	1.186 tiendas
Estados cubiertos	49 estados
Total de metros cuadrados de cuadras minoristas	92.1 millones de pies cuadrados

Sitio web de comercio electrónico y aplicación móvil

Kohls.com generó $ 4.3 mil millones en ventas digitales en 2022, lo que representa el 35% de los ingresos totales de la compañía.

• Descargas de aplicaciones móviles: 22.4 millones de usuarios activos
• Tasa de crecimiento de las ventas digitales: 15.2% año tras año
• Valor promedio de transacción en línea: $ 87.50

Mercados de terceros en línea

Kohl's se vende a través de Amazon, Instacart y otras plataformas digitales, generando aproximadamente $ 620 millones en ingresos del mercado en 2022.

Mercado	Contribución de ingresos
Amazon Partnership	$ 450 millones
Instacart	$ 120 millones
Otras plataformas	$ 50 millones

Plataformas de marketing en redes sociales

Kohl's mantiene la presencia activa de las redes sociales con 4.2 millones de seguidores de Instagram y 2.8 millones de seguidores de Facebook.

• Seguidores de Instagram: 4.2 millones
• Seguidores de Facebook: 2.8 millones
• Gasto publicitario de redes sociales: $ 38.5 millones en 2022
• Tasa de conversión de las redes sociales: 2.7%

Kohl's Corporation (KSS) - Modelo de negocios: segmentos de clientes

Familias de clase media

El objetivo de Kohl se dirige a las familias de clase media con ingresos anuales de los hogares entre $ 50,000 y $ 100,000. A partir de 2023, este segmento representa aproximadamente el 47% de la base de clientes de Kohl.

Desglose demográfico	Porcentaje
Hogares casados	62%
Hogares con niños	55%
Rango de edad	30-55 años

Compradores conscientes del presupuesto

Los consumidores conscientes del presupuesto comprenden el 35% de los segmentos de clientes de Kohl, con un valor de transacción promedio de $ 72.

• Buscar descuentos frecuentes
• Utilice las recompensas en efectivo de Kohl
• Gasto anual promedio: $ 864

Adultos jóvenes y millennials

Los millennials y la generación Z representan el 28% de la base de clientes de Kohl, con una edad promedio de 29-39 años.

Características de segmento	Puntos de datos
Compromiso digital	78% de compra en línea
Usuarios de aplicaciones móviles	1.2 millones de usuarios activos
Compra en línea promedio	$95

Consumidores orientados al valor

Los compradores orientados al valor representan el 40% de los segmentos de clientes de Kohl, priorizando la moda y la calidad asequibles.

• Gasto promedio anual de hogares en ropa: $ 1,200
• Índice de sensibilidad al precio: 0.65
• Prefiere marcas con estrategias promocionales consistentes

Kohl's Corporation (KSS) - Modelo de negocio: Estructura de costos

Gastos operativos de la tienda minorista

A partir del año fiscal 2023, los gastos operativos totales de Kohl fueron de $ 5.7 mil millones. Desglose de los costos operativos clave:

Categoría de gastos	Cantidad (en millones)
Costos de ocupación de la tienda	$1,245
Salarios y beneficios de los empleados	$1,680
Servicios públicos y mantenimiento	$412
Servicio de seguridad y operaciones	$276

Adquisición y gestión de inventario

Costos y estrategias de gestión de inventario de Kohl:

• Valor de inventario total a partir de enero de 2024: $ 4.1 mil millones
• Gastos de adquisición de inventario: $ 2.3 mil millones anuales
• Cadena de suministro y gastos de logística: $ 387 millones

Tecnología digital y mantenimiento de infraestructura

Categoría de inversión tecnológica	Gasto anual (en millones)
Desarrollo de la plataforma de comercio electrónico	$145
TI Mantenimiento de infraestructura	$98
Ciberseguridad	$62
Experiencia digital del cliente	$73

Gastos de marketing y publicidad

Desglose de costos de marketing para el año fiscal 2023:

• Gastos totales de marketing: $ 412 millones
• Presupuesto de publicidad digital: $ 187 millones
• Publicidad de medios tradicional: $ 156 millones
• Costos del programa promocional y de fidelización: $ 69 millones

Kohl's Corporation (KSS) - Modelo de negocios: flujos de ingresos

Ventas de ropa y ropa

Ingresos totales de Kohl para el año fiscal 2023: $ 19.0 mil millones

Categoría de ropa	Contribución de ingresos
Ropa de mujer	35.4% de las ventas de ropa total
Ropa para hombres	22.7% de las ventas de ropa total
Ropa para niños	18.9% de las ventas de ropa total

Artículos para el hogar y accesorios

Segmento de ingresos de mercancías en el hogar: $ 4.6 mil millones en año fiscal 2023

• Ventas de decoración del hogar
• Accesorios para la cocina y comedor
• Productos de ropa de cama y baño
• Muebles y textiles para el hogar

Líneas de productos de etiqueta privada

Marca	Ingresos anuales
Sonoma bienes de por vida	$ 1.2 mil millones
Apto. 9	$ 890 millones
Simplemente Vera Vera Wang	$ 650 millones

Ingresos por tarjeta de crédito y servicios financieros

Programa de tarjeta de crédito de Kohl Ingresos anuales: $ 752 millones

• Cuentas de tarjetas de crédito totales: 28.5 millones
• Tasa de penetración de la tarjeta de crédito: 45.3%
• Valor de transacción promedio a través de la tarjeta de crédito de Kohl: $ 127

Kohl's Corporation (KSS) - Canvas Business Model: Value Propositions

Convenience and Value: Moderately priced national and private-label brands for families.

Kohl's Corporation emphasizes offering quality products at a lower opening price point, which resonates with core loyal customers. The performance of proprietary brands supports this value focus.

Metric	Period/Date	Value
Net Sales (Nine Months Ended November 1)	FY2025	$9,803 million
Net Sales (Three Months Ended November 1)	Q3 FY2025	$3,407 million
Private Label Comps	Q2 2025	Down 3%
Overall Comparable Sales Decline	Q2 2025	4.2% decline

Proprietary brand comparable sales improved 500 basis points sequentially in the second quarter of 2025 over the first quarter of 2025. Customers who buy proprietary brands spend more of their wallet with Kohl's Corporation. National brands are being made more eligible for coupons to provide clarity of offer.

Beauty Destination: Sephora at Kohl's, offering prestige beauty products in-store.

The full chain rollout of Sephora at Kohl's was completed in Spring 2025, putting Kohl's Corporation on track to deliver a $2 billion beauty business. The impulse category, which includes some beauty-adjacent items, delivered 30% sales growth in the second quarter of 2025.

Loyalty and Rewards: Kohl's Rewards program and Kohl's Cash promotions.

Kohl's Rewards is a free customer loyalty program. Members earn rewards constantly, which is a key differentiator from promotional-only offers.

• Earn 5% Kohl's Rewards on every purchase, every day ($5 for every $100 spent).
• Kohl's Card holders earn 7.5% Kohl's Rewards on every purchase made with the card.
• Kohl's Rewards balance converts to $5 Kohl's Cash increments on the 1st of the following month.
• Issued Kohl's Cash is valid for 30 days.
• Members receive a special birthday gift, typically a $10 bonus.

Kohl's Cash earned through the Kohl's Rewards membership cannot be used on Sephora at Kohl's merchandise.

Curated Assortment: Balanced mix of apparel, home, and beauty in one location.

Digital sales represented 28% of net sales in the third quarter of 2025. The home category saw significant growth, with seasonal and everyday decor sales increasing over 50% year-over-year in the third quarter of 2025. Kohl's Corporation operated approximately 1,150 stores across 49 states as of early 2025.

The Sephora shops will be in over 1,050 stores for the holiday season, which is 15% more than the previous year. The company is also expanding impulse queue lines, with over 300 additional stores receiving them in the second quarter of 2025.

Kohl's Corporation (KSS) - Canvas Business Model: Customer Relationships

You're looking at how Kohl's Corporation keeps customers engaged and spending, which is critical given the current environment where the middle-income customer is stretched. The relationship strategy is clearly multi-faceted, blending digital personalization with in-store experience enhancements.

Loyalty Program: Automated and personalized offers via the Kohl's Rewards program.

The Kohl's Rewards program remains a central pillar, designed to drive retention and increase the share of wallet. As of early 2025, Kohl's Corporation was serving over 60 million customers, with 30 million of those being Kohl's Loyalty Members. This large base is incentivized through a simplified structure that replaced the older points system.

The core earning structure is designed to be immediately rewarding:

• Members earn 5% back on every purchase.
• Kohl's Cardholders elevate this to 7.5% back on every purchase.
• Rewards are converted and issued as Kohl's Cash in $5 increments, which are valid for 30 days.
• Members also receive personalized deals and a special birthday gift.

The company has been actively refining this to reestablish value leadership; for instance, they began scaling back exclusions on coupons and promotions like Kohl's Cash starting in spring 2025. The data shows that since the enhancements, Rewards members spent more than non-members.

Self-Service: Extensive use of the Kohl's App for digital coupons and payments.

Digital engagement is strong, providing the automation layer for personalized offers. In the second quarter of fiscal 2025, Kohl's Corporation reported having 20 million users of the Kohl's app. This mobile platform is key to delivering the personalized offers mentioned above, as mobile shopping and the app are primary drivers of digital traffic.

The digital channel's contribution to the top line is significant, with digital sales penetration holding steady at 28% of net sales in the third quarter of 2025. This digital strength, alongside proprietary brands, was noted as a key driver of improved operating performance toward the end of Q2 2025.

Assisted Sales: In-store associates, especially in the specialized Sephora areas.

The partnership with Sephora is a major driver of assisted sales and new customer acquisition, with Kohl's Corporation on track to achieve its goal of a $2 billion beauty business by 2025. This dedicated beauty destination requires specialized associate interaction.

The performance metrics around this relationship are telling:

Metric	Value/Status (as of late 2025)
Sephora at Kohl's Net Sales Growth (Q2 2025)	3% increase
Sephora at Kohl's Comparable Sales (Q2 2025)	Flat
Projected Accessories (incl. Sephora) Net Sales Growth (Q3 2025)	5.4% year-over-year
Cross-Shopping Rate (Customers buying Sephora + another category)	Roughly half

Furthermore, the company is investing in physical infrastructure to support high-volume transactions and service, committing to implementing 613 additional Impulse queuing lines across the store fleet, with over 300 already implemented in Q2 2025.

Transactional: High-volume, coupon-driven sales model.

The overall transactional environment in late 2025 reflects pressure on the core customer, necessitating a value-focused approach. For the third quarter of 2025, net sales declined 2.8% year-over-year, and comparable store sales fell 1.7%. Revenue for Q3 2025 was $3.58 billion, representing a 3.6% year-on-year decline.

The strategy to counteract this involves leaning into promotions, as the CFO stated that being more promotional with reduced coupon exclusions is important, especially because the middle-income customer is 'pretty stretched.' This is evidenced by the focus on making more brands coupon-eligible in 2025 to drive transaction volume.

• Q3 2025 Net Sales: $3,507 million (vs. $3,507 million in prior year period ended Nov 1, 2024, based on 10-Q filing data).
• Q3 2025 Comparable Sales Change: -1.7%.
• Inventory Levels: Decreased 5% year-over-year as of Q3 2025, contributing to margin improvement.

Finance: draft 13-week cash view by Friday.

Kohl's Corporation (KSS) - Canvas Business Model: Channels

The physical store footprint remains a core channel for Kohl's Corporation, despite ongoing optimization efforts. As of early 2025, Kohl's operated approximately 1,150 stores across 49 US states. This network is actively being refined, with announcements made to close 27 underperforming stores by April 2025, leaving over 1,120 locations operational. The company believes in the health and strength of its remaining, profitable store base.

The integration of physical and digital touchpoints is central to the current strategy, as shown by the performance across various access points.

Channel Component	Metric/Data Point	Value/Amount	Period/Context
Physical Stores	Approximate Store Count (Pre-Closure)	1,150	Early 2025
Physical Stores	Number of States with Stores	49	As of 2025
E-commerce Platform	Digital Sales as % of Net Sales	28%	Q3 2025
E-commerce Platform	Q3 2025 Net Sales	About $3.41 billion	Three Months Ended November 1, 2025
E-commerce Platform	E-commerce Sales YoY Growth	2.4%	Q3 2025
Mobile Application	Kohl's App Users	20 million	Q2 2025
BOPIS Availability	Store Coverage for Self-Pickup	All 1,100 U.S. shops	As of 2024/2025 reporting

The E-commerce Platform, Kohls.com, serves as a critical revenue driver, especially as the company manages a challenging macro environment. Digital sales represented 28% of net sales in the third quarter of 2025. For that same quarter, net sales reached about $3.41 billion, with e-commerce sales growing 2.4% year-over-year, mitigating a decline in total revenue. The company projects its e-commerce sales to decline 17.7% year-over-year for the full 2025 fiscal year, though specific monthly performance showed strength, with October e-commerce sales up 2% year-over-year.

The Mobile Application is a key tool for customer engagement and loyalty program integration. As of the second quarter of 2025, Kohl's management reported 20 million users on the Kohl's App. This platform is used to track rewards and facilitates the use of proprietary payment methods like Kohl's Pay, which acts as a mobile analog to the Kohl's Charge card.

Buy Online, Pick-up In Store (BOPIS) leverages the extensive physical network for rapid fulfillment. Kohl's provides BOPIS Self-Pickup services across its entire U.S. store base, covering all 1,100 shops. This service is designed to offer speed, with the self-pickup procedure starting generally within two hours of the customer receiving an availability confirmation email.

• The company is focused on creating an elevated, more consistent experience across digital platforms and its store fleet.
• The mobile app centers on the customer loyalty program, allowing shoppers to track rewards.
• The physical stores are also being updated in layout as part of the omnichannel experience improvement.
• The San Bernardino E-commerce Fulfillment Center, one of 15 in the network, was scheduled to close in May 2025, reflecting a shift to fulfilling orders from store locations.

Kohl's Corporation (KSS) - Canvas Business Model: Customer Segments

You're looking at the core groups Kohl's Corporation is trying to serve right now, based on their latest operational data.

Middle-Income Families: Core demographic seeking value and convenience for everyday needs.

This segment represents the foundation of the Kohl's Corporation base, anchored by proximity and a history of value. As of 2025, Kohl's Corporation serves over 52.77 million customers across the United States. Around 80% of these customers live within a 15 mile range of one of the company's 1,153 stores. Demographically, 70% of Kohl's Corporation customers are female, with the majority of these women falling between the ages of 35 to 54. Over half of the entire customer base consists of Gen X and Baby Boomers. The company's fiscal year 2025 guidance anticipates net sales decreasing between 5% to 7%, showing the ongoing pressure on this core spending base.

Kohl's Cardholders: High-engagement, high-value customers driven by loyalty incentives.

Kohl's Cardholders are the most engaged tier, receiving superior rewards stacking capabilities. Kohl's Corporation has 30 million Kohl's Loyalty Members out of over 60 million total customers. Cardholders receive an elevated rate of 7.5% back in Kohl's Rewards on every purchase, compared to the standard 5% for non-cardholders. During promotional events like the Customer Appreciation Sale, cardholders can access the highest discount tier, such as 30% off with code KOHLS30. The credit business, which feeds into this segment, reported $890 million in other revenue in fiscal 2023, with targets set for a rebound toward those levels by 2025 through the co-brand card rollout. The company declared a quarterly cash dividend of $0.125 per share in August 2025.

Younger, Beauty-Focused Shoppers: New segment attracted by the Sephora partnership.

This segment is being actively courted through the shop-in-shop strategy. Kohl's Corporation projects the Sephora at Kohl's business will achieve $2 billion in annual sales by 2025. In the second quarter of fiscal 2025, this experience delivered a 3% increase in net sales and was flat on a comparable-sales basis. Since the partnership began in August 2021, Kohl's Corporation has acquired more than one million new customers, many of whom are younger and more diverse. The success is evident in the 2024 figures, where Sephora sales increased over 25%, driving the Accessories segment (which includes Sephora) to an approximate 9% increase in 2024, with Sephora sales exceeding $1.8 billion that year. A key metric showing cross-category appeal is that roughly 50% of customers shopping Sephora at Kohl's attach at least one other category purchase.

Value-Conscious Shoppers: Customers motivated by Kohl's Cash and promotional events.

This group is highly responsive to the value-driving mechanics Kohl's Corporation employs, such as Kohl's Cash. During major promotional periods, value-conscious shoppers can earn rewards like $10 in Kohl's Cash for every $50 spent. Standard Kohl's Rewards members earn 5% of the purchase amount back as Kohl's Cash. The company's Q2 2025 results showed Selling, General, and Administrative (SG&A) expenses decreased by 4.1% to $1.2 billion, reflecting cost discipline that supports value pricing. The company plans capital expenditures of approximately $400 million for fiscal year 2025, prioritizing initiatives like the completion of the Sephora rollout and expansion of impulse queuing lines to drive traffic.

Customer Segment Driver	Metric	Value/Amount	Context/Year
Core Customer Base Size	Total Customers	52.77 million	As of 2025
Sephora Attraction	Projected Sephora Annual Sales	$2 billion	By 2025
Cardholder Loyalty Rate	Kohl's Rewards Earning Rate (Cardholder)	7.5%	On every purchase
Promotional Earning	Kohl's Cash Earning Rate (Promotional)	$10 for every $50 spent	During certain events
New Customer Acquisition	New Customers from Sephora Partnership	More than one million	Since August 2021
Q2 2025 Performance	Sephora at Kohl's Net Sales Growth	3% increase	Q2 Fiscal 2025
Loyalty Program Penetration	Kohl's Loyalty Members	30 million	Out of over 60 million total customers

Kohl's Corporation (KSS) - Canvas Business Model: Cost Structure

When you look at the Cost Structure for Kohl's Corporation (KSS) as of late 2025, you see the heavy lift required to run a massive physical retail footprint while investing in digital capabilities. The costs are dominated by getting the product to the customer and keeping the stores open.

Merchandise Costs: Cost of Goods Sold

The cost of the product itself is your single biggest expense, which makes sense for a retailer. For the nine months ended November 1, 2025, Kohl's reported net sales of $9.8 billion. While the exact Cost of Goods Sold (COGS) for that nine-month period isn't explicitly broken out against the $9.8 billion in net sales, we can look at the gross margin performance to understand the cost base.

Gross margin for the first nine months of 2025 was 39.8% of net sales, an increase of 39 basis points year-over-year. This means the merchandise cost (COGS) was approximately 60.2% of net sales for that period (100% - 39.8%).

For the third quarter of 2025 specifically, the gross margin was 39.6%, an improvement of 51 basis points over the prior year's third quarter. This implies a Q3 2025 COGS of about 60.4% of Q3 net sales.

Here's a quick look at the relationship between sales and the cost of those sales for the nine-month period:

Metric	Amount (9 Months Ended Nov 1, 2025)
Net Sales	$9.8 billion
Gross Margin Percentage	39.8%
Implied Merchandise Cost (COGS) Percentage	60.2%

Selling, General & Administrative (SG&A)

SG&A covers everything from paying store associates and running marketing campaigns to corporate salaries and utilities. For the nine months ended November 1, 2025, SG&A expenses were $3.6 billion, representing 35.0% of total revenue. This is an increase of 20 basis points year-over-year as a percentage of revenue.

Looking at the third quarter of 2025 alone, SG&A expenses decreased 2.1% year-over-year to $1.3 billion, but as a percentage of revenue, it was 35.3%, an increase of 55 basis points. You can see the pressure here; even with cost discipline, the lower sales base makes the fixed nature of some overhead costs more apparent.

The components of SG&A include:

• Store operations payroll and benefits.
• Marketing and advertising spend, especially for proprietary brand promotion.
• Corporate overhead and technology costs.
• Depreciation expense, which was $176 million in Q3 2025.

Real Estate and Lease Costs

Operating expenses for the large store fleet are a major fixed cost. While specific, current lease expense figures aren't isolated in the latest earnings release snippets, we know the store count is a key driver. Kohl's announced the closure of 27 underperforming stores in the prior year (Q4 2024), which was a step to manage this cost base. The company still operates over 1,100 stores as of late 2025.

Interest expense is another significant fixed charge related to financing the business, which was $75 million in the third quarter of 2025.

Capital Expenditures

Kohl's Corporation (KSS) is actively spending to refresh its physical assets and upgrade its technology. The full-year 2025 outlook for Capital Expenditures (CapEx) was set at approximately $400 million. This was planned for store refreshes and technology investments, including the ongoing Sephora rollout.

Earlier in the year, the expectation was a range of $400 million to $425 million for FY 2025. Year-to-date through Q3 2025, CapEx totaled $308 million, primarily on the Sephora rollout, Impulse Q lines, and fulfillment expansion.

Here's the CapEx focus for 2025:

Metric	FY 2025 Outlook (Approximate)	YTD Spend (Through Q3 2025)
Capital Expenditures	$400 million	$308 million
Primary Focus Areas	Store refreshes, Tech, Sephora rollout	Sephora rollout, Impulse Q lines, fulfillment expansion

If onboarding takes 14+ days, churn risk rises. Finance: draft 13-week cash view by Friday.

Kohl's Corporation (KSS) - Canvas Business Model: Revenue Streams

You're looking at how Kohl's Corporation brings in the cash as we wrap up 2025. Honestly, it's a mix of traditional retail and the financial services tied to that retail. Here's the quick math on where the money is coming from.

Merchandise Sales: Primary revenue from national and proprietary brand products

The bulk of the revenue is still from selling physical goods, which includes national brands and the company's own proprietary labels. For the first nine months of fiscal year 2025, total net sales reached $9.80 billion. Merchandise sales are the core driver, though the full-year 2025 guidance projects a net sales decrease in the range of 5% to 7%. To give you a recent snapshot, Q3 2025 net sales were about $3.41 billion, down 2.8% year-over-year. In Q1 2025, net sales were $3 billion. The company is pushing its proprietary brands, which saw a 400 basis point better quarter-over-quarter performance in Q1 2025 as part of the turnaround effort.

Here are some recent top-line figures:

Period	Net Sales Amount	Year-over-Year Change
Q1 Fiscal Year 2025	$3 billion	Decreased 4.1%
Q3 Fiscal Year 2025	Approximately $3.41 billion	Decreased 2.8%
First Nine Months Fiscal Year 2025	$9.80 billion	Decreased 4.2%

Credit Card Revenue: Interest and fees from the proprietary Kohl's Card

The Kohl's Card operation is a significant, though increasingly regulated, revenue component, categorized under Other Revenue. This includes finance charges and late fees, less write-offs. Regulatory changes impacting late fees have been a headwind; these changes were expected to cause a potential reduction of over $200 million per year starting in 2024. To counter this, Kohl's is focused on its co-brand credit card, aiming for incremental credit revenue of $250 million to $300 million per year by 2025 from that program. Separately, in Q2 2025, the company recorded a one-time gain of $129 million from a credit card interchange fee lawsuit settlement, which significantly boosted year-to-date net income.

You should note the following related financial data:

• Expected annual reduction from late fee regulation: Over $200 million.
• Target incremental annual revenue from co-brand card by 2025: $250 million to $300 million.
• One-time gain from credit card settlement (Q2 2025): $129 million.

Digital Sales: Revenue generated through Kohls.com and the Kohl's App

The omnichannel strategy is clearly a major revenue channel. In the third quarter of 2025, digital sales penetration hit 28% of net sales. This channel showed some strength, with ecommerce sales growing 2% year-over-year in October 2025. However, looking at the full year projection, Digital Commerce 360 projected Kohl's ecommerce sales to decline by 17.7% year-over-year in 2025. The company has built a substantial user base, reporting 20 million users for the Kohl's App in Q2 2025.

Sephora Concessions: Sales generated from the in-store beauty shops

The partnership with Sephora is a key growth area, though its sales are often grouped into the Accessories segment for reporting. The Accessories segment, which includes Sephora, saw a notable increase of approximately 9% in 2024, with Sephora sales exceeding $1.8 billion in that year. The full chain rollout was completed in Spring 2025, putting the company on track to deliver a $2 billion beauty business. This investment is part of the 2025 capital expenditure plan, estimated between $400 million and $425 million.

The Sephora contribution is quantified below:

• Sephora sales in 2024: Exceeded $1.8 billion.
• Projected beauty business size by end of 2025: $2 billion.
• Investment in rollout completion (part of 2025 CapEx): Included in $400 million to $425 million.