Kohl's Corporation (KSS): Business Model Canvas [Jan-2025 Mise à jour]

Dans le monde dynamique de la vente au détail, Kohl's Corporation est une étude de cas convaincante de l'adaptation stratégique et de l'innovation centrée sur le client. En tirant parti d'un modèle commercial sophistiqué qui mélange de manière transparente la vente au détail traditionnelle de brique et de mortier avec des stratégies numériques de pointe, Kohl's s'est positionné comme un acteur formidable sur le marché de détail du milieu de niveau. De son partenariat stratégique Amazon à son approche omnicanal solide, la société démontre comment un modèle commercial bien conçu peut transformer les défis en opportunités, créant de la valeur pour les actionnaires et les clients dans un paysage de vente au détail de plus en plus compétitif.

Kohl's Corporation (KSS) - Modèle d'entreprise: partenariats clés

Alliance stratégique avec Amazon

En 2019, Kohl a créé un partenariat stratégique avec Amazon pour accepter Amazon Returns dans 800 magasins dans 17 États. En 2023, ce partenariat s'est étendu à 1 150 emplacements de magasin Kohl. La collaboration permet aux clients de retourner les achats d'Amazon sans emballage dans les magasins de Kohl.

Détail du partenariat	Métrique
Magasins acceptant les rendements Amazon	1 150 emplacements
Partenariat initié	2019
États couverts	17 États

Partenariats des vendeurs

Kohl entretient des relations stratégiques des fournisseurs avec plusieurs marques de vêtements nationales et privées.

• Nike
• Adidas
• Sous l'armure
• Lévi's
• Columbia Sportswear

Partenariat de carte de crédit

Kohl's a un partenariat exclusif de cartes de crédit avec Capital One. En 2023, le programme de cartes de crédit de Kohl a généré environ 1,2 milliard de dollars en ventes de crédit de marque privée.

Détail de partenariat de carte de crédit	Valeur
Partenaire de carte de crédit	Capital One
Ventes de crédit de marque privée (2023)	1,2 milliard de dollars

Collaborations de marque

Kohl poursuit activement les collaborations de marque pour améliorer les offres de produits et l'engagement client.

• Disney Merchandise Partnership
• Ligne de vêtements de fin Lands
• Intégration du produit Eddie Bauer

Kohl's Corporation (KSS) - Modèle d'entreprise: activités clés

Gestion des marchandises au détail et distribution des stocks

Kohl's exploite 1 186 magasins de détail dans 48 États en janvier 2024. La société gère un inventaire approfondi dans plusieurs catégories de produits.

Catégorie de produits	Pourcentage d'inventaire
Vêtements pour femmes	32%
Vêtements pour hommes	22%
Vêtements pour enfants	18%
Accessoires	15%
Marchandises à domicile	13%

Opérations de vente au détail omnicanal

Kohl's intègre les canaux de vente physiques et numériques aux mesures suivantes:

• Les ventes en ligne représentaient 35% des revenus totaux en 2023
• La plate-forme numérique traite environ 250 000 commandes en ligne quotidiennement
• Les téléchargements d'applications mobiles dépassent 35 millions d'utilisateurs

Optimisation de l'expérience client et amélioration de la plate-forme numérique

L'investissement numérique se concentre sur les améliorations technologiques:

Zone d'investissement numérique	Dépenses annuelles
Plate-forme de commerce électronique	75 millions de dollars
Technologie mobile	45 millions de dollars
Analyse des données client	30 millions de dollars

Marketing et développement de campagne promotionnelle

La stratégie marketing comprend:

• Budget marketing annuel de 350 millions de dollars
• Programme de fidélité avec 65 millions de membres actifs
• Marketing numérique personnalisé atteignant 40% de la clientèle

Investissement total des activités clés: 500 millions de dollars par an

Kohl's Corporation (KSS) - Modèle d'entreprise: Ressources clés

Réseau de magasins de détail étendus

En janvier 2024, Kohl exploite 1 116 magasins de détail dans 47 États aux États-Unis. Total de vente au détail en pieds carrés: 88,1 millions de pieds carrés.

Métrique du magasin	Quantité
Total des magasins	1,116
États couverts	47
Total de vente au détail en pieds carrés	88,1 millions de pieds carrés

Infrastructure technologique numérique

Capacités de commerce électronique: Les ventes numériques représentent 27% du total des revenus de l'entreprise en 2023.

• Plate-forme omnicanal intégrée
• Application mobile avec 17,5 millions d'utilisateurs actifs
• Système de suivi des stocks en temps réel

Reconnaissance de la marque

Positionnement du marché: segment de vente au détail de niveau intermédiaire avec 19,9 milliards de dollars de revenus annuels pour l'exercice 2023.

Inventaire des produits

Catégorie de produits	Pourcentage d'inventaire
Vêtements	42%
Accessoires	22%
Marchandises à domicile	21%
Chaussure	15%

Ressources financières

Total des actifs à partir de janvier 2024: 11,4 milliards de dollars. Cash et équivalents en espèces: 374 millions de dollars.

Ressources humaines

Total des employés: environ 90 000 en janvier 2024.

Kohl's Corporation (KSS) - Modèle d'entreprise: propositions de valeur

Vêtements abordables et branchés et articles de maison

Au quatrième trimestre 2023, Kohl a offert des vêtements et des articles de maison avec une fourchette de prix moyenne de 15 à 75 $ pour les vêtements et 20 $ à 200 $ pour les articles à domicile. Le mélange de marchandises de l'entreprise comprenait:

Catégorie	Pourcentage de ventes	Revenus annuels (2023)
Vêtements pour femmes	32%	2,16 milliards de dollars
Vêtements pour hommes	22%	1,48 milliard de dollars
Vêtements pour enfants	18%	1,21 milliard de dollars
Marchandises à domicile	28%	1,89 milliard de dollars

Expérience de magasinage pratique

Les plates-formes de magasinage multicanal de Kohl comprennent:

• Magasins physiques: 1 186 emplacements en janvier 2024
• Plateforme de commerce électronique: kohls.com
• Application mobile avec 25 millions d'utilisateurs actifs
• Service de retour Amazon dans 1 150 magasins

Prix ​​compétitifs et stratégies promotionnelles

Détails promotionnels pour 2023:

Type de réduction	Fréquence	Réduction moyenne
L'argent de Kohl	10 fois par an	20 à 30% de réduction
Ventes saisonnières	4 événements majeurs chaque année	40 à 60%
Remises du programme de fidélité	Continu	5-15% de réduction

Demographies des clients diversifiés

Répartition du segment de la clientèle pour 2023:

• Groupe d'âge primaire: 25 à 54 ans (65% de la clientèle)
• Revenu médian des ménages: 75 000 $
• Distribution entre les sexes: 68% de femmes, 32% d'hommes
• Membres du programme de fidélité: 31 millions de membres actifs

Kohl's Corporation (KSS) - Modèle d'entreprise: relations clients

Programme de fidélité avec des récompenses et des remises personnalisées

Le programme de récompenses de Kohl en 2024 comprend:

Fonctionnalité du programme	Détails
Base d'adhésion	29,7 millions membres de récompenses de Kohl actifs
Structure de récompense	5% de cashback sur chaque achat
Revenus annuels du programme de fidélité	1,2 milliard de dollars de ventes axées sur la loyauté

Engagement numérique via l'application mobile et les plateformes en ligne

Métriques d'engagement numérique pour Kohl en 2024:

• Téléchargements d'applications mobiles: 12,5 millions d'utilisateurs actifs
• Ventes en ligne: revenus annuels de 3,8 milliards de dollars
• Taux de transaction mobile: 47% des achats numériques

Assistance du service client sur plusieurs canaux de communication

Canal de support	Disponibilité
Support téléphonique	Service client 24/7
Chat en direct	Taux de réponse de 85% en 2 minutes
Assistance par e-mail	Temps de réponse moyen: 4 heures

Marketing personnalisé et offres promotionnelles ciblées

Statistiques de personnalisation marketing:

• Campagnes par e-mail personnalisées: 22% de taux d'ouverture plus élevé
• Annonces numériques ciblées: 145 millions de dollars de dépenses annuelles
• Taux de conversion à partir d'offres personnalisées: 6,4%

Kohl's Corporation (KSS) - Modèle d'entreprise: canaux

Magasins de détail physiques à l'échelle nationale

En 2023, Kohl exploite 1 186 magasins de détail dans 49 États américains. Total de vente au détail en pieds carrés: 92,1 millions de pieds carrés.

Métrique du magasin	2023 données
Nombre total de magasins	1 186 magasins
États couverts	49 États
Total de vente au détail en pieds carrés	92,1 millions de pieds carrés

Site Web de commerce électronique et application mobile

Kohls.com a généré 4,3 milliards de dollars de ventes numériques en 2022, ce qui représente 35% du total des revenus de l'entreprise.

• Téléchargements d'applications mobiles: 22,4 millions d'utilisateurs actifs
• Taux de croissance des ventes numériques: 15,2% d'une année à l'autre
• Valeur moyenne des transactions en ligne: 87,50 $

Places de marché en ligne tierces

Kohl se vend via Amazon, Instacart et d'autres plateformes numériques, générant environ 620 millions de dollars de revenus de marché en 2022.

Marché	Contribution des revenus
Amazon Partnership	450 millions de dollars
Instacart	120 millions de dollars
Autres plateformes	50 millions de dollars

Plateformes de marketing des médias sociaux

Kohl maintient une présence active sur les réseaux sociaux avec 4,2 millions de followers Instagram et 2,8 millions de followers Facebook.

• Followers Instagram: 4,2 millions
• Fonds Facebook: 2,8 millions
• Dépenses publicitaires sur les réseaux sociaux: 38,5 millions de dollars en 2022
• Taux de conversion des médias sociaux: 2,7%

Kohl's Corporation (KSS) - Modèle d'entreprise: segments de clientèle

Familles de classe moyenne

Kohl cible les familles de la classe moyenne avec un revenu annuel des ménages entre 50 000 $ et 100 000 $. En 2023, ce segment représente environ 47% de la clientèle de Kohl.

Ventilation démographique	Pourcentage
Ménages mariés	62%
Ménages avec enfants	55%
Tranche d'âge	30-55 ans

Acheteurs soucieux du budget

Les consommateurs soucieux du budget représentent 35% des segments de clientèle de Kohl, avec une valeur de transaction moyenne de 72 $.

• Cherchez des remises fréquentes
• Utiliser les récompenses en espèces de Kohl
• Dépenses annuelles moyennes: 864 $

Jeunes adultes et milléniaux

Les milléniaux et la génération Z représentent 28% de la clientèle de Kohl, avec un âge moyen de 29 à 39 ans.

Caractéristiques du segment	Points de données
Engagement numérique	78% Shop en ligne
Utilisateurs d'applications mobiles	1,2 million d'utilisateurs actifs
Achat moyen en ligne	$95

Consommateurs axés sur la valeur

Les acheteurs axés sur la valeur représentent 40% des segments de clients de Kohl, priorisant la mode et la qualité abordables.

• Dépenses annuelles moyennes des ménages sur vêtements: 1 200 $
• Indice de sensibilité aux prix: 0,65
• Préférer les marques avec des stratégies promotionnelles cohérentes

Kohl's Corporation (KSS) - Modèle d'entreprise: Structure des coûts

Dépenses opérationnelles des magasins de détail

Depuis l'exercice 2023, les dépenses d'exploitation totales de Kohl étaient de 5,7 milliards de dollars. Répartition des coûts opérationnels clés:

Catégorie de dépenses	Montant (en millions)
Coûts d'occupation des magasins	$1,245
Salaire et avantages sociaux des employés	$1,680
Services publics et maintenance	$412
Stocker la sécurité et les opérations	$276

Inventaire l'approvisionnement et la gestion

Coûts et stratégies de gestion des stocks de Kohl:

• Valeur d'inventaire totale en janvier 2024: 4,1 milliards de dollars
• Frais d'approvisionnement des stocks: 2,3 milliards de dollars par an
• Frais de chaîne d'approvisionnement et logistique: 387 millions de dollars

Technologie numérique et maintenance des infrastructures

Catégorie d'investissement technologique	Dépenses annuelles (en millions)
Développement de la plate-forme de commerce électronique	$145
Maintenance d'infrastructure informatique	$98
Cybersécurité	$62
Expérience client numérique	$73

Dépenses de marketing et de publicité

Répartition des coûts de marketing pour l'exercice 2023:

• Total des dépenses de marketing: 412 millions de dollars
• Budget publicitaire numérique: 187 millions de dollars
• Publicité médiatique traditionnelle: 156 millions de dollars
• Coûts du programme promotionnel et de fidélité: 69 millions de dollars

Kohl's Corporation (KSS) - Modèle d'entreprise: Strots de revenus

Ventes de vêtements et de vêtements

Le chiffre d'affaires total de Kohl pour l'exercice 2023: 19,0 milliards de dollars

Catégorie de vêtements	Contribution des revenus
Vêtements pour femmes	35,4% du total des ventes de vêtements
Vêtements pour hommes	22,7% du total des ventes de vêtements
Vêtements pour enfants	18,9% du total des ventes de vêtements

Goods et accessoires à domicile

Segment des revenus de marchandises à domicile: 4,6 milliards de dollars au cours de l'exercice 2023

• Ventes de décoration intérieure
• Accessoires de cuisine et de restauration
• Produits de literie et de bain
• Meubles et textiles de la maison

Lignes de produit de marque privée

Marque	Revenus annuels
Goods sonoma pour la vie	1,2 milliard de dollars
Apte. 9	890 millions de dollars
Simplement Vera Vera Wang	650 millions de dollars

Cartes de crédit et revenus des services financiers

Renus annuelle du programme de cartes de crédit de Kohl: 752 millions de dollars

• Comptes totaux de carte de crédit: 28,5 millions
• Taux de pénétration de la carte de crédit: 45,3%
• Valeur de transaction moyenne via la carte de crédit 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.