Kohl's Corporation (KSS): Modelo de Negócios Canvas [Jan-2025 Atualizado]

No mundo dinâmico do varejo, a Kohl's Corporation é um estudo de caso convincente de adaptação estratégica e inovação centrada no cliente. Ao aproveitar um modelo de negócios sofisticado que combina perfeitamente o varejo tradicional de tijolo e argamassa com estratégias digitais de ponta, a Kohl's se posicionou como um participante formidável no mercado de varejo de médio porte. Desde sua parceria estratégica da Amazon até sua abordagem omnichannel robusta, a empresa demonstra como um modelo de negócios bem trabalhado pode transformar desafios em oportunidades, criando valor para os acionistas e clientes em um cenário de varejo cada vez mais competitivo.

Kohl's Corporation (KSS) - Modelo de negócios: Parcerias -chave

Aliança estratégica com a Amazon

Em 2019, a Kohl estabeleceu uma parceria estratégica com a Amazon para aceitar retornos da Amazon em 800 lojas em 17 estados. A partir de 2023, essa parceria se expandiu para 1.150 lojas da Kohl. A colaboração permite que os clientes retornem as compras da Amazon sem embalagens nas lojas da Kohl.

Detalhes da parceria	Métricas
Lojas que aceitam retornos da Amazon	1.150 locais
Parceria iniciada	2019
Estados cobertos	17 estados

Parcerias de fornecedores

A Kohl's mantém relacionamentos estratégicos de fornecedores com várias marcas de roupas nacionais e privadas.

• Nike
• Adidas
• Under Armour
• Levi's
• Columbia Sportswear

Parceria do cartão de crédito

A Kohl's tem uma parceria exclusiva do cartão de crédito com a Capital One. Em 2023, o programa de cartão de crédito da KOHL gerou aproximadamente US $ 1,2 bilhão em vendas de crédito de marca própria.

Detalhes de parceria com cartão de crédito	Valor
Parceiro do cartão de crédito	Capital um
Vendas de crédito de marca própria (2023)	US $ 1,2 bilhão

Colaborações de marca

A Kohl busca ativamente colaborações de marca para aprimorar as ofertas de produtos e o envolvimento do cliente.

• Disney Merchandise Partnership
• Linha de roupas finais de terras
• Eddie Bauer Integração do produto

Kohl's Corporation (KSS) - Modelo de negócios: Atividades -chave

Gerenciamento de mercadorias de varejo e distribuição de inventário

A Kohl's opera 1.186 lojas de varejo em 48 estados em janeiro de 2024. A empresa gerencia um extenso inventário em várias categorias de produtos.

Categoria de produto	Porcentagem de inventário
Vestuário feminino	32%
Vestuário masculino	22%
Vestuário infantil	18%
Acessórios	15%
Bens domésticos	13%

Operações de varejo omnichannel

A Kohl's integra canais de vendas físicas e digitais às seguintes métricas:

• As vendas on -line representaram 35% da receita total em 2023
• A plataforma digital processa aproximadamente 250.000 pedidos on -line diariamente
• Downloads de aplicativos móveis excedem 35 milhões de usuários

Otimização da experiência do cliente e aprimoramento da plataforma digital

O investimento digital se concentra em melhorias tecnológicas:

Área de investimento digital	Gastos anuais
Plataforma de comércio eletrônico	US $ 75 milhões
Tecnologia móvel	US $ 45 milhões
Análise de dados do cliente	US $ 30 milhões

Desenvolvimento de marketing e campanha promocional

A estratégia de marketing inclui:

• Orçamento anual de marketing de US $ 350 milhões
• Programa de fidelidade com 65 milhões de membros ativos
• Marketing digital personalizado atingindo 40% da base de clientes

Investimento de atividades principais totais: US $ 500 milhões anualmente

Kohl's Corporation (KSS) - Modelo de negócios: Recursos -chave

Extensa rede de lojas de varejo

Em janeiro de 2024, a Kohl's opera 1.116 lojas de varejo em 47 estados nos Estados Unidos. Mágua quadrada total de varejo: 88,1 milhões de pés quadrados.

Métrica da loja	Quantidade
Total de lojas	1,116
Estados cobertos	47
Quadra quadrada total de varejo	88,1 milhões de pés quadrados

Infraestrutura de tecnologia digital

Recursos de comércio eletrônico: As vendas digitais representam 27% da receita total da empresa em 2023.

• Plataforma omnichannel integrada
• Aplicativo móvel com 17,5 milhões de usuários ativos
• Sistema de rastreamento de inventário em tempo real

Reconhecimento da marca

Posicionamento de mercado: segmento de varejo de médio porte, com US $ 19,9 bilhões em receita anual para o ano fiscal de 2023.

Inventário de produtos

Categoria de produto	Porcentagem de inventário
Vestuário	42%
Acessórios	22%
Bens domésticos	21%
Calçados	15%

Recursos financeiros

Total de ativos em janeiro de 2024: US $ 11,4 bilhões. Caixa e equivalentes de caixa: US $ 374 milhões.

Recursos Humanos

Total de funcionários: aproximadamente 90.000 em janeiro de 2024.

Kohl's Corporation (KSS) - Modelo de Negócios: Proposições de Valor

Roupas acessíveis, modernas e artigos domésticos

A partir do quarto trimestre de 2023, a Kohl ofereceu roupas e produtos domésticos com uma faixa de preço médio de US $ 15 a US $ 75 para vestuário e US $ 20 a US $ 200 para itens domésticos. O mix de mercadorias da empresa incluiu:

Categoria	Porcentagem de vendas	Receita anual (2023)
Roupas femininas	32%	US $ 2,16 bilhões
Roupas masculinas	22%	US $ 1,48 bilhão
Roupas infantis	18%	US $ 1,21 bilhão
Bens domésticos	28%	US $ 1,89 bilhão

Experiência de compra conveniente

As plataformas de compras multicanal da Kohl incluem:

• Lojas físicas: 1.186 locais em janeiro de 2024
• Plataforma de comércio eletrônico: kohls.com
• Aplicativo móvel com 25 milhões de usuários ativos
• Serviço de devolução da Amazon em 1.150 lojas

Preços competitivos e estratégias promocionais

Detalhes promocionais para 2023:

Tipo de desconto	Freqüência	Desconto médio
O dinheiro de Kohl	10 vezes por ano	20-30% de desconto
Vendas sazonais	4 grandes eventos anualmente	40-60% de desconto
Descontos do programa de fidelidade	Contínuo	5-15% de desconto

Diversificados dados demográficos de clientes

A quebra do segmento de clientes para 2023:

• Faixa etária primária: 25-54 anos (65% da base de clientes)
• Renda familiar média: US $ 75.000
• Distribuição de gênero: 68% do sexo feminino, 32% do sexo masculino
• Membros do programa de fidelidade: 31 milhões de membros ativos

Kohl's Corporation (KSS) - Modelo de Negócios: Relacionamentos ao Cliente

Programa de fidelidade com recompensas e descontos personalizados

O programa de recompensas de Kohl em 2024 inclui:

Recurso do programa	Detalhes
Base de associação	29,7 milhões de membros ativos de Kohl's Rewards
Estrutura de recompensa	5% de reembolso em cada compra
Receita anual do programa de fidelidade	US $ 1,2 bilhão em vendas orientadas a lealdade

Engajamento digital através de aplicativos móveis e plataformas online

Métricas de engajamento digital para Kohl's em 2024:

• Downloads de aplicativos móveis: 12,5 milhões de usuários ativos
• Vendas on -line: receita anual de US $ 3,8 bilhões
• Taxa de transação móvel: 47% das compras digitais

Suporte ao atendimento ao cliente em vários canais de comunicação

Canal de suporte	Disponibilidade
Suporte telefônico	24/7 de atendimento ao cliente
Bate -papo ao vivo	Taxa de resposta de 85% em 2 minutos
Suporte por e -mail	Tempo médio de resposta: 4 horas

Marketing personalizado e ofertas promocionais direcionadas

Estatísticas de personalização de marketing:

• Campanhas de e -mail personalizadas: 22% maior taxa de abertura
• Anúncios digitais direcionados: gastos anuais de US $ 145 milhões
• Taxa de conversão de ofertas personalizadas: 6,4%

Kohl's Corporation (KSS) - Modelo de Negócios: Canais

Lojas de varejo físico em todo o país

A partir de 2023, a Kohl's opera 1.186 lojas de varejo em 49 estados dos EUA. Mágua quadrada total de varejo: 92,1 milhões de pés quadrados.

Métrica da loja	2023 dados
Contagem total de lojas	1.186 lojas
Estados cobertos	49 estados
Quadra quadrada total de varejo	92,1 milhões de pés quadrados

Site de comércio eletrônico e aplicativo móvel

O Kohls.com gerou US $ 4,3 bilhões em vendas digitais em 2022, representando 35% da receita total da empresa.

• Downloads de aplicativos móveis: 22,4 milhões de usuários ativos
• Taxa de crescimento de vendas digitais: 15,2% ano a ano
• Valor médio da transação on -line: $ 87,50

Mercados on-line de terceiros

A Kohl's é vendida pela Amazon, Instacart e outras plataformas digitais, gerando aproximadamente US $ 620 milhões em receita de mercado em 2022.

Marketplace	Contribuição da receita
Parceria da Amazon	US $ 450 milhões
Instacart	US $ 120 milhões
Outras plataformas	US $ 50 milhões

Plataformas de marketing de mídia social

A Kohl's mantém a presença ativa da mídia social com 4,2 milhões de seguidores do Instagram e 2,8 milhões de seguidores no Facebook.

• Seguidores do Instagram: 4,2 milhões
• Seguidores do Facebook: 2,8 milhões
• Gastes de publicidade em mídia social: US $ 38,5 milhões em 2022
• Taxa de conversão das mídias sociais: 2,7%

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

Famílias de classe média

As famílias de classe média de Kohl têm uma renda familiar anual entre US $ 50.000 e US $ 100.000. A partir de 2023, esse segmento representa aproximadamente 47% da base de clientes da KOHL.

Aparelhamento demográfico	Percentagem
Famílias casadas	62%
Famílias com filhos	55%
Faixa etária	30-55 anos

Compradores conscientes do orçamento

Os consumidores conscientes do orçamento representam 35% dos segmentos de clientes da KOHL, com um valor médio de transação de US $ 72.

• Procure descontos frequentes
• Utilize as recompensas em dinheiro de Kohl
• Gastos anuais médios: US $ 864

Jovens adultos e millennials

A geração do milênio e a geração Z representam 28% da base de clientes da KOHL, com idade média de 29 a 39 anos.

Características do segmento	Pontos de dados
Engajamento digital	78% compra online
Usuários de aplicativos móveis	1,2 milhão de usuários ativos
Compra online média	$95

Consumidores orientados para o valor

Os compradores orientados para o valor representam 40% dos segmentos de clientes da KOHL, priorizando moda e qualidade acessíveis.

• Gastos domésticos anuais médios em vestuário: US $ 1.200
• Índice de Sensibilidade ao Preço: 0,65
• Prefere marcas com estratégias promocionais consistentes

Kohl's Corporation (KSS) - Modelo de negócios: estrutura de custos

Despesas operacionais da loja de varejo

No ano fiscal de 2023, as despesas operacionais totais da Kohl foram de US $ 5,7 bilhões. Repartição dos principais custos operacionais:

Categoria de despesa	Quantidade (em milhões)
Custos de ocupação da loja	$1,245
Salários e benefícios dos funcionários	$1,680
Utilitários e manutenção	$412
Segurança e operações da loja	$276

Compras e gerenciamento de inventário

Custos e estratégias de gerenciamento de inventário da Kohl:

• Valor total do inventário a partir de janeiro de 2024: US $ 4,1 bilhões
• Despesas de compras de estoque: US $ 2,3 bilhões anualmente
• Cadeia de suprimentos e despesas de logística: US $ 387 milhões

Tecnologia digital e manutenção de infraestrutura

Categoria de investimento em tecnologia	Despesas anuais (em milhões)
Desenvolvimento da plataforma de comércio eletrônico	$145
Manutenção de infraestrutura de TI	$98
Segurança cibernética	$62
Experiência digital do cliente	$73

Despesas de marketing e publicidade

Repartição de custos de marketing para o ano fiscal de 2023:

• Despesas totais de marketing: US $ 412 milhões
• Orçamento de publicidade digital: US $ 187 milhões
• Publicidade da mídia tradicional: US $ 156 milhões
• Custos promocionais e de fidelidade: US $ 69 milhões

Kohl's Corporation (KSS) - Modelo de negócios: fluxos de receita

Vendas de roupas e vestuário

Receita total de Kohl para o ano fiscal de 2023: US $ 19,0 bilhões

Categoria de vestuário	Contribuição da receita
Vestuário feminino	35,4% do total de vendas de roupas
Vestuário masculino	22,7% do total de vendas de roupas
Vestuário infantil	18,9% do total de vendas de roupas

Bens e acessórios domésticos

Segmento de receita de bens domésticos: US $ 4,6 bilhões no ano fiscal de 2023

• Vendas de decoração de casa
• Acessórios de cozinha e jantar
• Bedding e Bath Products
• Móveis e têxteis domésticos

Linhas de produtos de marca própria

Marca	Receita anual
Bens de Sonoma para a vida	US $ 1,2 bilhão
Apt. 9	US $ 890 milhões
Simplesmente Vera Vera Wang	US $ 650 milhões

Cartão de crédito e receitas de serviço financeiro

Programa de cartão de crédito da Kohl Receita anual: US $ 752 milhões

• Contas totais de cartão de crédito: 28,5 milhões
• Taxa de penetração do cartão de crédito: 45,3%
• Valor médio da transação via cartão de crédito da 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.