Sears cuts back on DIY offer
US store chain focusing on appliance offer
February 21 2004
US store chain Sears, Roebuck is cutting back on its DIY offer in a market dominated by Home Depot and Lowe’s.
Sears has its roots in a mail order catalogue founded in 1886, which bought everyday essentials to US consumers often living hundreds of miles from the nearest store. Home improvement products have always been part of the mix, but
Sears is now increasing its home electricals offer in its Sears Hardware stores, with less emphasis on DIY.
[img r]sears.jpg[/img]The retailer is adding home appliances to 35 more Sears Hardware stores, which have been renamed Sears Appliance and Hardware and sell products in four core businesses: Appliances, Lawn and Garden, Paint and Tools.
Beryl Buley, senior vice president and general manager of home stores for Sears, Roebuck said: “Sears is the leading retailer of appliances, with more than double the market share of our next closest competitor. This format extends our appliance offering in a convenient new way, right in our customers’ neighborhoods. We plan to add appliances to most of our remaining 103 hardware stores by year-end.”
Sears opened its first Sears Hardware store in 1983, but has seen increased competition from the expansion of the two US DIY giants, Home Depot and Lowe’s.
[img l]kenmorefridge.jpg[/img]Appliances are a much stronger business for Sears. Its own brand, Kenmore, is the leading US appliance brand, with one in two homes owning a Kenmore appliance. It also sells the Amana, Frigidaire, GE, Maytag, and Whirlpool brands.
The Sears Appliance and Hardware format offers up to 260 appliance models, including up to 50 that can be bought and taken home by customers the same day.
To make room for the large assortment of appliances, Sears has reduced its range of DIY lines including cabinet and bath hardware, ceiling fans and lighting, and electrical and plumbing supplies.
Buley said: “The Sears Appliance and Hardware pilot stores exceeded our expectations and we are very pleased to convert another 35 stores to carry appliances.
“This is a continuation of the significant changes Sears is making to maintain and grow our appliance business and better serve our customers. The addition of appliances to our hardware stores is helping Sears generate more appliance market share per store than our competitors.”
