Word is that Amazon will be opening up a grocery store in La Verne, California — inside a Kohl’s store.
In an expansion of its existing partnership with Kohl’s, Amazon will be leasing out approximately 37,000 square feet of the 88,000 square-foot space within the Kohl’s store, according to the Milwaukee Business Journal.
Within the new space, the store will be separated from Kohl’s store by a dividing wall and is likely to feature an Amazon Fresh banner. Kohl’s is, however, still in process of testing out sizing and concepts at various locations.
While a partnership between the two corporations isn’t new, this initiative is relatively fresh. Currently, the retailer sells Amazon smart home products throughout its U.S. locations and as of last year, Kohl’s started accepting Amazon returns, which helped its stores gain additional foot traffic.
The move is mutually beneficial for the two companies as it allows Amazon to expand its Fresh concept without investing in building new stores, whereas it gives Kohl’s another opportunity to gain in-store customers by offering something that is more essential than smart devices and Amazon returns.
This particular initiative comes at a time when big-boxed retailers are looking to create one-stop locations for their customers as COVID-19 has become a top concern amongst the country, making hygiene and safety a must-have for customers. Target, for one, recently announced its initiative to help consolidate its customers’ trips out to multiple stores by tacking on about 650 additional products to its Good & Gather product line.
In addition to its new collaboration with Amazon, Kohl’s also announced its revamped loyalty program, aiming to simplify yet personalize the customer experience.
Amazon Fresh first debuted late last month with its first location in Woodland Hills, California and has plans to roll out additional locations in both Irvine and North Hollywood, California, as well as three stores in suburban Chicago and three grocery stores within the Philadelphia metro area by the end of 2020. Amazon is also reportedly planning to open another Amazon Fresh location in Gaithersburg, Maryland, a suburb of Washington, D.C. in 2021.