Kohl’s is a popular American retail chain that specializes in clothing, footwear, accessories, home decor, and beauty products. The company has a generous return policy that allows customers to return items within 180 days of purchase, either in-store or through mail. With such a flexible return policy, one may wonder what Kohl’s does with all the returned merchandise.
Kohl’s Return Policy
Before delving into what Kohl’s does with its returns, it’s essential to understand the company’s return policy. Kohl’s accepts returns of most merchandise within 180 days of purchase. However, there are some exceptions, such as premium electronics, which must be returned within 30 days of purchase. Also, the company does not accept returns of items like gift cards, digital downloads, and prepaid phone cards.
Customers who return merchandise with the original receipt or packaging receive a full refund in their original form of payment. However, those who return items without a receipt or packaging may receive a merchandise credit or a refund at the lowest sale price.
What Does Kohl’s Do With Returns?
Kohl’s has a comprehensive and efficient return management system that handles all returned merchandise. Once the company receives the returned items, they go through a rigorous inspection process to determine their condition.
If the items are in good condition and can be resold, Kohl’s adds them back to its inventory and sells them at a reduced price. The returned items are usually marked down by around 40-90% off the original price. Kohl’s then categorizes the items based on their condition and assigns them to different locations in its stores or online platform.
On the other hand, if the returned items are damaged, used, or have missing parts, Kohl’s can’t resell them. In such cases, the company works with liquidators who buy the merchandise in bulk at a reduced price. Liquidators then sell the items to discount stores or donate them to charity.
Kohl’s Partnerships with Third-Party Liquidators
Kohl’s has partnerships with several third-party liquidators who help it handle returned merchandise that can’t be resold. These liquidators buy the merchandise in bulk at a fraction of its original price and then sell it to discount stores, outlet malls, or donate it to charity.
One of Kohl’s primary liquidators is Genesco, a company that specializes in liquidating distressed inventory for retailers. Genesco buys the returned merchandise from Kohl’s and then sorts it based on its condition. They then sell the merchandise to off-price retailers like Ross, Marshalls, and T.J. Maxx, or donate it to charity.
Kohl’s also partners with Liquidity Services, a global provider of surplus asset management, auction, and valuation services. Liquidity Services buys the returned merchandise from Kohl’s and then auctions it off to small retailers, resellers, or exporters.
Kohl’s Donation Program
Kohl’s has a donation program that allows it to donate returned merchandise to non-profit organizations. The company partners with organizations like Good360, which helps it donate items like clothing, toys, and home decor to families in need.
Kohl’s also has a partnership with the National Cristina Foundation, a non-profit organization that helps individuals with disabilities, students at risk, and economically disadvantaged individuals access technology. Kohl’s donates returned electronics like laptops, smartphones, and tablets to the foundation, which then refurbishes and donates them to eligible recipients.
Kohl’s Rewards Program
Kohl’s has a loyalty rewards program called Kohl’s Cash, which rewards customers for shopping at its stores. Customers earn Kohl’s Cash when they make a purchase, and they can redeem it for discounts on future purchases.
Kohl’s also uses Kohl’s Cash to incentivize customers to return merchandise.