Why an Expanded Amazon Partnership Is a Big Deal for Kohl’s

Returning packages to Amazon just got a whole lot easier — thanks to Kohl’s.

The department store chain announced that it would be expanding its deal with the e-tail giant starting in July, allowing customers to make returns from Amazon to its brick-and-mortar locations with no additional fees.

The program, which launched in 100 pilot stores less than two years ago, is set to roll out in the retailer’s more than 1,150 outposts across the country. Kohl’s expects the partnership to positively impact sales, as more foot traffic could persuade shoppers to make purchases after they’ve returned their unwanted items. Amazon, meanwhile, will enjoy new benefits from making returns even more hassle-free and convenient for many of its customers.

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“Amazon and Kohl’s have a shared passion in providing outstanding customer services, and this unique partnership combines Kohl’s strong nationwide store footprint and omnichannel capabilities with Amazon’s reach and customer loyalty,” Kohl’s CEO Michelle Gass said in a statement. “This new service is another example of how Kohl’s is delivering innovation to drive traffic to our stores and bring more relevance to our customers.”

Kohl’s shares surged nearly 12% on Tuesday, closing at $75.48 following the announcement. (The stock had dropped 2.6% at $73.53 as of 10:30 a.m. ET.)

Last month, the Wisconsin-based company said that it would carry Amazon products in more than 200 stores. It becomes the latest retailer to join forces with the e-commerce leader, with Sears, Chico’s, Calvin Klein, J.Crew and Nike already dipping their toes into Amazon’s pool. While Chico’s, J.Crew and Nike have opened storefronts on the site, Amazon launched pop-ups with Calvin Klein during the 2017 holiday shopping season and expanded its tire partnership with beleaguered Sears last summer.

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