Sears to Sell Kenmore Brand on Amazon
July 20 2017 - 9:42AM
Dow Jones News
By Imani Moise
If you can't beat them, join them.
Sears Holdings Corp. will start selling its Kenmore line of
refrigerators and stoves on Amazon.com Inc.'s website, marking the
first distribution of its kitchen appliances outside of its own
stores.
Sears's shares jumped 12% to $9.75 premarket, offsetting a 6.6%
slump so far this year.
The move could be a boon to sales as dwindling foot traffic in
stores has led to years of sales declines. Sears has been facing
increased competition in white goods to Best Buy, Home Depot and
other retail chains.
The company also said the partnership will benefit its Sears
Home Services as it will provide delivery, installation and
extended product protection for all Kenmore goods sold through
Amazon.
The struggling retailer has been looking at strategic options
for some if its top brands for over a year, as sales have slid and
losses have mounted. Earlier this year, it agreed to sell its
Craftsman tool brand to Stanley Black & Decker Inc. for $900
million and the company is still looking at options for its DieHard
brand.
The partnership also marks a big move by Amazon into the large
appliance business, one of the few corners of retail where it has
yet to penetrate deeply.
Write to Imani Moise at imani.moise@wsj.com
(END) Dow Jones Newswires
July 20, 2017 09:27 ET (13:27 GMT)
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