Hoffman Estates, IL, February 9—-Sears will open a new type of store this spring to build up its presence outside of its traditional shopping mall space.
The new mid-sized store format will be called Sears Essentials and feature Sears' products focusing on home and family life such as appliances, lawn and garden, tools, electronics, apparel and even some food items.
The company said it hopes the new format will position it for steady sales growth as it integrates its operations with those of Kmart Holdings Corp.
The company plans to open the first 25 Sears Essentials stores in densely populated areas. It will use some of the stores it acquired when it bought 50 Kmart and six Wal-Mart stores in the third quarter of 2004.
Sears has not determined how many Sears Essentials it will open beyond the initial roll-out, a company spokeswoman said. The locations being re-branded as Sears Essentials will remain open during the remodeling process.
Sears currently operates four Sears Grand stores and plans to open four more this year, a spokeswoman said.
The company also faces competition from specialty fashion retailers. It has been trying to combat slumping sales with steps such as revamping its apparel offerings and selling hipper clothing and accessories.
Sears is being acquired by Kmart in a deal the two retailers announced late last year.
