Department store chain Kohl’s is womens’ favourite place to shop for clothes, according to a new Piper Jaffray report on female shoppers’ spending habits.
Coming in second place behind Kohl’s was Macy’s, followed by JCPenney, Wal-Mart, Amazon, Target, TJ Maxx, Old Navy, Sears, and Levi’s.
Piper Jaffray surveyed more than 1,000 women for the report.
Kohl’s has been the top pick among women for the last four surveys.
It was also cited among the top stores where women are beginning to shop, as shown in the chart below.
So why is Kohl’s so popular?
The mid-market department store offers deep discounts on national clothing brands such as Nike, Vera Wang and Izod.
The thrill of finding good deals keeps bargain hunters coming back for more, according to Pam Goodfellow, an analyst for Prosper Insights & Analytics.
That has hurt competitors such as Wal-Mart, which offers low prices every day.
Nearly 12% of people who buy groceries at Wal-Mart shop most frequently for women’s apparel at Kohl’s, according to a Prosper survey.
“That’s a potential $US7 billion walking out of Walmart’s doors and into the open arms of Kohl’s,” Goodfellow writes on Forbes.
Kohl’s reported a profit of $US369 million, or $US1.83 a share, in the most recent quarter ending Jan. 31, while revenue climbed 3.9%, to $US6.34 billion.
The company’s shares have risen more than 33% over the last year. By comparison, Macy’s and Wal-Mart shares have grown by 6% and 10%, respectively, while Sears and JC Penney’s shares have fallen by more than 14%.
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