Kmart SWOT Analysis, Competitors & USP

Posted in Lifestyle and Retail, Total Reads: 10990

SWOT Analysis of Kmart with USP, Competition, STP (Segmentation, Targeting, Positioning) - Marketing Analysis


Parent Company

Sears Holdings Corporation


Discount Retail Store Chain


Lifestyle and Retail

Tagline/ Slogan

There's smart, then there's K-mart


Promotional Pricing and Weekly Mailers

Kmart STP


Urban Market Segment

Target Corporation Group

Middle Class and Blue Collar customers


Positioning on low price similar to Walmart

Kmart SWOT Analysis


Below is the Strengths, Weaknesses, Opportunities & Threats (SWOT) Analysis of Kmart :

1. Exclusive Product lines like Joe Boxer, Route 66 etc.
2. Most stores being located in urban areas with concentrated populations
3. Special Lay away plan for people who want to pay in installments
4. Excellent customer service

5. Brand loyalty is high among the smaller customer base

6.Brand Equity is high due to early presence in the retail segment

7.Great quality in food and perishable articles


1.Overleveraged financial position, applied for chapter 11 bankruptcy
2.Inability to compete with walmart on price due to poor supply chain systems

3. Closure of stores affected brand


1. Emerging Markets and Expansions abroad
2. Private label growth to enhance brand & margins
3. Opportunity to cater to multi-ethnic groups in US with new ethnic marketing efforts

4. Expand services to culinary schools, healthcare, others

5. Target Corporation newer customer segments during lucrative Black Friday sales

6. Increase market presence through store growth in rural regions where it has a low presence

7. Acquisitions of newer brands and labels can improve sales


1.Economic slowdowns will shift customers to stores with cheaper offerings like walmart
2. Competition from three fronts: high-end (Whole Foods) and price competitive (Wal-Mart and Target Corporation) Increasing Market Share
3. Price wars can drive down already low profit margins

4. External changes (government, politics, taxes, etc)

5. Inability to absorb price increases due to smaller scale vs. national competitors

6. Economic downturn affecting core shoppers’ wallets

7. Declining profits can put pressure on already weak financial positions

Kmart Competition


Below are the 3 main Kmart competitors :

2.Target Corporation


The brandguide table above concludes the Kmart SWOT analysis along with its marketing and brand parameters. Similar analysis has also been done for the competitors of the company belonging to the same category, sector or industry.


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