Running head: MOBILE USAGE IN KOHLS RETAIL ENVIRONMENT

Mobile Usage in Kohls Retail Environment

RM 4117W Retail Environments and Human Behavior- Research Paper
Emma Shulfer
University of Minnesota- Twin Cities

MOBILE USAGE IN KOHLS RETAIL ENVIRONMENT

Mobile Usage in Kohls Retail Environment

Introduction
In this new omnichannel retail reality, the boundaries between virtual and physical space
are becoming blurred and retailers like Kohls are being forced to question the role of mobile
usage and its function in the store environment. Mobile technology, however, can turn the
norm upside down, creating a completely new and refreshing brand interaction. The role of
mobile commerce isnt limited to purchasing merchandise on smartphones and tablets.
The in-store path to purchase is a long and windy road these days. A customer who walks
into a Kohls store will most likely check his or her smartphone for a price comparison not to
mention all those texts and emails. Theres no doubt that customers are a distracted bunch. But
Kohls shouldnt try to fight the distraction; they should embrace it by developing a great in-store
mobile experience.
Kohls consumers use their mobile phones in a variety ways in their brick and mortar
stores. Although, currently Kohls has a disconnect between their mobile and brick & mortar
channel. In their brick & mortar channel, Kohls provides digital Kiosks to assist in searching
for inventory and locating the size and color you need at Kohls.com if it is not in-stores. In
addition, Kohls recently provides their customer with free Wi-Fi in-store. This is an immediate
opportunity to proactively encourage consumers to engage with the retailers mobile-enabled
web sites and apps. In their mobile channel, they currently have an online shopping application
that provides Kohls consumer another shopping channel, along with a wallet to store Kohls
cash. Their online social media mobile presence consists of Twitter, Pinterest, Facebook,

MOBILE USAGE IN KOHLS RETAIL ENVIRONMENT

Youtube, Instagram and Google Plus. All channels encourage brand interaction, but the channels
dont interact with each other.
In order for Kohls to sustain a competitive advantage, it is key for Kohls to have
knowledge of their consumers mobile usage in their store environment. A new study done
from a mobile commerce technology vendor Usablenet Inc. indicates 30% of U.S. with
smartphones uses their devices in stores to help with shopping. They also conducted in-person
interviews with employees, and surveyed 1,500 respondents on their use of smartphones in stores
for its research. They found that consumers who use their smartphones while in a store use them
primarily for messaging/e-mailing a friend (84% U.S.) using social networks (64% U.S.)
comparing product prices (71% U.S.), and checking customer reviews (51% U.S.) (Evans, 2013).
The understanding of Kohls consumers mobile usage, could result in an in-store shopping
experience that successfully integrates their mobile, online, and brick & mortar channels, which
could increase consumers product awareness and engagement in-store and online.

Research Questions
Mobile integration can help maximize the space Kohls has available, leaving room for
the type of shopping experience customers increasingly want, which is much more than just
picking products off the shelf and paying for them . Kohls currently has effective online and
mobile channels, but it is not integrated in their brick and mortar channel.
My main questions are as follow:
(1) What form are Kohls women consumers using their mobile phone in-store?

MOBILE USAGE IN KOHLS RETAIL ENVIRONMENT

(2) How long is the Kohls women consumer using their mobile phone in-store?
(3) Where are the Kohls women consumers using their mobile phone in-store?
(4) Are Kohls women consumers being distracted when using the mobile phone in-store?

Literature Review
The Digital Women Consumer
Research has found that women are more likely to interact with brands via social media
than men. More than half of women use social media to show support and access offers from
brands, while less than half of men are using social media in the same way. Women also use
social media to stay current with brands and comment on their favorite brands more than men do
(Crook, 2014). Social media is clearly here to stay and the nature of it will probably always make
it more appealing to women than to men.
A new study by Deloitte Digital has found, the web and mobile devices are affecting
shopping in physical stores to a greater extent than retailers may realize. Consumer activity on all
devices computers, tablets, and phones is influencing 36% of brick-and-mortar retail sales.
That has risen stratospherically since 2012, when digital activity impacted just 5% of physical
store sales. By the end of this year that will reach 50%, Deloittes researchers believe. Digital
shoppers buy 40% more often in a physical store than online or through an app, and 84% of
digital shoppers use their devices before or after store visits. And a whopping 75% say that
product information they found on social media networks influenced their shopping behavior,
and in some cases cemented brand loyalty (Lobaugh, Simpson, & Lokesh, 2014). Kohls should

MOBILE USAGE IN KOHLS RETAIL ENVIRONMENT

put its first efforts to the right ones that will successfully grow its mobile presence in-store by
utilizing their current social media channel and integrating it in-store.

Mobile Usage Distraction in the Store Environment

The dual tasks of interacting and shopping in a retail environment along with managing a
concurrent cell phone conversation may represent a kind of cognitive overload for the phone
user. Cell phone users tend to be less aware of their surroundings (Meyerowitz, 1985). This may
lead to reduced attention to and awareness of certain features in the local social interaction
(Bergvik, 2004). This phenomenon is called the fragmentation of attention in mobile interaction
and demonstrates that mobile users engage in strategic withdrawal of cognitive resources from
competing tasks that they deem less important. Hence the slowing down of pace in walking by
pedestrian sending a text message on the cell phone or the reduction in the exuberance of ones
greeting of an acquaintance on the street while one is chatting on the phone (OUlasvirta, 2005).
Therefore, mobile phones can cause distraction or lack of involvement and awareness of
the store environment due to the consumers limited capacity. This variable captures the idea that
while on the mobile phone, consumers are less accessible to their immediate external
surroundings, which can lessen product awareness and engagement.

Mobile Integration in Store Environments

The two spheres of store experience and online experience will continue to overlap. The
trend for consumers to conduct their shopping simultaneously in-store and online will accelerate
as mobile devices become cheaper and their users grow more attached to them. For example,

MOBILE USAGE IN KOHLS RETAIL ENVIRONMENT

Clothing retailer Downeast recently promoted a new developed app in their dressing rooms and
jewelry mirrors called ThisThat. The Shopping Decisions App from photo sharing app and
scanning developer allows customers to tap their friends for advice by sending photos of
products theyre thinking of buying. Downeast found that 58% of indecisive shoppers who used
ThisThat app decided in favor of buying a product after getting friends' feedback (Howland,
2014). Getting a friends impression of something you want to buy, especially clothing, is
nothing new. Online reviews have become a staple of online shopping, but this app enables
shoppers to get that old-fashioned feedback from trusted friends. Its more fun and probably
more helpful, so its no wonder that Downeast has found that people using it are more likely to
walk out of the dressing room ready to buy the piece theyve tried on. This is a prime example of
mobiles potential to enhance a shoppers experience in a way that translates to sales (Howland,
2014). To create the best shopper experience, omnichannel retailing must be about delivering
incredible, seamless service. Digital integration has to both fit within the brand and provide a
service that helps make the shopper journey more engaging, as well as more efficient.
One of Kohls top competitors Target launched a mobile application called Cartwheel that
provides mobile digital integration in-store. Target customers choose from hundreds of exclusive
discounts between 5% and 50% off, all available on your computer or mobile device. The app
keeps your discounts neatly organized, all ready for their customers next Target run. The
customer selects the offers they want, add it to their Cartwheel, and scan barcode from the app on
your next trip. With the one barcode scan, the sales associate scans the mobile device and the
customer automatically receives all the discounts in their Cartwheel (Target, 2014). This is a
mobile strategy that is enhancing the customers shopping experience in which a customer a fun

MOBILE USAGE IN KOHLS RETAIL ENVIRONMENT

mobile way to save money. In addition, the customer is able to interact with Targets products,
and purchase products that they may have not known they needed.

Mobile Integrated Merchandising in the Store Environment

Merchandising must be more intelligent and deliberate than ever before. Digital
merchandising tools allow retailers and brands to influence every touch point the product has
with the consumer, from in-store to online to mobile (Ezekiel, 2013). The store design should at
some point focus on what a mobile-integrated environment could do to enhance the shopping
experience. Therefore, retailers need to look at their store layout and identify areas to engage
their consumer in. It could be from looking at clothing in different colors, or getting more
information about that bottle of wine with the awesome label (Ezekiel, 2013). For example,
Nordstrom is one retailer that is incorporating social media into their merchandising in brick and
mortar stores. The brand has recently added label to items in store that have been pinned the
most on Pinterest. This continues social media and mobile engagement, and fosters a sense of
urgency and leverages sales.
Method
I conducted three observational studies in-store at Kohls and observed 48 women. I
observed twice at the Kohls in Roseville, Minnesota, and once at the Kohls in Stevens Point,
Wisconsin. I did each of my observational studies on different days of the week and at varying
times of the day. My data collection consisted of observing four variables of the Kohls women
consumer (see Table 1on p.14). When conducting my observational study, I was observing
Kohls women consumer who ranged between the ages of 18-50 years olds who were using their

MOBILE USAGE IN KOHLS RETAIL ENVIRONMENT

mobile phone in-store. Once I observed a subject on her mobile phone, I would follow her
throughout the entire store observing the four variables until the duration of her mobile usage
ended.
The first variable I observed was the form of mobile usage in-store whether it was a
consumer talking, holding, or checking their mobile phone. The second variable I observed is
where the customer used their mobile phone in-store. The third variable I observed is the
duration of how long the customers used their mobile phone in-store. Lastly, the fourth variable
I observed was if the Kohls consumer was distracted by their mobile phone. To identify if the
Kohls consumer was distracted by their mobile phone, I observed if the consumer demonstrated
any strategic withdrawal of cognitive resources from their shopping task throughout their
duration of using their mobile phone. Cues of distraction were the lack of involvement with
Kohls merchandise and the consumers limited awareness to the store environment. Measuring
these variables gave me insight on how the Kohls consumers are using their mobile phones instore and areas in the store where Kohls could increase brand engagement and awareness with a
mobile phone.

Pilot Study
I observed ten Kohls customers at the Roseville store in Minneapolis, Minnesota for my
pilot study. My pilot observed Kohls women consumer in the womenswear department that
featured brands Elle, Jennifer Lopez, Sonoma, and Apt 9. I observed that the Kohls consumer
was not necessarily using their mobile phone in one specific area of the store. In addition, I

MOBILE USAGE IN KOHLS RETAIL ENVIRONMENT

observed that the consumers mobile phone was a distraction in the store environment rather than
an aid in their shopping experience. Therefore, in my observational study I did not focus my
study just in the womenswear department and observed mobile usage in the entire store. And I
would question if mobile usage is a distraction and decreases product engagement and awareness
in-store.
Data Analysis and Results
I analyzed the data using Excel software. The sample size of 48 Kohls consumers is an
adequate sample for this observational study. I tested all the variables using descriptive statistics.
Most of the women I observed were using their mobile phone for other purposes than
using it as an aid in shopping. The variable of checking your mobile was the highest among the
variables (see Figure 1 on p. 14). 54% of Kohls consumers were checking their mobile phone
for notifications, text messages, and emails. On only two occasions did I note Kohls consumer
checking their Kohls mobile application shopping app.

21% of Kohls consumers used their

mobile phone for talking. Several consumers who talked on their mobile phone used it to locate
a person in-store that they were shopping with. 25% of consumers held their mobile phone. In
addition, 72% of consumers who held their mobile phone held it throughout their entire shopping
experience at Kohls. Most of these consumers did not bring in a purse with them to shop.
When observing Kohls consumer on their mobile phone, the length of time varied
between consumers (see Figure 2 on p. 14). The duration of their mobile phone usage correlated
with how they were using their mobile phone. When Kohls consumers were checking their
mobile phone, 64% spent one to five minutes of mobile usage in the store environment. When

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consumers held their mobile phone, 83% of consumers spent over 10 minutes holding their
mobile phone in-store. And 60% of their consumer talking on the phone talked for a duration
between one to five minutes.
Kohls consumer used their mobile throughout the entire store (see Figure 3 on p. 14).
43% of Kohls consumers used their mobile phone in the racetrack aisles of the store. The outer
aisles provided more space for the consumer to stop, and use their mobile phone. When Kohls
consumers used their mobile phone in the checkout line or fitting room, it was primarily to pass
time away because they were either waiting to be checked out or waiting for someone to finish
trying on in the fitting room.

31% of consumer used their mobile phone throughout the entire

store and constantly had their phone in hand to be ready for any notifications that they would
receive while shopping in-store.
Mobile phones were more of a distraction than a benefit to Kohls consumer in-store
experience. 69% Kohls consumers were distracted when using their mobile phone in-stores.
When the consumer was using their mobile phone, they ignored the merchandise, and were
focused on their mobile rather than shopping (see Picture 1 on p. 14).

Discussion & Practical Implications

In this study, I identified and explored the mobile usage of women in Kohls store
environment. The various forms of mobile usage results in the Kohls women consumer being
distracted in-store. This research confirms that consumers are using their mobile phones while
shopping. Therefore, Kohls needs to transform their in-store shopping experience to promote
brand engagement using a mobile phone rather a mobile phone just being a distraction in-store.

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For shoppers, the look and feel of shopping will continue to change as many existing
retail concepts meet the end of their shelf life. Kohls will have to innovate continuously as an
increasingly digital environment gives shoppers dramatic new choices. There are several
opportunities Kohls could engage their women consumer with their products with the use of a
mobile phone. Outer aisles and high waiting areas in the store could provide an opportunistic
checkpoint to integrate mobile touch points to increase product awareness and brand
engagement.
Kohls also needs to develop a strategy that takes into account their consumers in-store
and mobile needs. In addition, they need to incorporate all of their channels in-store. From this
study, the highest percentage of consumers were checking their mobile phone. Kohls could see
this as an opportunity to send push notifications while Kohls women consumers are shopping instores to suggest products or promote deals throughout the store. Since women are the heaviest
users in social media, social media can be a valuable digital tool in-store for both women
consumers and Kohls. In a preferred scenario, product information, style expertise (from
bloggers, designers, etc.), and personal recommendations from trusted friends and family
members can be integrated strategically into the broader shopping experience. To drive traffic to
the Kohls store, be creative and confident in promoting relevant products to their customers
through social media. The trick is to connect the dots along Kohls customers purchase journey
and to engage with them consistently, yet also in a moment-appropriate way.
Future Research
This observational study was to present a broad base of mobile usages in Kohls store
environment. There were limitations to this observational study. Mobile usage is high in store
environments, but one thing I could not observe is how consumers are using their mobile phone.

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I could only measure certain variables by just observing. On a few occasions, I saw consumers
mobile screens and what applications they were using on their mobile phone. For retailers to
know what strategies to implement in-store, they should look at what consumers are doing on
their mobile phone whether it be price comparing shopping, checking social media, or just text
messaging.
Therefore, in further studies I would examine how consumers are using their mobile
phone and how it affects their shopping experience. In addition, looking at different types of
shoppers and their motivations behind mobile usage in the store environment. For example, I
saw several men using their mobile phone in the fitting room area, waiting for their female
shopper to finish trying on clothes. Would the integration of mobile phone interaction in high
waiting areas in stores increase brand engagement? These are just a few exciting avenues for
future research.
References
Bergvik, S. (2004). Disturbing cell phone behavior A psychological perspective. Implications
for mobile technology in tourism. Retrieved from World Wide Web:
http://www.telenor.com/rd/pub/rep04/R_29_2004.pdf
Eddy, N. (2014). Smartphones Drive Holiday Retail Traffic, Tablets Drive Sales: IBM. Eweek, 8.
Evans, K. (2013). Mobile Devices Can Help Drive Sales. Internet Retailer. Retrieved from
https://www.internetretailer.com/2013/11/14/mobile-devices-can-help-drive-store-sales
Ezekiel, Chris. (2013). Customers Experience Technologies That Are Reshaping the Retail
Environment. Retail TouchPoint. Retrieved from
http://www.retailtouchpoints.com/executive-viewpoints/2644-three-customer-experiencetechnologies-that-are-reshaping-the-retail-environment
Geddes, D. (2011). The changing face of retail The store of the future: the new role of the store
in a multichannel environment. Deloitte. Retrieved from
http://www.deloitte.com/assets/Dcom-Germany/Local
%20Assets/Images/06_CBuT/2013/CB_R_store_of_the_future_2013.pdf

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Howland, D. (2014). ThisThat mobile app a friend to shoppers in stores. Retail Dive. Retrieved
from http://www.retaildive.com/news/thisthat-mobile-app-a-friend-to-shoppers-instores/232966/
INSIGHT: The shopper journey is in-store and online. (2011). Design Week (Online Edition), 18
Kohls. (2014) Try our In-store Kohl's Kiosk!. Kohls.com Retrieved from
https://cs.kohls.com/app/answers/detail/a_id/640/~/try-our-in-store-kohls-kiosk!
Lobaugh, K. Simpson, J. & Lokesh, O. (2014). The New Digital Divide: Retailers, shoppers, and
the digital influence factor. Deloitte Consulting. Retrieved from
http://www.deloitte.com/assets/Dcom-UnitedStates/Local
%20Assets/Documents/us_RD_Thenewdigitaldivide_041814.pdf
Meyrowitz, J. (1985). No sense of place: The impact of electronic media on social behavior.
New York, NY: Oxford University Press.
Omotayo, B. (2008). Cell Phone Usage and Social Interaction with Proximate Others: Ringing
in a Theoretical Model. The Open Communication Journal 2, 127-135. Retrieved from
http://benthamsciencepublisher.com/open/tocommj/articles/V002/127TOCOMMJ.pdf
Oulasvirta, A. (2005). The fragmentation of attention in mobile interaction, and what to do with
it. Interactions: New Visions of Human-Computer Interaction 12(6), 16-18.
Target. (2014). Cartwheel: Start Saving on Things that you Buy. Target.com. Retrieved from
http://cartwheel.target.com/
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MOBILE USAGE IN KOHLS RETAIL ENVIRONMENT

Appendix
Table 1. Items Used to Measure Various Constructs of Mobile
Usage In-Store
Distract
ion

Usa
ge
Ye
s
N
o

Durati
on
Talking
Checki
ng
Holdin
g

Whe
re
0-1 min
1-5
min
5 - 10
min
over 10 min

Aisle
end cap
fitting
room
Checkout
Store

MOBILE USAGE IN KOHLS RETAIL ENVIRONMENT

# of Kohl's Consumer

15

30
25
20
15
10
5
0

Form of Mobile Usage

Figure 2: Form of Mobile Usage in Kohl's Store

Environment

Figure 1: Form of Mobile Usage Duration of Time

20
15
# of Kohl's Consumer

10

0-1min

1-5min

0
Checking

5-10min
over 10 min

Form of Mobile Usage

Store
Fitting room
Location

End cap
Check out
Aisle
0

10 15 20 25

# of Kohl's Consumers

Figure 3: Mobile Usage Location

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Picture 1: Kohl's Consumers Distracted by Mobile Usage

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