by Christopher Freeburn | August 23, 2013 10:19 am
Once upon a time, Sears (SHLD) was the go-to store for many Americans looking to buy an refrigerator or dishwasher and the retailer’s Kenmore line of appliances was a formidable industry presence. But in recent years, that dominance has faded.
Just over a decade ago, Sears sold 40% of all appliances in the U.S., compared to just 10% for the second-ranked appliance retailer, Lowes (LOW), and 4% for Home Depot (HD). But in the last twelve months, its share had fallen to just 29% of appliance sales, with Lowe’s jumping to 19% and Home Depot rising to 12%, the Wall Street Journal notes.
Appliances still account for 18.8% overall sales at Sears, but the chain is clearly stumbling. In its most recent quarter, lower appliance sales contributed to a decline in same-store sales.
So, how did Sears bungle its market lead in appliances? The Wall Street Journal identifies 5 reasons:
Shares of Sears fell more than 1% in Friday morning trading.
Source URL: https://investorplace.com/2013/08/whoopsie-5-reasons-sears-lost-its-lead-in-appliance-sales/
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