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Money & Banking

Frustration continues for Kmart customers over controversial decision

There’s no denying Australians love Kmart, but there’s one thing about the retailer that drives customers’ nuts and unfortunately, it’s not going away anytime soon.

Kmart’s store layout, which controversially places cash registers from the entrance into the middle of stores, has continually been met with overwhelming opposition from customers.

Despite shoppers’ frustrations, today around 165 stores in Australia and New Zealand have been converted, out of a total of about 228 shops across the two countries.

Last year, a news.com.au poll revealed customers’ frustrations, with many labelling the layout “disorienting” and complaining about being “made to feel like a shoplifter” when leaving the store, as security guards have to check customers’ receipts as they leave.

Queensland University of Technology retail expert Dr Gary Mortimer did not understand why the chain has persisted with the new layout in the face of customer backlash.

“The placement of the registers in the centre of the store was a part of a redesign to create ‘worlds’ of merchandise — when they redesigned the new-format store, they’ve put things like home furnishings together, stationery and craft together and they’ve mixed children’s toys, footwear and clothing together to create zones within the store,” he told news.com.au.

“As part of that decision they’ve also placed the registers in the heart of stores rather than around the perimeter which is really quite different to any other retailer in Australia.

“Shoppers have really struggled to comprehend this new location despite having them in place for several years now, because commonly you walk in, select goods and pay on exit.”

Dr Mortimer speculated that Kmart’s decision to change the store layout is too costly to reverse.

 “I would imagine the cost to move the point of sale terminals to the front of stores again would be significant and they’d have to move all of their data and cabling and cash tubes, so I suspect they’ve had a store redesign in mind, they’ve rolled it out and it may be the case where they’ve committed to it in so many stores and that’s why they haven’t retracted,” he said.

“But it is surprising that despite shoppers’ apparent continued frustration and confusion in relation to register locations they haven’t made that move to the front of stores.”

However, Kmart and Target’s senior manager corporate affairs Steve Mann insisted the decision has been a success.

“The plans are still there and it’s going well. Any new store has the new layout and we’re slowly converting old stores to the new design bit by bit,” he said.

“It’s been in place for quite a while now and people are used to it because there are a lot of similar stores that have that layout as well, so people are pretty used to seeing registers in the middle; it’s very familiar to people.

“When it changed over initially it was very different … but it’s been a couple of years now.”

He said moving cash registers to the middle of shops was a matter of aesthetics.

“The rationale is we want the entrance of the stores to be free from clutter and inviting for people, showing off our products rather than registers,” he said.

“JB Hi-Fi and a lot of others have the same model of showcasing great products and inviting people in.

“We’ve noticed the layout is more open now and more spacious without having the registers up at the front part, which can get congested during busy times of the year like Christmas.”

Tags:
Money & Banking, Kmart