Just when Kohl’s was trying to get back on its feet, the company is making headlines again—but not for the reasons it hoped.
After years of struggling with store closures, declining sales, and some controversial rebranding decisions, the department store chain is now dealing with a shakeup at the very top.
CEO Let Go After Vendor Favoritism Comes to Light
Kohl’s announced that it has let go of CEO Ashley Buchanan following an internal investigation into alleged conflicts of interest.
According to the company, Buchanan—who had only been in the role for six months—failed to disclose certain relationships with vendors that he reportedly gave preferential treatment to.
This, the company said, violated Kohl’s internal policies.
Though the company didn’t provide deep details about the vendors involved, it was serious enough for leadership to request that Buchanan return part of his signing bonus.
A New Interim CEO Steps In
Taking Buchanan’s place, at least for now, is retail veteran Michael Bender.
He brings experience from big names like Bath & Body Works, PepsiCo, and Walmart.
Kohl’s board of directors seems confident he’s the right person to stabilize the ship.
“The Board has full confidence in Michael to serve our customers and associates,” the company said in a statement.
Investors React with Relief
Despite the drama, Wall Street responded positively to the leadership change.
Kohl’s stock saw a quick 5.6% bump after the announcement, jumping from $6.71 at the start of the day.
That’s a welcome sign for a company that’s been fighting an uphill battle to stay relevant in today’s changing retail landscape.
Store Closures and Strategy Shifts
Even before this leadership drama, Kohl’s has been trying to turn things around.
The company planned to close 27 stores this year, calling them “underperforming,” along with shutting down a fulfillment center in California.
While that might sound like a lot, the closures only affect about three percent of Kohl’s total U.S. store count—roughly 1,150 locations.
To shake up its image, Kohl’s introduced mini Sephora stores and even pop-up Toys R Us sections inside some locations.
But the new direction has left longtime shoppers scratching their heads.
Shoppers Aren’t Sold on the New Look
Not everyone is thrilled about the changes.
Some customers feel like the store they’ve known for decades has lost its identity.
“Why do I want to see Nike and Eddie Bauer in Kohl’s when they’re already everywhere else in the mall?” said Adrienne Cestare-Alfano, a loyal customer for over 20 years.
“Undo the last few years of changes and get back to being my store.”
Ending Amazon Partnership and Other Course Corrections
Kohl’s has already started to walk back some of its recent moves.
One notable shift was ending its partnership with Amazon, which had previously allowed Prime members to return packages at Kohl’s locations—a move that once helped boost foot traffic.
The company also introduced self-checkout stations and refreshed its merchandising approach in 2023.
But with all the change happening so fast, some wonder if the store is trying to be too many things to too many people.
What Comes Next for Kohl’s?
Now that the company is under new interim leadership and rethinking its strategy, all eyes are on what happens next.
Will Kohl’s stick with its transformation plans, or is it time to go back to basics?
Either way, customers and investors alike are hoping the store can figure out what it wants to be—and soon.