Kmart will open its first standalone home store, K Home, at Box Hill South in Melbourne's east on June 18. The trial store will focus on larger furniture items, curated displays, and room-based inspiration, with most products not available in regular Kmart stores.
Key Details
- K Home will feature a more immersive home environment compared to traditional Kmart stores.
- The trial aims to test demand for Kmart's home range as a separate retail format.
- Kmart chief commercial officer Callum Smith stated the store will help understand how customers prefer to shop for home items.
- The store emphasizes value for families.
Expert Opinions
Colliers commercial agent Jake Beckwith said K Home could compete with Ikea, Amart Furniture, and Freedom, rather than Spotlight.
Beckwith noted Kmart's ability to quickly refresh products and choose strategic locations will be crucial for potential expansion.
Vanta Advisory buyers agent Alex Groh stated the concept could attract foot traffic to a physical retail destination, which is often challenging for large-format retailers.
Groh added that K Home must differentiate itself from regular Kmart while leveraging the parent brand's appeal.
Background
The trial comes as discretionary spending remains under pressure in the furniture market, with established brands like Focus on Furniture and Nick Scali present.