Buzz moves beyond fashion as CE picks up shelf space

Home Depot received a lot of attention last year when it began selling plasma TVs and consumer electronics in stores, but the idea of a non-traditional retailer selling CE products is nothing new to Kohl’s, which branched into electronics as a seasonal experiment and now sells a select assortment in many stores year-round.

As a clothing retailer that also carries home decor and other related products, the sweet spot for Kohl’s is lower-priced items that fit into the lifestyle of its shoppers. For the past few years, that sweet spot has been iPods and other mp3 players and accessories.

One of the most successful suppliers for Kohl’s has been SDI Technologies, a manufacturer specializing in mp3 and iPod accessories. SDI has been selling product at Kohl’s since the fourth quarter of 2005 and says the chain is a good fit for its line of fashionable accessories, particularly those sold under the Colortunes banner.

“They [Kohl’s] are very much into the fashion game and they’ve done a great job of supporting our Colortunes line,” said SDI Technologies president Ezra Ashkenazi. “They’ve been great to work with because they do great promotions and they understand quality.”

The Colortunes line includes trendy products like its Protective Speaker Case for iPod that comes in four different colors. The water-resistant cases are designed for use at the beach and around swimming pools, are equipped with a charger and remote control, and retail for $69.99.

Kohl’s also carries speakers and iPod accessories from other suppliers. It has a wide selection of mp3 holders and carrying cases from JanSport, a docking station and music system for iPods from Jensen and an iSoundSpa with an iPod docking station from HoMedics.

Products like mp3 players and accessories fit well with Kohl’s approach of blending non-apparel items into its product mix. The chain tends to place CE in areas where it complements other products. In many stores, CE product are located in a stand-alone merchandiser at the back of the store in the proximity of teen apparel and home decor.

Ashkenazi said SDI sought out Kohl’s as a partner two years ago after testing its products with similar retailers. “We had success with other retailers like Bed Bath & Beyond and Target,” said Ashkenazi. “So we figured Kohl’s would be a good fit—and they have been.”

While Kohl’s doesn’t discuss its strategy regarding consumer electronics, it has dabbled in small LCD TVs during the holiday season and stocks a range of name brand electronics in stores and on its Web site.

They include a wall-mountable mp3 and CD player with speakers from Jensen; a wide variety of mp3 chargers, cases and accessories from Belkin; and a basic digital audio player from GPX for $59.99. Kohl’s also carries CE product outside the mp3 sector. They include clock radios from Timex as well as portable speakers and AM/FM shower CD radios from Jensen.

And on its Web site, Kohl’s sells a select line of CE products that bridge the gap into home entertainment and decor. That list features the Excalibur Electronics classic radio that comes with a powerful AM/FM radio inside of a 1930s-era wood cabinet. It also carries an Excalibur Electronics Plug and Play 10-in-1 game with games built right into the control pad so that no cartridges are required.