Kmart dumps logo and slogan as recovery builds

Kmart has ditched its 'Right here. Right now' advertising slogan and is tweaking its logo in a renewed effort to get shoppers through the door.

The retailer has struggled to communicate the right message to its customers, frequently changing slogans such as 'Blue Light Always' in 2001 and 'Stuff of Life' in 2002.

Kmart has yet to reveal the latest motto, according to US press reports.

However, the latest logo is understood to be a red block K with the word Kmart underneath in small block letters. A spokesman told reporters that the changes were more 'lifestyle oriented'.

M+M Planet Retail global research manager Bryan Roberts said the marketing push was needed, but that it was a drop in the ocean.

He pointed to fundamental problems in product, pricing and store design as priorities for the Michigan-based chain.

'It's a bit like rearranging the deckchairs on the Titanic,' said Roberts.

'They are under such pressure from Target and Wal-Mart. Although they are improving the bottom line, it's going to take something more than a new slogan.'

In January 2002, Kmart went into Chapter 11, before coming out in May 2003. It bounced back to post a profit in the 13 weeks to April 28, but like-for-like sales were down 12.9 per cent in the same period.

Operating income for the first quarter was US$165 million (£89.6 million), compared with a loss of US$39 million (£21.2 million) last year.