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Why Sears stinks

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I'm just old enough to remember the Sears Catalog: A tome that arrived with great fanfare once or twice a year. From its pages, my mother would pick out all our school clothes for the year, plus any appliances she needed. I recall my father spending a great deal of time perusing the vaunted tool section. When it was time to buy any kind of large appliance, new washing machine, or new refrigerator, Sears was the obvious place to go. And everybody went. Sears was known for its quality, selection, and customer service.

What happened?

Sears isn't about retail anymore, that's what happened.

I'm no fly on the wall. I can't opine about the back-room financial deals going down at Sears Holdings Corp. (NYSE: SHLD), formed when the venerable-but-aging Sears, Roebuck & Co. merged with troubled K-Mart in 2005. I can only speak from experience as a former Sears' customer who remembers back when the store was actually worth going to.

As a proud member of the backbone of the consumer economy (read: Moms buying for their families and households), I can only say that the last few times I visited Sears were eye-opening. And not in the good way. Hoping to cash in a gift card for some clothes for my kids, I found the place largely empty -- of sales people and customers. The dingy kids' section was in disarray -- clothes were on the floor, some literally in piles on top of tables. I could find nothing worth buying my son or daughter, not socks, not underwear, and certainly not jeans. I left with nothing, feeling certain I would have had better luck at a thrift store. Certainly the prices would be better.

A refrigerator purchase last year has been nothing short of a nightmare, since a small but integral plastic piece broke, prompting Sears to send over an entire new door, which the repairmen then installed wrong...

Suffice to say, this is one customer who will never shop Sears again. In today's top 100 list from the National Retail Federation's Stores magazine, Sears had, not surprisingly, slipped in ranking, falling well behind Wal-Mart Stores, Inc. (NYSE: WMT) and Target Corp. (NYSE: TGT). Target is the new Sears, if you ask me. It gets my business, and the patronage of every single mom I know, every one spending hundreds, if not thousands a year on clothes, shoes and household goods for their families.

Not that Sears cares what a bunch of moms think or do anyway. But that's really all the evidence you need to back up the claim that Sears isn't into retail anymore, isn't it?

"Sears is the one to watch," said Stores' Executive Editor Susan Rada, in an interview with MarketWatch. "It didn't fall dramatically, but I don't know what to expect from Sears anymore."

I do. But I can't write it in a family blog. Rather, let me end by saying I suspect Eddie Lambert, SHLD's chairman and an investor who owns some 42% of SHLD, is letting the retail part of the business die on the vine in lieu of turning the company into an investment vehicle. I'm not the only one to suspect this. The Washington Post thought so too, as it lays out in this article from March, 2007.

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Last updated: July 05, 2009: 09:49 PM

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