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Kmart Upgrades 16 of 300 Stores in ‘Plan C+’ Shift Back to Traditional Front Checkouts

June 11, 2026
01:41 PM
6 min read

Key Points

Kmart has upgraded 16 of its 300 stores, representing 5.3 percent of its network, under the new Plan C+ format.

The company is moving checkouts back to the front of stores after more than a decade of central checkout operations.

The new layout improves merchandising, increases cross-shopping, and is already delivering stronger sales performance.

Kmart plans to expand the rollout to 40 stores by the end of the 2026/27 financial period.

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Kmart has started a significant transformation program by upgrading 16 of its approximately 300 stores under a new retail format known as Plan C+. The move marks a major shift in strategy as the retailer returns checkout counters to the front of stores after more than a decade of using central checkout locations. Recent statements from company leadership indicate that the initiative is designed to improve customer experience, increase sales opportunities, and create a more efficient store layout.

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The change affects around 5.3 percent of Kmart’s store network, making it one of the most notable operational updates the retailer has introduced in recent years. The decision follows years of customer feedback regarding the central checkout model, which many shoppers found inconvenient and confusing.

Why Kmart Is Moving Checkouts Back to the Front

For years, shoppers entered a Kmart store, selected their products, paid at a central checkout area, and then walked toward the exit while often showing receipts to staff stationed near the doors. While the format was originally intended to reduce congestion and improve traffic flow, many customers questioned its practicality.

Under the new Plan C+ model, traditional front checkouts are returning. According to company executives, the updated design offers several advantages:

  • Better space utilization.
  • Improved visual merchandising.
  • Enhanced beauty and fashion displays.
  • Increased customer cross-shopping between departments.
  • Higher basket sizes and stronger sales performance.

The retailer believes the new layout creates a more natural shopping journey while helping customers discover additional products throughout the store.

Facts and Figures Behind the Plan C+ Rollout

The numbers behind the transformation show the scale of the project.

MetricFigure
Total Kmart StoresApproximately 300
Stores Already Upgraded16
Percentage of Network Upgraded5.3%
Additional Stores Planned24+
Expected Total Plan C+ Stores by End of 2026/2740
Checkout LocationFront of Store
Key Focus AreasFashion, Beauty, Customer Experience

The company has already confirmed plans to expand the rollout, with a target of 40 stores operating under the new format by the end of the 2026/27 financial period.

How the New Store Layout Works

The Plan C+ design goes beyond simply relocating checkout counters.

Stores are being redesigned to highlight categories that drive customer engagement and sales. Fashion and beauty products are receiving more prominent placement, while larger products such as furniture are positioned toward the rear of stores.

This approach encourages customers to move naturally through multiple departments before completing their purchases. Retail analysts often view such layouts as effective tools for increasing product discovery and boosting transaction values.

The redesign also introduces:

  • Entry and exit security gates.
  • Improved navigation throughout stores.
  • More open merchandising displays.
  • Enhanced presentation of seasonal and beauty products.

These changes reflect broader trends in modern retail, where physical stores are being redesigned to compete with online shopping platforms.

Customer Feedback Influenced the Decision

One of the strongest drivers behind the checkout relocation appears to be customer feedback.

Since central checkouts were introduced more than ten years ago, many shoppers expressed frustration about the extra walking required after completing purchases. Others disliked having to present receipts while leaving the store after already paying for their items.

Across online forums and social media discussions, customers frequently requested a return to front checkouts. Some shoppers even reported reducing visits because they disliked the store layout. Community discussions have consistently highlighted convenience as a major factor behind customer preferences.

The new Plan C+ strategy suggests Kmart has listened carefully to this feedback while also identifying business benefits from the revised layout.

What This Means for Kmart’s Business Performance

Retail store layouts directly influence customer behavior.

When shoppers can easily navigate a store and quickly locate checkout counters, satisfaction often improves. At the same time, strategic product placement can encourage additional purchases.

Kmart executives have reported that stores operating under the Plan C+ format are already showing positive results. Customers are purchasing more products per transaction and engaging with a wider range of departments. This increased cross-shopping behavior is a key performance indicator for retailers seeking to maximize revenue growth.

The initiative also demonstrates how physical retail remains highly relevant despite ongoing competition from e-commerce platforms.

Kmart’s Position in the Retail Market

Kmart remains one of Australia’s largest discount retailers and continues to compete with major rivals in the value retail segment.

The company has built its reputation around affordable pricing, extensive product ranges, and popular in-house brands. By updating store layouts and improving the customer experience, Kmart aims to strengthen its competitive position in a rapidly changing retail environment.

Although this development is not directly related to AI stocks, stock research, or the broader stock market, investors often pay close attention to operational improvements like these because they can influence future sales growth, customer retention, and profitability.

Store modernization programs are frequently viewed as long-term investments designed to support sustainable revenue expansion.

Future Expansion Plans

The success of the initial 16 upgraded locations is encouraging Kmart to accelerate its transformation efforts.

Management has already committed additional investment toward expanding the Plan C+ model. If current performance trends continue, more stores are expected to undergo similar renovations over the next several years.

The company is also exploring broader retail innovations, including specialized home goods concepts and enhanced in-store experiences aimed at attracting both new and returning customers.

As consumer expectations evolve, retailers that adapt quickly are often better positioned to maintain market share and strengthen customer loyalty.

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Conclusion

The decision by Kmart to upgrade 16 of its 300 stores under the Plan C+ format represents a significant shift in retail strategy. By returning checkout counters to the front of stores, improving merchandising layouts, and focusing on customer convenience, the retailer is responding to years of shopper feedback while pursuing stronger sales performance.

With only 5.3 percent of stores upgraded so far, the transformation remains in its early stages. However, management’s commitment to expanding the program suggests confidence in the results already being achieved.

If successful, Plan C+ could reshape the shopping experience across the entire Kmart network and serve as a model for future retail modernization efforts.

FAQs

Why is Kmart moving checkouts back to the front of stores?

Kmart is relocating checkouts to improve customer convenience, enhance store navigation, and create a better shopping experience while also supporting stronger sales performance.

How many Kmart stores have adopted the Plan C+ format?

As of the latest update, 16 stores have been converted to the Plan C+ format, representing approximately 5.3 percent of the company’s 300-store network.

Will more Kmart stores receive the new layout?

Yes. Kmart plans to expand the rollout and expects around 40 stores to operate under the Plan C+ format by the end of the 2026/27 financial period.

Disclaimer:

The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.

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