First, SHC would seek to build on and ultimately expand Sears' business practice of off-mall stores carrying consumer goods, which was known in the retail world retail like the Sears Grand concept. Prior to the merger, both stores suffered severe losses of consumers to more savvy and innovative rivals, making "traffic building" — market share and customer loyalty — a primary focus. SHC viewed consumables as the road or vehicle that would create and redirect traffic to its stores and felt that the Sears Grand concept would be an effective counter to consumer loss by using experience and know-how of Kmart in consumables and apparel. industry. One of the main goals as a result of this strategy was to open 60 Sears Grand stores by 2006. The second strategy also sought to build on and expand another Sears business practice known as Sears Essentials model stores. These stores were small, focused on convenience, and the intent of this strategy also focused on traffic creation in terms of generating foot traffic from the sale of consumables and pharmaceutical/healthcare and beauty products. The goal was to develop these small stores outside of a mall context by rapidly renovating some Kmart stores (approximately 400) that were located in high-density major urban and suburban areas characterized by consumer demographics and income levels similar to those of the typical Sears shopper. . Similar to Sears Grand stores but on a smaller scale, Sears Essential stores were intended to offer a variety of merchandise and also featured a checkout counter and centralized customer service center. As a large retailer, the small-store concept would allow SHC to compete with specialty retail stores in various geographies…middle of paper…, which could ultimately be passed down to consumers in the form of lower prices . A lower pricing strategy would put SHC in a position where it could compete better and more effectively against Walmart, which in turn would be better for consumers due to the increased competition. The sixth primary strategy focused on demographics from a cultural and ethnic perspective. A market analysis showed that Sears' consumer base consisted of large numbers of African Americans and Latinos, and that the same demographic made up the majority of consumers at Kmart's numerous downtown locations. Therefore SHC would be able to market and emphasize clothing labels that had the ability to appeal to a multicultural audience, which was already a natural composition of both companies' consumers. This was also seen as a stepping stone to gain a better position in the minority market.