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<< Previous   of   Next >>   ADVERTISEMENT   CONTACT THE HERALD Mike Benbow, Business Editor benbow@heraldnet.com   Published: Saturday, November 15, 2008 Retail store layaways get another look Local shoppers like the "pay as you go" programs offered at such stores as Kmart. By Michelle Dunlop Herald Writer EVERETT -- At Kmart's layaway counter Wednesday afternoon, Calley Robinson's cart contained an Easy-Bake oven and several other toys. Like many consumers, Robinson is getting a head start on her holiday shopping. And after seeing Kmart's TV commercials about its layaway service, the Everett resident decided to give the old "pay as you go" program a try. With a tightening economy, Kmart is hoping to attract customers like Robinson who still plan to spend but are looking for new options. Robinson had never used the store's layaway program but thought layaway would serve as a good alternative to credit cards. "It just seems really convenient," she said. Robinson said she typically pays for her holiday shopping with cash. But the store's layaway program allows her to put aside the bulk of her gifts at once rather than making several trips over the holiday season to stores. Layaway is nothing new to the Kmart on Evergreen Way in Everett, where Tracy Darby handles the program. The retailer has offered layaway the last eight years that Darby has been employed there. But Darby has noticed an upswing in people using the delayed payment program this year. In recent weeks, the store completed 25 to 30 layaway transactions daily. "We seem to have more layaways this year," she said. Darby isn't sure if the increase in layaway customers can be attributed to tough economic times or the retailer's layaway advertising campaign. Or, Darby suggested, it may be because Kmart is one of the few stores that offers layaway. Kmart charges a $5 service fee for the program and requires a minimum of $15 or 10 percent of the purchase total as a down payment. Layaway customers make payments every two weeks over an eight-week time frame. Customers considering layaway at Kmart will want to act soon. The company won't place on layaway home electronics valued at $200 or more beginning Saturday. And "we're not taking any new layaway plans from Dec. 12 to Jan. 2," Darby said. Sears, which shares the same parent company as Kmart, also announced Wednesday it would provide customers with a layaway program. The Sears layaway program started Friday and excludes home electronics and home appliances. The store did away with layaway on all items except jewelry in 1989. "Going into the holiday season with the economic uncertainties we all face, we just wanted to be very mindful and attentive and help support our customers," said Sears chief marketing officer Don Hamblen. Major retailers aren't the only ones treading back into the layaway waters. Small, locally-owned businesses like Center Field Sports have decided to give layaway a try this holiday season. Ben Greaby has operated the store at the Everett Mall location for the past three holiday seasons. The shop for sports fanatics features items like a $60 baseball signed by Mariners pitcher Felix Hernandez, a $199 football signed by Seahawks quarterback Matt Hasselbeck and a $6,499 baseball signed by the New York Yankees team in 1951, which was Mickey Mantel's rookie year and Joe DiMaggio's last season. Despite the tenacity of Northwest sports fans, Greaby decided to implement a layaway plan because of the general state of the economy and the Boeing Machinists' strike. The store doesn't charge a service fee to put items on layaway. However, the merchandise must sell for a minimum of $100 to qualify for layaway. Center Field Sports also requires a down payment of 20 percent of the total with the balance to be repaid over 90 days. "People can't afford to spend a couple hundred dollars at one time," Greaby said. The Associated Press contributed to this report. Reporter Michelle Dunlop: 425-339-3454 or mdunlop@heraldnet.com. READER COMMENTS Be the first to comment. You must be a registered user and verify your e-mail address to post comments to blogs or articles on HeraldNet. To register, click here. To read other terms and conditions, click here. Log out

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