Kohl’s is the rare retailer bucking the trend of closing stores despite declining sales at many of its physical locations. Instead, the company has taken a different tack: shrinking hundreds of stores in its 1,160-location fleet from 90,000 square feet or so to 60,000 or so. It is also refining an even smaller 35,000 square foot store model at 12 locations and could roll it out to even more, a move that could increase its store count and allow it to hit new markets, including city centers. The idea is simple: Kohl’s needs the same number of stores to serve shoppers in all corners of the country to maintain brand presence, and more crucially help support e-commerce since more and more shoppers prefer to pick up orders in-store. Rivals Macy’s and J.C. Penney have only replaced a fraction of business lost from stores they’ve closed with online sales. Read more at Fortune.