Jail time probably won’t hurt sales of Stewart brands

DETROIT – Dust off the old jokes about decorating for small spaces and revive those e-mails showing tastefully outfitted jail cells decked in throw pillows and chintz. Martha Stewart is going to jail.

If her appeal fails, the doyenne of domesticity would spend five months in prison. That might be bad news for Stewart and her media empire. But it is unlikely to make a dent in sales of Martha Stewart products at Kmart.

Which is a good thing, because Stewart’s Everyday brand products are everywhere in Kmart stores.

From dish drainers to picture frames, the familiar pale green label can be seen in virtually every aisle devoted to home furnishings. Nothing is too small to escape Stewart’s attention. The ultimate hostess has lent her name to latex shelf liners, slotted spoons and trashcans and, of course, sheets and towels.

After her sentencing Friday, Kmart Holding Corp. reiterated its commitment to her company.

“Martha Stewart Living Omnimedia is a valued brand partner of Kmart,” the retailer said in a statement. “We look forward to continuing our mutually beneficial and successful relationship.”

The Troy, Mich.-based retailer has exclusive rights to Martha Stewart Everyday.

In its most recent quarterly report, Kmart said Stewart’s arrest and conviction had not had “any significant adverse impact … on the sales of Martha Stewart Everyday brand products.”

The retailer said it couldn’t predict the ultimate effect on future sales. Kmart stock closed Friday down $2.18 to $77.06.

If customers at the Kmart in Madison Heights, Mich., are any indication, the chain has little to worry about.

“What’s done is done,” said long time Kmart shopper Janet Box as she loaded a Martha Stewart storage bin into her shopping cart. “I buy it because I like it. I prefer her products to others because it has better quality and design.”

Royal Oak, Mich., resident Maxine Frison buys Martha Stewart products — mostly kitchen and bathroom — from time to time. “I love her towels,” she said.

While she is aware of Stewart’s conviction and sentence, she said she thinks of it “not at all” when shopping.

“Nobody’s perfect,” she said. “We all make mistakes.”

Far from tarnishing her image with loyal shoppers, Stewart’s transgressions might make her more endearing to fans because they make her more human, said Bruce Scott, associate professor of marketing at Northwestern University’s College of Business Administration.

“She’s suffering, and that makes her more human in some sense,” Scott said. “Maybe some of those loyalists will identify more with her – she’s flawed in a way she wasn’t before.”

Scott said Stewart loyalists are likely to keep buying her products. “It would be different if she were accused of something having to do with the product – like using child labor or something,” he said.

Karen Parker doesn’t usually shop at Kmart, but the Royal Oak resident was having a bad day at the office and decided to check out a sale Friday. In her cart was a package of navy blue pillowcases from Martha Stewart.

“If (her products) cost a lot of money, I’d think twice, but they were on sale,” she said.