On Sunday, while most of America was recovering from Fourth of July fireworks and cookouts, the Hoffman Estates-based retailer launched an online boutique called Christmas Lane at Sears.com and Kmart.com. It also set up Christmas decor shops at 372 Sears stores, including one at Woodfield mall in Schaumburg.

Sears typically waits until Nov. 1 to unveil its holiday merchandise, said Sears spokeswoman Natalie Norris-Howser. But with the recession putting a crimp in spending, the retailer is hoping to attract holiday shoppers early.

"This is the first year we've done the Christmas Lane event," said Norris-Howser. "We're allowing customers to put these items on layaway and pay over time."