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Entries in JCPenney (8)

Friday
Apr292016

J.C. Penney is Expanding it’s Relationship With Sephora

J.C. Penney’s successful 10-year relationship with global beauty brand Sephora is expanding. Sephora currently has over 1,780 locations in 29 countries including 370 in North America and 546 in-store shops inside J.C. Penney stores. The department store retailer announced that it will open 60 additional Sephora shops in Penney stores by June 17th. Among the new shops will be a 3000 s. ft. flagship shop located in the newly relocated Penney at Northridge Mall in Salinas, CA. It will feature a larger assortment of emerging brands, merchandise displays and expanded room for service.

When Sephora made its debut inside J.C. Penney in 2006, it was a new concept.   

“J.C. Penney was one of the first department store retailers to forgo the traditional beauty counter and work with a global beauty brand to build a dynamic Sephora shop inside its stores,” Angela Swanner, senior VP for Sephora inside J.C. Penney. “Ten years and nearly 600 locations later, Sephora inside J.C. Penney has become a leading beauty destination that will continue to be a growth driver in 2016 and beyond."

The Penney-Sephora partnership isn’t limited to physical stores. Sephora also has a significant online presence on Penney’s e-commerce site.

Source: Chain Store Age

Tuesday
Mar012016

J.C. Penney Reports Strong Q4 Sales and Reveals “Penney Days” Promotion

Last Thursday, J.C. Penney announced impressive increases in same-store sales and earnings, as well as a new marketing campaign called Penney Days.

For the fourth quarter ending on January 30th, the retailer announced that same store sales grew 4.1% . “We are very pleased with our performance for the fourth quarter and full year. Our focus on private brands, omni-channel and revenue per customer is clearly resonating as we continue to win market share in a competitive environment," said Marvin R. Ellison, CEO. "We are also pleased that we delivered strong fourth quarter results while effectively managing our inventory, which finished the year up 2.6 %. I would like to thank our over 100,000 associates who embrace our strategy and come to work each day focused on driving sales and providing excellent customer service.”

They also announced a new promotional event called Penney Days. At different times throughout the year they will make limited number of some of their highest rated private brand items available for one cent. The new campaign will give J.C. Penney the opportunity to showcase the company’s assortment of private brands and it will give customers the opportunity to try them for just a penny.  J.C. Penney will promote Penney Days through television spots, weekly sales circulars and digital marketing. They will also launch a social media campaign reminding users of the power of a penny and will promote the hashtag "#SoWorthIt" with all elements of the campaign.

Monday
Oct262015

JCPenney, WalMArt and Dollar Tree Make Job Cuts to Corporate/Non-Store Positions

Walmart recently announced cuts of 450 positions at its headquarters. Dollar Tree announced the elimination of 370 positions (115 of those unfilled currently) at its headquarters. JC Penney followed suit, announcing plans to cut 300 of its 3,400 home office positions. All are stating cuts are to reduce expenses.

JC Penney still plans to hire 30,000 seasonal workers at the store level. In a statement the company said JC Penney is working to achieve its financial growth targets, and it is essential that operations align with the strategic priorities of the company. Over the last several months, the company has been evaluating its home office structure to identify opportunities for greater simplification and higher productivity.

Walmart’s announcement indicated the job cuts are coming at a time when Walmart is investing billions into its e-commerce to better compete with Amazon. “Our customers are changing, retail is changing and we must change. We need to become a more agile company that can easily adapt to shifting customer demand,” CEO Doug McMillon told about 18,600 employees at its headquarters.

Sources: Chain Store Age and Fortune

Monday
Aug102015

Analysts Project Retailer Earnings Trends Before Announcemnets This Week 

Dropping tourism numbers and consumers saving rather than spending money saved from lower gas prices will affect retailer earnings announcements, say industry analysts.

Several retailers will be making earnings announcements this week: Macy’s on Wednesday, Dillard’s, Kohl’s and Nordstrom on Thursday, and JC Penney on Friday. Analysts report that value retailers with loyalty programs like Kohl’s should report better results than others.

Although retailers saw a weak first two quarters of 2015, analysts are optimistic about the second half of the year looking better. In the apparel and general merchandise category, jewelry is doing well and cosmetics are doing extremely well.

 

Source: CNBC

Thursday
May142015

JCPenney and Macy's Report on Q1 Results 

JC Penney Co. exceeded analysts’ estimates for Q1, showing smaller than expected losses/ Penney posted a loss of $167 million in the quarter ending May 2, compared to a net loss of $352 million Q1 2014. Women’s apparel, men’s and home were the company’s top performing merchandise divisions. Sephora inside JC Penney, available in 515 locations, also showed strong performance.

“Our exceptional customer experience, when combined with our strength in private brands, national brands and points of differentiation like Sephora inside J.C. Penney and the Disney Collection, give us confidence in our ability to earn customer loyalty and deliver on our long term goals,” he said. “In fact, based on our results to date, including a strong Easter and Mother's Day, we feel confident in raising our 2015 expectations for sales, gross margin and SG&A." The company expects same store sales to increase 4-5%.

Macy’s net income fell 13% to $193 million from $224 million in Q1 2014. Same store sales declined 0.7%.

“We fell short because of a confluence of factors,” said Terry J. Lundgren, Macy’s chairman and CEO. “Delayed merchandise shipments from the West Coast port slowdown and severe winter weather early in the quarter restrained business levels. Moreover, sales were negatively affected by lower levels of spending by international tourists visiting major U.S. cities with flagship Macy’s and Bloomingdale’s stores, including New York City, Chicago, Las Vegas and San Francisco.”

Macy’s is still pursuing a new store strategy, planning to open 32 new stores by 2018. Macy’s expects total sales growth of 1% and same store sales growth of 2% in fiscal 2015.

Source: Chain Store Age

Thursday
Apr302015

JCPenney Grows Sephora Inside JCPenney Partnership

Starting May 1, J.C.Penney Co. Inc. is expanding its in-store partnership with Sephora, introducing Sephora to 25 additional J.C. Penney stores. Since the exclusive partnership began in 2006, more than 500 J.C. Penney stores feature a full-service Sephora offering.

In addition to these openings, J.C. Penney will expand its square footage of Sephora inside 6 of  its existing locations to an average of 3000 sq. ft. J.C. Penney hopes the expansion to new and smaller markets, as well as its growth of current space, will expand J.C. Penney’s reach as a destination for beauty.

"Sephora is one of the most powerful and exciting beauty concepts in the world, and we want to leverage that reputation to drive the growth of Sephora inside J.C. Penney,” said Ivy Spargo, senior VP and general merchandise manager for Sephora inside J.C. Penney. "With the addition of these locations, we are providing clients with a unique and compelling in-store beauty experience, while generating a wealth of cross shopping appeal."

Source: Chain Store Age

Thursday
Apr162015

Retailers Home Depot, Sears, Kohl's and JCPenney Among Winners of EPA Star Partner Awards

The US Environmental Protection Agency and Department of Energy will be hosting its annual Energy Star Partner of the Year awards in Washington, DC, on April 20. Of the approximately 16,000 companies who partner with the EPA on their broad-based energy efficiency program, 128 companies are being recognized as Energy Star Partners of the Year.

Retailers among the 128 winners include Home Depot, Sears, Best Buy, Kroger, Kohl’s, Food Lion, Staples and JC Penney. “Energy Star Partner of the Year Award winners are delivering advanced energy efficiency solutions that help American families and businesses save money by saving energy. Their efforts play an important role in protecting the environment by reducing greenhouse gas emissions, while also moving our nation closer to a clean energy future.” said Department of Energy Secretary Ernest Moniz. Adds EPA Administrator and event key note speaker Gina McCarthy, “Our Energy Star Partner of the Year award winners demonstrate that energy efficiency is a smart business decision that supports their bottom line, and helps their customers save money and energy.”

Source: Retailing Today

Tuesday
Feb102015

US Consumer Survey Unveils 2014 Favorite Retailers 

PwC’s annual global consumer survey of about 1,000 US respondents list Amazon as most favorite retailer with 52% of the vote. Amazon was followed by Walmart with 41% and Target 29%.

These retailers were followed by several department stores. Kohl’s was rated the highest of the department stores with 14% of the vote. Other department stores in the top 10 included Macy’s and J.C. Penny.

Home Depot came in 10th and was the only DIY retailer to make the list.

The top reason cited by consumers were “Their prices are good”, followed by retailers having the items shoppers want in stock.

The US pattern mirrors the global pattern in another PwC survey.

The survey also captured whether consumers are “showrooming”, or browsing at physical stores but then shopping online. 68% of respondents said they have done so. However, 73% of consumers do the opposite, or “webrooming”, browsing online and buying in stores. Their reasons included delivery fees, being able to touch the merchandise, and getting the merchandise immediately.

PwC: Price Waterhouse Coopers

Resource: MarketWatch