Ron Johnson seeks to bring Apple Store savvy to J.C. Penney

Posted:
in Genius Bar edited January 2014


Apple's former retail chief Ron Johnson has outlined plans for revitalizing the 110 year old retailer J.C. Penney, which he now heads as chief executive.



Johnson introduced his plans to improve the performance and allure of the company's more than 1,100 department stores by getting rid of clearance sales and advertised promotions and instead promoting everyday low prices, "best prices" and month long deals.



The company also plans to introduce "store within a store" merchandizing that Johnson pioneered at Apple as a brand. The effort sounds similar to plans being taken by Target to replace a huge shopping experience with a series of boutique areas, usually focusing on a particular brand or designer.



The company printed a full page ad in the Wall Street Journal, introducing the company's new efforts as "No more pricing games. Just great prices from the start," and stating "we're not interested in being the biggest store or the flashiest store. We want to be your favorite store."









The ad has parallels to Apple's "Think Different" campaign, which attempted to reconnect the computer maker with its audience.



A decade after launching its own retail stores, Apple has reported $6.1 billion in quarterly revenues, along with plans to partner with Target in opening 25 new "stores within a store" locations this year.



«1

Comments

  • applegreenapplegreen Posts: 421member
    This may just work. Got to keep an eye on JCP.
  • SpamSandwichSpamSandwich Posts: 24,491member
    He's a guy who clearly knows his retail, so I'm interested to see how they turn this rudderless ship around.
  • tallest skiltallest skil Posts: 40,293member
    Very nice. Kudos to him. Perhaps we'll soon see clothing stores that ignite even some of the spark brought back into the experience of retail that Apple has put into buying computers.



    Quote:
    Originally Posted by SpamSandwich View Post


    He's a guy who clearly knows his retail, so I'm interested to see how they turn this rudderless ship around.



    Ah, but shouldn't they fix the leak first?



    Isn't it funny, these ships always leak from the top…
  • negafoxnegafox Posts: 479member
    If he can revitalize JC Penny's, that would definitely be good for the economy and maybe I will actually shop there again. Currently, JC Penny's selection is subpar and feels cheap, and the store feels like it hasn't evolved since the 80s.
  • aaarrrggghaaarrrgggh Posts: 1,522member
    Quote:
    Originally Posted by Negafox View Post


    If he can revitalize JC Penny's, that would definitely be good for the economy and maybe I will actually shop there again. Currently, JC Penny's selection is subpar and feels cheap, and the store feels like it hasn't evolved since the 80s.



    I agree, but this sounds like it is evolving into the 90's department store model, which doesn't do anything for me. (Ok, I am an engineer, but) what is the point of separating shirts from Calvin Klein from those from Tommy Hilfinger? I really don't give a damn about which label are in the clothes... and they are both made by the same company.



    A big store needs to successfully create various oasis where shoppers transition from bulk logic to quality logic. The separation by "department" is functional, but the chaos of a "department store" is just frightening.



    Maybe I'm just not Mall People though.
  • ronboronbo Posts: 669member
    Quote:
    Originally Posted by aaarrrgggh View Post


    I agree, but this sounds like it is evolving into the 90's department store model, which doesn't do anything for me. (Ok, I am an engineer, but) what is the point of separating shirts from Calvin Klein from those from Tommy Hilfinger? I really don't give a damn about which label are in the clothes... and they are both made by the same company.



    A big store needs to successfully create various oasis where shoppers transition from bulk logic to quality logic. The separation by "department" is functional, but the chaos of a "department store" is just frightening.



    Maybe I'm just not Mall People though.



    As an engineer, you should know that you can't criticize a design that you haven't seen yet. This is just an ad saying "Under new management. Watch this space."
  • dougmcnerddougmcnerd Posts: 38member
    I REALLY thought Ron screwed up by leaving Apple for JCP. But, I have to say, I'm impressed with the initial advertising. If he can turn JCP around, I'll be surprised. But, it looks like he is on the right track.
  • winstein2010winstein2010 Posts: 401member
    As a family man,



    I want

    A Playground to keep the kids business while I shop

    A free Wi-Fi for checking online reviews

    A "Man Lounge" while the wife shop

    Sell coffee and soda in the Lounge so I can drink and surf the web
  • SpamSandwichSpamSandwich Posts: 24,491member
    They announced their pricing strategy on the news tonight. They are eliminating all "sales" and markdown pricing in favor of a consistent 40% reduction in their pricing. They will only have sale items during the major holidays. They will also eliminate the standard "XX.99" style pricing in favor of round numbers (for example "$20" instead of "19.99"), which has been one of the oldest retail scams of all time... it's a bit of a risk, because I've noticed that shoppers subconsciously pay no attention to the 99 cents after the main dollar figure.
  • milkmagemilkmage Posts: 151member
    looks like a Bank.
  • crazorcrazor Posts: 1member
    Quote:
    Originally Posted by winstein2010 View Post


    As a family man,



    I want

    A Playground to keep the kids business while I shop

    A free Wi-Fi for checking online reviews

    A "Man Lounge" while the wife shop

    Sell coffee and soda in the Lounge so I can drink and surf the web



    JCPenny stores are in the mall, and most mall already provide your wishlists
  • rbryanhrbryanh Posts: 263member
    Does it occur to no one that it's Apples' products which are successful, and not Apples' hype?



    The thing I love most about the internet is that its economically based on the illusion that advertising has ever accomplished anything other than annoying people.



    Nearly all of us will be shopping at JC Penney in just a little while, but it'll be because the 1% sociopathic hoarders will have left the 99% no other economic option, and not in any way due to advertising.
  • rbryanhrbryanh Posts: 263member
    Quote:
    Originally Posted by milkmage View Post


    looks like a Bank.



    One institution's dirty, self-serving lies look much like another's.
  • tbelltbell Posts: 3,146member
    Quote:
    Originally Posted by DougMcNerd View Post


    I REALLY thought Ron screwed up by leaving Apple for JCP. But, I have to say, I'm impressed with the initial advertising. If he can turn JCP around, I'll be surprised. But, it looks like he is on the right track.



    Under any scenario, how can he have screwed up? He received over 230 million for his time at Apple. He doesn't need to work another day in his life. At JCP, he 1) has a new challenge, 2) is in charge, and 3) received over 50 million worth of JCP stock. Even if he completely fails, he still wins.
  • tbelltbell Posts: 3,146member
    Quote:
    Originally Posted by Negafox View Post


    If he can revitalize JC Penny's, that would definitely be good for the economy and maybe I will actually shop there again. Currently, JC Penny's selection is subpar and feels cheap, and the store feels like it hasn't evolved since the 80s.





    I am not sure how a revived JCP is good for the economy. Increased sales takes from somebody else. The problem with JCP is you can find the same product in a lot of different places, and as you say, the store feels cheap.



    JCP needs to 1) revitalize its image, and 2) offer products that you can't get else place.
  • philboogiephilboogie Posts: 7,286member
    Quote:
    Originally Posted by winstein2010 View Post


    As a family man,



    I want

    A Playground to keep the kids business while I shop

    A free Wi-Fi for checking online reviews

    A "Man Lounge" while the wife shop

    Sell coffee and soda in the Lounge so I can drink and surf the web



    A family man? You leave your kids and wife behind! And for what, drink and surf?
  • f1ferrarif1ferrari Posts: 223member
    Quote:
    Originally Posted by TBell View Post


    JCP needs to 1) revitalize its image, and 2) offer products that you can't get else place.



    I would add to that 3) offer prices on similar items at competitive prices. I visited our local JCP during Christmas to buy my mother some items for her Keurig coffee maker. The exact same accessories were higher priced at JCP in comparison to the prices at Belk, and Belk's prices are usually 30% more than anyone else on the planet.



    Changing pricing is a step in the right direction. But they also need to change the look and feel of the stores, so they don't seem like your parents (or grandparents) favorite store. I'm not saying make them over as a Spencer's, full of black lights and beer funnels, but give them a little hipness they are sorely missing.
  • marvfoxmarvfox Posts: 2,275member
    Quote:
    Originally Posted by AppleInsider View Post


    Apple's former retail chief Ron Johnson has outlined plans for revitalizing the 110 year old retailer J.C. Penney, which he now heads as chief executive.



    Johnson introduced his plans to improve the performance and allure of the company's more than 1,100 department stores by getting rid of clearance sales and advertised promotions and instead promoting everyday low prices, "best prices" and month long deals.



    The company also plans to introduce "store within a store" merchandizing that Johnson pioneered at Apple as a brand. The effort sounds similar to plans being taken by Target to replace a huge shopping experience with a series of boutique areas, usually focusing on a particular brand or designer.



    The company printed a full page ad in the Wall Street Journal, introducing the company's new efforts as "No more pricing games. Just great prices from the start," and stating "we're not interested in being the biggest store or the flashiest store. We want to be your favorite store."









    The ad has parallels to Apple's "Think Different" campaign, which attempted to reconnect the computer maker with its audience.



    A decade after launching its own retail stores, Apple has reported $6.1 billion in quarterly revenues, along with plans to partner with Target in opening 25 new "stores within a store" locations this year.



    JC Penney needs fresh concepts and new innovations and that is where the person who was in Apple needs to deal with.The store is really old fashioned and needs a new rejuvenation.
  • tomhayestomhayes Posts: 126member
    I LIKE the coupons at JCP. When you combine the right coupon with the right sale the clothes are very very cheap.
  • willb2064willb2064 Posts: 49member
    Apple did not pioneer the "store within a store" retail concept. It was successfully implemented by retailers long before Apple even had retail stores (which do not even have a "store-within-a-store" merchandising concept).
Sign In or Register to comment.