2/27/2012 @ 3: 58PMВ |8, 768 views
Can easily J. C. Penney Become 'America's Favorite Store? '
This article is by simply Alexander Chernev, associate mentor of marketing on the Kellogg School of Supervision, Northwestern University.
On January. 25, J. C. Penney unveiled its new long lasting strategy to increase declining revenue revenues and profits. A key element of this tactic is their revamped pricing, which involves moving away from its frequent and profound promotional discount rates to every day low costs with month-long, slightly reduced promotional prices on specific items and bi-weekly clearance sales. These kinds of pricing improvements were accompanied by a fresh brand identification that includes a modified logo, namingВ Ellen DeGeneresВ as you’re able to send new prolocutor, as well as a " reinventedвЂќ searching experience that breaks up their grocer into a number of shops symbolizing approximately 100 different brands (including L. C. Penney's own labeling such as Arizona Jeans, Stafford, and Street John's These types of; exclusive editions of upscale brands such as MNG simply by Mango; and many prominently, В Martha StewartвЂs eponymousbrand).
J. C. Penney's fresh strategyвЂ”which a lot of deem futurist while others question its wisdomвЂ”challenges many of the assumptions behind the modus operandi of many style retailers. And whereas many media and analyst interest has been dedicated to jcpenney's fresh pricing, one other more fundamental aspect of L. C. Penney's strategy has been largely forgotten. This issue is definitely the retailer's desire to be " a shop for all AmericansвЂ”rich and poor, young and old, non-urban and provincial. вЂќ[i]В While this kind of goal may not be faulted for lack of desire, it should go against the conventional wisdom it is difficult to be successful by planning to be everything to everybody. Actually many companies have got failed for their unwillingness to " provide upвЂќ offering some customers in order to better fulfill the requirements of others. Problem then can be: Will J. C. Penney be able to do well where other folks have failed, or does it soon...