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By admin | January 26, 2012
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Is J.C. Penney the future of retail? (KSAT)
J.C. Penney's ambitious plan to turn around its business and make its brand
hip and cool is in high gear, but whether the 110-year-old company's stock
will keep up the pace is another question.
On Wednesday, the company launched its "Fair and Square" pricing plan --the
one featured in those maddening commercials with shoppers screaming
"Noooooooooooo!" in frustration at complicated sale signs and coupons.
Rather than luring in customers with frequent sales that offer them deep
discounts, J.C. Penney will introduce an "everyday price" that is essentially
a permanent discount of at least 40% on all items.
Here's an example. A women's T-shirt regularly priced at $14 in 2011 will now
have an "everyday price" of $7, the retailer said.
It's the first big move made by new CEO Ron Johnson, the man responsible for
Apple's retail stores and Genius Bar. Johnson, who also was Target's former
marketing whiz, joined J.C. Penney late last year.
J.C. Penney is coming off a tough year. In November, the company posted a
third-quarter loss of $143 million and gave a weak fourth-quarter outlook.
But Johnson's plan, which is the essence of J.C. Penney's grand transformation
and was unveiled at an ...
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