JCPenney has gone Fair and Square
[ba-pullquote align=”right”]JCPenney’s new CEO is the brains behind the Apple Genius bar, and JCP is getting that streamlined flavor Apple is so well known for.[/ba-pullquote]In February of this year, JCPenney took a different approach to their whole marketing program; they call it Fair and Square pricing. What is to be said for the whole marketing program and reprogramming that has been underway for JCPenney for the last quarter? The new Fair and Square Pricing program goes well beyond the rounded to whole dollars pricing system, there were cuts made to prices across the board and no more coupons. Yep. I said it. No more JCPenney coupons for the staff to track.
In the past, where the company’s marketing division would send out circulars and newspaper advertisements with over five-hundred coupon options in a year- SHAZAM! That is a ton of coupons for people to try to make sure were valid and usable… confusing even to the staff, let alone the customers. Fair and Square Pricing was going to be the end to the confusion, and a few other things…
Clearing out the clutter
With the end of coupon clipping at JCP also came the end of many managers’ jobs. The elimination of non-crucial jobs meant bringing on staff to properly train the remaining employees on the new outlook, promotions and mindset of the JCP vision. Clearing out the clutter so-to-speak, not only in the over staffing, but also in the look and presentation of the visual merchandising. To take a peek in the new store is to take a look at the company’s new dossier, likely penned by their new leader, former Senior Vice President of Retail Operations for Apple, Inc., Ron Johnson.
Getting back to their roots
[ba-pullquote align=”right”]”On every visit, customers will discover straightforward Fair and Square Pricing, month-long promotions that are in sync with the rhythm of their lives, exceptionally curated merchandise, artful presentation, and unmatched customer service.”[/ba-pullquote]”Over 110 years ago, James Cash Penney founded his company on the principle of treating customers the way he wanted to be treated himself: fair and square. Today, rooted in its rich heritage, J. C. Penney Company, Inc. (NYSE: JCP) is re-imagining every aspect of its business in order to reclaim its birthright and become America’s favorite store.
The Company is transforming the way it does business and remaking the customer experience across its 1,100 jcpenney stores and on jcp.com. On every visit, customers will discover straightforward Fair and Square Pricing, month-long promotions that are in sync with the rhythm of their lives, exceptionally curated merchandise, artful presentation, and unmatched customer service.”
Follow the leader
JCP may be on its way to something pretty interesting with the leadership if Johnson, the brilliant mind behind the Apple Genius bar. We can call him the Genius behind the Apple Store itself… we’ll call that a win for Apple. How about his amazing record sales profits when he captained the ship for The Gap? Impressive, yes… but with JCP, there was much to be done… Coupons, staffing, merchandising, marketing- just to name a few.
[ba-pullquote align=”right”]”with lowered stock shelves to clear the visual line throughout the store, the shelves have less merchandise cluttering them, making the store feel a lot less like it is going to fall in on you.”[/ba-pullquote]With the new streamlined look of the JCP stores, with lowered stock shelves to clear the visual line throughout the store, the shelves have less merchandise cluttering them, making the store feel a lot less like it is going to fall in on you. In December, during Christmas time, when many of the bustling seasonal staffers were there piling and piling merchandise onto the floor, armed with their ticketing guns and coupon guides, there was a totally different feel.
Did I mention there are no more pricing guns used? Just people and their dexterous little fingers. Eliminate the cost of the pricing guns and just show people how to stick stickers in a uniform way. Simple. Now, most stores have a perfectly centered Sephora chain (smooth move, JCP) to anchor the stores, and hip music and calming, more zen like visuals, JCP is certainly changing the direction of their store and at a fast pace.
Now that is fair and square
[ba-pullquote align=”right”]No more ninety-nine cents behind the decimal point.[/ba-pullquote]No more ninety-nine cents behind the decimal point, JCP has changed the way people are going to view their pricing system. They may have had to do some cut backs to get a staff that is more streamlined and more highly trained in their mission and product line, but if they are going in a direction that takes people away from fishing for coupons and having direct product pricing, a store that is efficient for the staff, and effective for theft deterrence due to the open, airy nature, the profitability will more than likely go up.
Taking notes from his Scion, the Apple Store and Target, Ron Johnson is likely to lead JCP back to their fair and square roots. People seem to like it.