As the news and critique continues around Ron Johnson's departure from JC Penney, initiatives implemented during his tenure continue to roll-out.
The launch of the Bijoux Bar on April 18 is expected to boost sales in a weak division by bridging the gap, both in product offering and target customers. The updated assortment will feature contemporary pieces appealing to a customer that currently is not shopping the division at jcp, and at a range of $30 to $395 which sits within their current opening range and fine jewelry. Senior Vice President Pam Mortrensen commented on the launch: "Some people call it bridge. We think The Bijoux Bar will attract a new customer and resonate with our current customers. "
The customer has been in our store but going other places to buy this product
The Bijoux Bar will open in 650 of jcp's doors. The retailer has been challenged with core businesses for years - accessories, beauty and cosmetics. Sephora's shop-in-shop generates $600 per square foot in sales, which is three times the amount of Penney's overall 2011 productivity.
Ulman, as re-appointed CEO of JC Penney, has thankfully yet to commit to a revised strategy for the brand - opting to spend some time immersing himself back in the business. With significant shop-in-shop investments to protect, discounting will likely be a continued part of the strategy to attract back customers. However, Johnson replaced Ulman for a reason - market share and stock price was declining year-over-year - with this is mind, Ulman should take the time to consider the best of Johnson's ideas. With customer engagement at only 70%, well below Department Store average of 80% , the team at jcp still has some work to do.