Joe Fresh: J.C. Penney's 'Hail Mary Pass'
To say J.C. Penney has been struggling is a vast understatement. Last month, the department store reported horrific holiday-quarter results, with the most drastic decline in sales in its 111-year history of operation. In addition, former J.C. Penney CEO Allen Questrom delivered a brutal takedown of the department store's current status in an interview to CNBC, stating it "can't continue with the same leadership." But, with Johnson's recent announcement that he "has no plans of retiring," the retailer is forced to rely on a new strategy other than the CEO's departure. Enter: Joe Fresh.
The highly anticipated shop-in-shops are scheduled to debut tomorrow in 680+ J.C. Penney locations, offering an array of tees, sweaters, button downs, pencil skirts, at fast-fashion prices. And, according to Racked National, the brand's performance on jcpenney.com has been "exceptional," out ranking JCP's #1 selling brand Liz Claiborne
"We have seen seven times the visitors to Joe Fresh than to Liz Claiborne" Johnson stated in an interview to WWD. "Average retail is nearly 20 percent higher, and a full 61 percent of the buyers of Joe Fresh are first-time jcp.com customers."
But are the boutique's efforts enough to help this floundering retailer? Let us know what you think by commenting below!