J.C. Penney, The largest retail store in the United States, holds its 110 years of astonishing history in the retail business. It also has its presence in countries like Mexico, Puerto Rico and Chile with over 1200 stores. James Cash Penney, founder of JCPenney started his first retail store in 1902 in Kemmerer, Wyoming, a small mining town.
The company experienced its largest expansion and growth in 1920’s when the Company started transforming the way it does business and remaking the customer experience. In 1962 the company started the strategy of discount merchandizing after the acquisition of The Treasures stores. In 1998, JCPenney attained a new dimension in shopping convenience, when the company went online by starting its Internet store which at a later stage has grown into one of the largest apparel and home furnishings retail sites on the Internet.
Right from a small accessory till fabulous and admirable diamond jewellery, everything is being sold at JCPenney at discounted prices. All ranges of apparels and accessories for all classes of Men, Women, Kids, and toddlers were made available at slashed prices. They have also made all household products and furnishings available at discounted price so just to make the customers have a more convenient and happy shopping experience.
Most retailers make tentative steps toward change and so did JCPenney. It appointed Ron Johnson as its CEO who had ambitious plans for the betterment of the retail company. He was formerly working at Apple and he was the key person in developing the apple’s genius bar. With this ample experience, he wanted to change the sales strategy of the company to create a win-win condition for both the company as well as the customers.
Very recently the company’s CEO Ron Johnson introduced a new strategy for sales called the “Fair and Square Every Day” pricing strategy. This strategy comprises of three kinds of discount sales 1.Everyday discount sales 2. “Month Long Value” (theme sales such as back-to-school related products in August), and 3. “Best Prices” (clearance sales).This kind of strategy was a hit as it was way more different than the strategies used by other retailers to woo customers like flat discount sales etc.
“All department stores either rise or fall on their ability to execute a strategy” and undoubtedly JCPenney’s new strategy is in a rising spree which yet again marked a success story in the milestone of the 110 year old America’s largest retail giant.