Retailers should make amends when customers voice a perceived wrongdoing, however, J.C. Penny’s new ad is a miss – a lost opportunity to draw in new customers. The ad does go to rebuild goodwill among the retailer’s current core audience, but to those unfamiliar with JCP’s newest product assortment, the ad strikes a desperate tone.
I’d planned to visit JCP because of Ron Johnson’s once lauded (and now derided) merchandising strategy. News of the new, brighter, more open JCP featuring independent brands that exude curatorial respect – Levi’s, Martha Stewart, Jonathan Adler, and others – got my attention. Now, I’m not so sure. While I applaud J.C. Penney for trying to protect (and win back) their core audience, this misstep might be a case of winning the battle, but losing the war. They’ll save today’s shopper, but lose tomorrow’s; shoppers that embrace experiences and narrative and who will pay a premium (or at least full price) for it.
In my opinion, J.C. Penney’s retail reversal is a loss of the “surprise and delight” that propelled Target (Johnson’s former employer) to retail stardom. They’ve exchanged a “new position” for an undifferentiated return to mediocre pricing tactics. J.C. Penney is once again about price – not value – a position shared by many others in an increasingly crowded space.
Come back, Ron Johnson. You were just getting started.
‘If you’re in a race to the bottom, to the best price, you’re not going to win long term.’ – J.Crew CEO Mickey Drexler