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20 08, 2012

What I Would Do If I Ran JC Penney?

By |2017-03-03T12:07:05-05:00August 20th, 2012|Categories: Blog|Tags: , , , , , , , , , , , , |1 Comment

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Dan Alcorn sent me an article by Steven Rosenbaum, If I Were the CEO of Best Buy, and it made me start to think. What would I do if I ran JC Penney?

By the way, Dan Alcorn is President  of  Appreciation Marketing and helps businesses retain and reward customers. Today we were talking about Blue Ocean Strategy, a book written by W. Chan Kim and Renée Mauborgne in 2007. ( The link takes you to a power point presentation on SlideShare on the book.)

The premise of the book is  timeless–don’t compete, innovate! Their prime example is Cirque du Soleil who describe themselves as dramatic mix of circus arts and street entertainment.  Despite the use of the word “cirque,” which means “circus,” Cirque du Soleil  in no way looks or smells like a circus!

They changed the name and changed the game. Instead of doing one better than the competition, they changed the value proposition. Many companies look to see how to “one up” their competitors hoping to gain a competitive advantage. To gain a competitive advantage a business must actually do something different and thus the expression,  “think outside the box.” The expression goes back to the 60/70s; that’s why you find it so nauseating. The management gurus who exhorted trainees to think outside the box made their point by resurrecting the old “Nine Dots Puzzle” as a test.  If you’ve never done the test, give it a try.

Jeff Bezos, the co-founder and CEO of Amazon has the greatest statement of all, his line: “Why focus on your competition, they won’t give you any money!” If I were in retail I would repeat this over and over every morning.

Okay so what to do with JC Penney.

Get really different. Find new designers, preferable from out of the United States. They’ve gone to Canada but I think I would go to the orient–things are really different there. Too different?

Go back to the old way of selling.  In the 80’s I managed saleswomen in  a high end dress shop in Washington, D.C. They were on commission, spiffs and everything else! They were the old time saleswomen–they took your name, phone and knew what you liked. Anytime a product came in that “looks like you darling” the customer received a phone call. It was called service and it put money in everyone’s pocket. They never forgot your birthday, anniversary or your dress size.

Develop a “club.” How about a trip to China to meet the designers? Once a year the “best” customers get to go with the buyers to see what’s new and hot. I have a friend in Port Townsend, Washington, who takes her top 20 customers to Paris to shop! (It’s not a free trip, you’ll have to pay.)

Her clothes and soaps aren’t expensive but everything is hand made and there’s a waiting list for the trip.

Get the vendors involved. If we’re going to have Yoga classes why not have famous teachers and a Yoga master teach “special” classes.” I have a friend that owns a marina and she has Yoga on the pier.

How about a masseuse, once a week, Tai Chi or Reflexology? Everything is about fitness, why not some competition and nutrition classes?

Work the social media. Yoga, Pilate’s, juice bars; this makes great conversation for Facebook.

Baby sitting? Why not daycare; okay so it’s not new  and IKEA has the best in the country. I don’t know any retailers besides IKEA that has a daycare center. No, we don’t have to serve Swedish meatballs.

Community involvement. Ask the “best customers” to join in supporting local charities; have a day a month where people get to work in these charities alongside the folks from JC Penney. Key Bank has “Neighbors Make a Difference” day; the only thing missing is involving their “special customers.”

Everything should revolve around  creating amazing experiences for the customer so they will never shop anywhere else.

They will also tell their freinds not to shop anywhere else.

Isn’t this what every store is looking to create?

Lisbeth Calandrino helps businesses develop loyal relationships with their customers through customer service and sales training. To have her speak at your company she can be reached at [email protected].

 

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20 08, 2012

Can Yoga Save Your Business?It Might Save JC Penney.

By |2017-03-03T12:07:05-05:00August 20th, 2012|Categories: Blog|Tags: , , |2 Comments

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Can Yoga save JC Penny?Is JC Penney is in the dumper?

Maybe not.

Okay so they went from $9.99 to $10.00 pricing and the merchandise still looks like everyone elses. Did any of these things matter to the customers?

I don’t think so.

These things are old.

Not having sales hasn’t been popular with their customers either.

But you’ve got to start  to start somewhere and keep at it. Eventually you’ll hit it right.

It sounds like they’ve hit it right. They’re  holding Yoga classes in their stores. Now that’s doing it.

If I had told you to hold Yoga classes you would have told me I was nuts.  Maybe it’s nuts but it fits for today’s health conscious customer.

All customers want an experience — so give it to them. You hear it everywhere; give your customers an experience but no one does it.

A sale is not an experience, it’s a sale’

Johnson plans to have couches and coffee bars in 15-foot-wide aisles, or what Johnson calls, “places to engage.” It will be just like an Apple store, Johnson said. Check out this link so you can read the article.

Only time will tell if this will save JC Penney.  Holding Yoga classes is very cool. Pilate’s classes would be cool too.

If you’re going to make changes go for it. If you’re doing what everyone else is doing they’ll never notice you. If you go for it, you’ve got a chance.

Johnson says he’s building a “mall within a mall.” He’s creating his own Apple store. Starbucks coffee, juice  bar, you bet!

Does he have a choice?  Sure he can do nothing and  die a slow death. You can’t blame him for not wanting to take that route.

Whatever you you have to do you’ve got to step out of the box. I really hate the expression but you’ve got to act as if there isn’t a box.

The department store unveiled its new shop concept Monday, showing off — among other things — a 1,500-square-foot men’s Levi’s store with an exclusive “denim bar” .  The word is the profits in these shops is up.

Sound like the Genius Bar at Apple?Actually I think it’s kind of cute.

JC Penney has partnered with the Joe Fresh brand out of Canada to produce a fun and engaging shopping experience. The Loblaw Companies Limited is Canada’s best known brand. The brand is different for the United States and brings a fresh appeal to JC Penney.

Isn’t that what we all need; a fresh approach? It’ s hard to see things differently when you’re using the same old eyes. The only way to change is to get someone else to look at what you’re doing and give you some new ideas.

I’m into it; Yoga and Pilate’s appeal to the Baby Boomer–the guys with the dough. They care about their health and they’re doing something about it–they have to.

If JC Penney can bring the customers into the store and make them happy, isn’t this what it’s all about?

Lisbeth helps customers build loyal relationships with their customers through sales and customer service training.

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12 12, 2011

What Would You Do With The Post Office?

By |2017-03-03T12:07:07-05:00December 12th, 2011|Categories: Blog, Customer Service|Tags: , , , , , , , , , |0 Comments

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Okay so the United States Post Office isn’t high on my list and is the butt of many jokes. In fact I wouldn’t be surprised if “going postal” hasn’t made it’s way to the dictionary by now. I hate to date myself but I remember waiting for my weekly letter from my college boyfriend when I was a junior in high school. I loved the mail man. In my town, Craryville, New York, the general store doubled as the Post Office and Sam Flaum ran both.  Sam was so nice I used to think he owned the Post Office!

I personally don’t know anyone with worse customer service. I rarely go there; and when I do I’m afraid to move around too much. I’m afraid they might think I’m a spy. I’m not sure I wrote about my incident with them; I left my brief case by the counter, turned around to go back and get it and there was a sign posted on the door, “closed emergency!” I immediately got on my phone and called the branch and was told someone had left a suspicious brief case and they were taking it to the bomb squad. At first I thought it was a “little joke” and then realized they were serious and I was the problem. To make this short, they wouldn’t give me back the brief case for a day (and I was off to New Orleans to train) and it cost me $80.00 to have my brief case shipped overnight when it was finally released.) One of the clerks called and apologized; she said she knew me and told them  I was a good customer and harmless. Of course they wouldn’t listen. She also suggested they send it out free–since they  could– but they refused.

You know the airlines seem to always get dumped on and yet last week on my way back from Chattanoga, TN, the US Air flight attendant  put her coat over me while I was sleeping. I had mentioned I was cold; wasn’t than nice?

So why can’t the US Post Office make it? My friend Dan Alcorn, “Retention Marketing” tells me they have been trying for years to get permission to “become a business” but the federal government won’t allow them to act like anything other than a government agency. What a frightening statement. Are all agencies like this and I just missed it? You can’t even look at the “Wanted” posters without having the clerk give you the once over.

I don’t know any other agency with worse manners or “entitlement behavior” than the United States Post Office. With their “don’t cross over lines” and their signs “I’m closed” just as someone steps to the counter. Frankly I think it’s more than the fact they’re a government agency or am I just blind. Are they all this difficult? I never go to the Post Office, I go to my friend who owns The UPS Store #3639 where he has tootsie rolls and does everything including estate packing.

Here are my suggestions:

Set some budgets  for each outpost and close the ones that can’t make their numbers. Or if they’re the town gathering place let them do fund raisers to stay in business. I came from a small town where the post office was the gathering place so I understand this problem. 

Add some other services, why not do faxing, binding, make copies and business cards. I know what you’re thinking, they’re the “Post Office.” These days you have to do what the customer wants, not what you want if you want to stay in business.

Act like you like your customers. As long as I’ve had an address I’ve never received a note from them thanking me for my business. I get a card from UPS Store 3639. It’s not like the post office doesn’t have my address. How about a birthday card?

Do something with the commerative stamps.  Did you know they sold 124 million of the 1993 Elvis stamps. I think this is the biggest waste of time. I love the stamps and used to collect them until it became a hassle. They could have contests, charge more for these stamps and let real people put their faces on the stamps. Wouldn’t there be a stampede if this was possible?What fun, having your face on a stamp. I’m into it. What better way to build your brand?

How about an invite to a “stamp collecting parties?” It’s not like they don’t have access to their customers.

Wouldn’t it be fun to have country western night at the Post Office? (Along with a commerative stamp of course and a big deal country and western star?) They could have inductions like the Rock and Roll Hall of Fame.

Why not hire Ron Johnson who came from Apple and was grabbed by JC Penny? By the way there’s a great interview with him in the December issue of the Harvard Business Review; Retail Isn’t Broken the Stores Are. Is online postage, UPS and FedEx killing them? I’m sure everyone is stealing marketshare and with good reason.

How about a contest? What would you do if you owned the post office? Really, what would you do if you had that data base? The first thing you would do would be thank your customers for all the wonderful years of service and then ask them what they would like you to do.

How about some customer service training? I would like to see the post office get “red hot,” be a fun place to go and provide lots of new services. I wouldn’t mind doing some training for them.

If the truth really is that the Post Office must act like a government agency and this is the problem,  our government sure needs fixing.

Lisbeth Calandrino is a sales/customer service trainer and has been for the last 20 years. Her book, Red Hot Cusomer Service provides great ideas and suggestions for using customer service to improve the bottom line of your business.

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