topic Re: J C Penney-A Model Used In Teaching! in Among Friends

J C Penney-A Model Used In Teaching!

ECBG — Sun, 15 Nov 2020 20:49:31 GMT

I was speaking with an honor grad from Davidson today. We were discussing recent shopping activity in this area and the use of coupons.

About 5 years ago, the CEO of J C Penneys announced that they would do a percentage off on certain items and stop their coupon program, even though the coupon program is widely used across the board in retail.

Within about 1 year, Penney's parking lot was almost completely desserted. I wasn't surprised since we are in a coupon society.

This graduate told me that the CEO who caused this issue that has all but bankrupt the company is a unit in advanced college Marketing books on Bad Business Practices!

Re: J C Penney-A Model Used In Teaching!

Mz iMac — Sun, 15 Nov 2020 20:54:11 GMT

I thought J.C. Penny was closing down all their stores.

Re: J C Penney-A Model Used In Teaching!

geezerette — Sun, 15 Nov 2020 21:02:33 GMT

@Mz iMac wrote:
I thought J.C. Penny was closing down all their stores.

J. C. Penney has reached a tentative deal to sell its business and stores to a group of mall owners and lenders in a move that would save the department store chain from liquidation.

The retailer disclosed Wednesday during a bankruptcy hearing that it had struck the deal with Simon Property Group, Brookfield Property Group and a group of bankruptcy lenders.

The deal is expected to save more than 600 stores and 70,000 jobs. The company has separately announced plans to liquidate 242 locations.

9/9/20 usatoday

Re: J C Penney-A Model Used In Teaching!

CelticCrafter — Sun, 15 Nov 2020 21:17:51 GMT

@ECBG wrote:
I was speaking with an honor grad from Davidson today. We were discussing recent shopping activity in this area and the use of coupons.

About 5 years ago, the CEO of J C Penneys announced that they would do a percentage off on certain items and stop their coupon program, even though the coupon program is widely used across the board in retail.

Within about 1 year, Penney's parking lot was almost completely desserted. I wasn't surprised since we are in a coupon society.

This graduate told me that the CEO who caused this issue that has all but bankrupt the company is a unit in advanced college Marketing books on Bad Business Practices!

I think most people already figured this out and didn't need a college course to do so.

Re: J C Penney-A Model Used In Teaching!

ECBG — Sun, 15 Nov 2020 21:32:56 GMT

@CelticCrafter wrote:
@ECBG wrote:
I was speaking with an honor grad from Davidson today. We were discussing recent shopping activity in this area and the use of coupons.

About 5 years ago, the CEO of J C Penneys announced that they would do a percentage off on certain items and stop their coupon program, even though the coupon program is widely used across the board in retail.

Within about 1 year, Penney's parking lot was almost completely desserted. I wasn't surprised since we are in a coupon society.

This graduate told me that the CEO who caused this issue that has all but bankrupt the company is a unit in advanced college Marketing books on Bad Business Practices!
I think most people already figured this out and didn't need a college course to do so.

@CelticCrafter

I knew it then!

Re: J C Penney-A Model Used In Teaching!

QVCkitty1 — Sun, 15 Nov 2020 21:35:10 GMT

@CelticCrafter wrote:
@ECBG wrote:
I was speaking with an honor grad from Davidson today. We were discussing recent shopping activity in this area and the use of coupons.

About 5 years ago, the CEO of J C Penneys announced that they would do a percentage off on certain items and stop their coupon program, even though the coupon program is widely used across the board in retail.

Within about 1 year, Penney's parking lot was almost completely desserted. I wasn't surprised since we are in a coupon society.

This graduate told me that the CEO who caused this issue that has all but bankrupt the company is a unit in advanced college Marketing books on Bad Business Practices!
I think most people already figured this out and didn't need a college course to do so.

Well apparently those in charge did not figure it out, and in future they do need a course.

Re: J C Penney-A Model Used In Teaching!

Still Raining — Sun, 15 Nov 2020 21:42:00 GMT

Many seen to gone wrong, KMart, Sears, Montgomery Wards, Mervyns.

I think Kohl's is betting wrong with their cash and selections too.

Re: J C Penney-A Model Used In Teaching!

mspatmac — Sun, 15 Nov 2020 21:45:35 GMT

@QVCkitty1 wrote:
@CelticCrafter wrote:
@ECBG wrote:
I was speaking with an honor grad from Davidson today. We were discussing recent shopping activity in this area and the use of coupons.

About 5 years ago, the CEO of J C Penneys announced that they would do a percentage off on certain items and stop their coupon program, even though the coupon program is widely used across the board in retail.

Within about 1 year, Penney's parking lot was almost completely desserted. I wasn't surprised since we are in a coupon society.

This graduate told me that the CEO who caused this issue that has all but bankrupt the company is a unit in advanced college Marketing books on Bad Business Practices!
I think most people already figured this out and didn't need a college course to do so.
Well apparently those in charge did not figure it out, and in future they do need a course.

@ECBG @CelticCrafter @QVCkitty1 That man single handily ruined JCP. I believe the OP was explaining the background on where she got the info on the marketing book. I found that interesting. Just like Jack Welch and his philosophy of firing the bottom 10%. So many are book smart and no common sense.

Re: J C Penney-A Model Used In Teaching!

busymom22 — Mon, 16 Nov 2020 00:55:20 GMT

I remember when JCPenney announced this "no coupon" policy and I knew immediately it would be a disaster. What no one remembered at that point was that Sears did a similar thing back in the 80's that also didn't work.

People don't understand that Americans have a different mentality that is tied to how our country runs economically. A "no coupon" policy means that everyone gets the same (mediocre) price no matter what they do. That sounds nice but it's inherant in people to get the best for the least and they are willing to work for it. Those that pay attention to sales and coupons and make the effort can get an item much cheaper than someone who doesn't work at it and just randomly buys those same items. Those higher prices for the random buyer is what covers the cheap prices the other buyers get. It's all about getting rewarded for your work.

So if something is always the same price there is no incentive to go to a store to shop randomly. A shopper might go to the store for a sale and end up buying other things too. But with no sales there is no urgency so stores become ghost towns.

People who come from more socialist countries don't understand this concept. I once shared my couponing strategies with a woman who was originally from England. She kept arguing that she wished stores would just "give everyone the same price". At the time I stayed home with our young kids and needed to coupon to stay on a strict budget. I was able to not work outside the home because I worked hard on couponing. It's why we have Black Friday doorbusters where people are willing to wait for hours in long lines in the cold to get a great price on something. It's all about getting rewarded for extra effort and work.

Re: J C Penney-A Model Used In Teaching!

Tessa Mendoza — Mon, 16 Nov 2020 02:51:19 GMT

People like to feel they are saving money. Coupons are fun and I remember when JCP had what I think they called a secret sale, where you got a closed coupon envelope and had to open it to see what your savings would be. I would go with my mom and sister. We would give our merchandise and money to the one who got the best sale price in her envelope. Just an "every day" low price never excited us. That guy should have asked his wife or some female in his life if they thought it was a good idea.

Re: J C Penney-A Model Used In Teaching!

ROMARY — Mon, 16 Nov 2020 16:24:25 GMT

I'm not crazy about clipping coupons. I'd rather get a weekly ad with sale prices for the week.

Sometimes we don't receive the ads with the coupons, etc.

I enjoy shopping in stores that don't need coupons in order to give the customer a sale price.

Same with supermarkets. I dread having to look online for special sale prices and/or having to clip the cupons in the weekly ad.

I enjoy Trader Joe's and another large supermarket that, for the most part, don't have tons of coupons to clip. Maybe a few on one side of an ad page. But that's enough.

Many seniors around here feel the same. Some don't want to have to search in their computers for 'coupons' and/or some don't use computers or whatever various phones.

Re: J C Penney-A Model Used In Teaching!

Witchy Woman — Mon, 16 Nov 2020 13:30:23 GMT

@ECBG

I used to shop a lot at JC Penney online. No more.

Last time I tried navigating the website it was next to impossible to view items.

And, much of the inventory was stuff I had seen for years or "out of stock."

There's only so many times I'll revisit a place that drives me crazy or has little or nothing to purchase.

Even the coupons don't draw me in now.

Re: J C Penney-A Model Used In Teaching!

roeroe1005 — Mon, 16 Nov 2020 15:44:30 GMT

I remember something similiar w/Lord & Taylor's before their use of coupons. And then we started getting coupons in the mail, the Sunday newspapers, everywhere you looked. People would not shop at L&T unless they had a coupon. Very sad to watch their downfall.

Wasn't the CEO who changed JCP's policy someone who had no experience running a department store? I remember reading about him and, and at the time, he was not getting rave reviews from those analysts.

We are seeing it happen to Macy's; will that also kill Bloomingdale's?

I've pretty much worked part time, along my full time jobs, in retail 30+ years. So sad.

Re: J C Penney-A Model Used In Teaching!

ECBG — Mon, 16 Nov 2020 23:19:47 GMT

@roeroe1005

I can't remember exactly what happened at Lord and Taylor, only that there was an issue.