My latest post for Retail Design & Construction Today is now live. The title is, Will redesign of JCPenney brand also influence retail architecture?
In the article, I discuss the surprising move by Ron Johnson from head of retail for Apple to CEO of JCPenney. Johnson was responsible in the 90s for changing Target’s brand perception as a retailer, and led the development and expansion of Apple’s amazingly successful retail strategy.
Can he work that same magic on a company with over a century of business history? To accomplish this mission, Johnson is relying on four key principles:
- Changing the interior architecture of the stores, creating a Main Street featuring boutique brand storefronts, and a Town Square for integrating products with services (similar in concept to the Apple Genius Bar)
- Employees will no longer be paid on commission, and encouraged to genuinely help shoppers and build relationships, instead of focusing on making sales (another idea from Apple retail)
- Simplified pricing structure, bucking the long standing practice of selling items at odd amounts ($10 vs. $9.99)
- Significantly limiting the number of sales and using “everyday low pricing,” a la Walmart
Please check out the full article for more.
Here are some of the articles referenced in the post:
- MSN Money
- USA Today
- Harvard Business Review
- Johnson’s blog post at Harvard Business Review
- TechCrunch profile of Signature
Image courtesy Sam Howzit