JC Penney

In our efforts to understand why JC Penney may have been seeing such a decrease in sales, my team discovered that the company has a poor store floor plan, an aging customer base, and a discouraging pricing model. 

To combat these problems the team began with an examination on who the target segment should really be. We came up with a dual grouping segmentation with the female being a young mother who wants to get great style, but at a cheep cost. She does not have the time to go shopping in many places for herself, her husband, and her two kids and so JC Penney would need to become a one stop place for all of her purchasing needs. The male target audience is a middle income office worker who does not care much about the highest fashion, but appreciates a well organized store that he can find help if he needs it. 

Based off of these models, we developed a four pronged solution to have more focused locations for stores, change the decor and employee model of the stores, specialize the assortment within JC Penney, and develop a more pragmatic high-low pricing structure for the store. 

 

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