Skip to comments.J.C. Penney to sell home appliances again after 33 years
Posted on 01/21/2016 8:10:52 PM PST by jeannineinsd
The retailer sees a big opportunity in the appliance business, and in Sears' problems.
For the first time in 33 years, the department store will be selling home appliances like refrigerators and washing machines by General Electric, Hotpoint, LG and Samsung, at 22 of its roughly 1,000 stores. If all goes well with the pilot, which begins Feb. 1 in stores in the San Antonio, San Diego and Tampa metro areas, Penney could roll out the home appliance offerings to hundreds more stores by October.
The return to home appliances is the first major new initiative by former Home Depot senior executive Marvin Ellison since he took the reins as chief executive officer last August, and one he is betting will help Penney build on its promising recent comeback. Penney's comparable sales during the 2015 holiday season rose 3.9%, putting it on track for its ninth straight quarter of growth. Notably, Penney's holiday results were a clear outperformance of department store rival Macy's, which saw a big drop in sales.
Penney is gradually clawing back after a disastrous reinvention in 2012 that alienated its frugal core customers and cost it a third of its revenues. But for all of Penney's progress, Wall Street only expects the retailer to clock in sales of $12.6 billion for the fiscal year ending this month. That is still more than $4 billion below their level four years ago.
- snip - And stealing customers from Sears will be no slam dunk. Last year, Sears opened a new technology center in Seattle that (among other things) will mine data gleaned from the tens of millions of appliance service calls made by Sears technicians over the years; that move is intended to boost appliance sales by improving customer service.
(Excerpt) Read more at fortune.com ...
I am hoping Penneys has learned their lesson. They got rid of the CEO and advertising director that caused all their problems. The new CEO is from Home Depot.
I made a few small purchases from Penneys recently. I was in the store today, and saw a large section of the store partitioned off, with signs announcing "Appliances, coming soon".
I wish to find out how Penneys will handle the installation and service of the appliances. If their plan is at all credible, I am inclined to give Penneys a try for my next dishwasher.
I am used to buying appliances from Sears. It will be very easy for another retailer to steal me away, as I do not intend to buy another appliance from Sears, not unless there is a major overhaul of their installation/service procedures.
Sears' current appliance installation/service contractor is the bottom of the barrel. I will not be doing business with them again.
Lowes and Home Depot have taken a big share of this market.
Unfortunately, with the downturn that is on the way, they are probably too late trying to dig their way out of the hole they’re in.
Back around 1967 I ordered an FN model 1949 in 7mm Mauser from the JC Penney catalog.
My how times have changed and not for the better.
I used to have a TV I bought from Monkey Wards.
Hey, maybe Sears will start selling houses again.
In his book, Sam Walton said that he started out working at a JC Penney store.
He said JC Penney himself came by one day and showed him how to wrap a parcel using a minimal amount of string yet still make it look good.
Yes, they have. People need to buy appliances, and after Circuit City's demise, and Sears poor customer service, some retailers needed to step up to sell and service these items.
That’s a cool pic. Original JCP storefront?
One of the great disappointments of my life was NOT being able to buy a Sears home (built in the 1930s) in our school district. It was YUGE (a Magnolia model!) and DH didn’t want a fixer upper & instead of our five children being raised on three large floors of a house we moved to a tiny split entry;’ then a smallish two story. I loved that Sears house when I walked thru it years ago it would have been my “forever home.”
I really hope Penney’s and Sears can make a come back .It will be a travesty if they fall .. that’s a lot of jobs
I just can’t see buying an appliance from Sears or JC Penny’s. Yes my parents did buy Kenmore back in the day, but now with Home Depot which is where I got our new appliances (Slate by the way....I hate stainless steel) there is no reason for JC Pennys or Sears to sell appliances.
Kenmore, Sears, and Penny’s stuff used to mean quality.
It’ll be interesting if they can pull this off.
I wish to find out how Penneys will handle the installation and service of the appliances.
I think they all use local distributors and contractors these days.
Sorry. Don’t know. There was no text with picture.
Having owned five homes in 20 years we’ve replaced appliances often. We’ve found that a local, non-chain appliance store is ultimately always better than any of the deals from major big box stores. I bought a stove at Sears and will never shop there again. Menards was decent, Home Depot-not so much. The small local stores were far better in price and service.
I believe Home Depot (Lowes as well??) uses deceptive tactics to sell products. Flooring, for example. When they advertise whole house installation for $99, the installer is not getting paid only $99. Home Depot is paying him the full rate so they make up the difference by jacking up the prices of supplies (carpet pad, etc) or skipping steps (not using adhesive on concrete). My cousin installs flooring and just explained it all to me. As customers are left no recourse when carpet wrinkles, they call an installer who has to redo it all-costing more than just installing it. This makes me not trust them for appliances either.
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