By George Anderson
J.C. Penney wants to become a destination for young female shoppers and its announcement that it will prominently feature a popular retail beauty brand at the center core of its stores is another indication the department store operator can do the talk and walk at the same time.
Yesterday, Penney announced Sephora will open stores-within-stores at all the chain's locations beginning as early as next fall. The same products carried in Sephora's stores in the U.S. will be sold in Penney locations as well as through the company's web site.
Myron (Mike) Ullman, chairman and chief executive officer for J.C. Penney, said in a released statement, "Our initiative with Sephora is a clear reflection of the transformation underway at JCPenney as we seek to build an emotional connection with our current customers and bring new customers into our stores and onto www.jcp.com. Our customer has been telling us that she wants a beauty and cosmetics selection that is new, exciting, and within her reach. There is simply no better partner to allow us to achieve that than Sephora, the most revolutionary, innovative retailer in the beauty industry."
David Suliteanu, president and chief executive officer of Sephora U.S.A., said, "JCPenney's focus on providing relevant merchandise to its broad customer base is consistent with our objectives. This includes America's youngest women, a market in which JCPenney is a significant and rapidly growing factor."
Sephora is owned by LVMH Moet Hennessy Louis Vuitton. It operates more than 500 standalone stores worldwide (120 in the U.S.) selling high-end branded cosmetics, perfume and other beauty items.
Moderator's Comment: What is your reaction to the announcement that Sephora will open store-within-stores in J.C. Penneys as well as its web site? What benefits do you see for Penney and Sephora in this deal? - George Anderson - Moderator