Image Courtesy of JCPenney
With reports indicating that this holiday season could be a leaner-than-expected experience in terms of consumer spend -- Deloitte most recently predicted a 10% decline in average spend versus 2024's numbers, coming in at $1,595; and CNBC suggested a "more cautious shopper" was approaching the retail holiday season this time around -- at least one retailer is attempting to leverage the elephant in the room to its advantage.
According to Retail Touchpoints editor Adam Blair, JCPenney is leaning in when it comes to the concept of "thoughtful frugality," pushing the notion that consumers can still impress their friends, family, and other loved ones by shopping within its doors -- and without breaking the bank.
JCPenney Doubles Down on Value for Money in its Holiday Ad Push
With the tagline of "It’s What They Thought That Counts" centered in JCPenney's holiday campaign, it's clear that the retailer is looking to capture interest from deal seekers and bargain hunters while appealing to the positive emotions surrounding the act of gift-giving the holiday season evokes.
“If you’ve followed our journey, you’ll know that at the heart of our strategy, JCPenney is committed to democratizing great things: fashion for prices you can afford and gifts that get heartfelt reactions,” said Marisa Thalberg, EVP and Chief Customer & Marketing Officer at Catalyst Brands.
The campaign kicks off on Nov. 2, involving an array of ads across various traditional and social media platforms, and is focused on situations wherein shoppers get the nod for scoring a treasured and appropriate gift at an attractive price point. JCPenney's holiday season begins in earnest with its Black Friday Early Access sale on Nov. 8, with Daily Deals following up shortly thereafter on Nov. 10.
“‘It’s What They Thought That Counts’ captures the central truth about holiday gifting: we’re all really trying to achieve that ‘I can’t believe you did this’ reaction while only you (and JCPenney) know how much you actually spent. We’re not just competing to be the loudest; we want our customers to feel a genuine connection with JCPenney, to be in on the secret, and proud when their gifts wow loved ones without breaking the bank," Thalberg added.
And although a recent McKinsey & Company look-ahead to the holiday season suggested that consumers were about to spend about the same as they had throughout holiday 2024, a few factors -- spend pull-forward, a focus on essentials rather than discretionary items, and the primacy of grocery spending -- also came into sharp focus.
McKinsey Senior Partner Emily Reasor, when asked whether consumers will actually follow through on their claims of frugality, put it in the following terms:
"To me, [consumers are saying], 'Yes, I’m still intending to spend, but I am really going to be on the hunt for the right products and at a great value.' We’ve seen several years of high inflation and pricing levels that consumers still don’t feel are normal, so the hunt for deals will be one big theme of 2025."