Liz Sweney, executive vice president and general merchandise manager of women's apparel at JCPenney, says the company's deal to establish a store-within-the-store concept for Mango, the fast fashion retailer, is nothing short of a game-changer for the department store chain.
"This is a unique arrangement that is again allowing us to step up our style by offering affordable contemporary fashion," Ms. Sweney told Dow Jones Newswires.
Penney will sell an exclusive line, MNG by Mango, targeted to women between 18 and 35 beginning next fall in 75 stores and on jcp.com. The company plans to have the 1,000 square-foot mini-stores operating in 600 stores a year later.
"Fast fashion for the young, modern woman is our highest-potential business opportunity. We have long been intrigued with fast fashion, and through the recent launches of our own private brands, 'she said' and City Streets, we've experienced great success and confidence in expanding this offering to our customers," said Myron (Mike) Ullman, III, chairman and chief executive officer of J.C. Penney, in a press release.
"Every time we bring Mango to a new international market, it has driven immediate, strong demand, and we have only begun to capitalize on the great desire for Mango in the U.S.," said Enric Casi, Mango's CEO. "JCPenney is the perfect match for us to take advantage of the opportunity we see for the MNG by Mango brand in this market."
Discussion Question: What is your reaction to the J.C. Penney/Mango deal? What do the parties have to gain from working with one another? Are there any potential downsides?