7. SWOT Analysis
Strengths Weaknesses
- Customer oriented company - Technology – usage of iPads,
- Wealthy enough to innovate RFIDs…
- Long history - The economy is bouncing back
- Retailer of trendy brands – i.e. - Position against competitors
Levi’s
- Fair and Square pricing
- 1,100 stores nationwide
Opportunities Threats
- Technology – usage of iPads, - People are confused because of -
RFIDs… the new pricing
- The economy is bouncing back - Big competition, including
- Position against competitors online
- Many variables in rebranding
8. Theproblems
People don‘t understand the new pricing policy
JCP is losing money on sales, because people see no deals and
coupons
The perception of the brand isn‘t very trendy
The company is not seen as modern or cool
The target audience of JCP is not very young
JCP needs new customers, hopefully for the lifetime
Not every store is changed according to the new
layout
This might cause bad experience resulting in never coming
back
9. TheSolution
Advertising explaining the price strategy
MSRP on price tags
Promotion of the JCP shopping experience
Use the 100 stores
Location-targetedadvertising
Segmentation of the advertising
11. TwoCreativeStrategies
Educational
Current JCP consumers
Middle income, sub-urban, middle age
To show howthenewpricingstrategyworks
Persuasive
New consumers
18-24-year-olds
To promote JCP’s shopping experience
12. Creativeexecutions
Highly Targeted advertising for 18-24 based on
location about the shopping experience
YouTube spot, Facebook Ads, Google Ads
Various websites (MRI+ indexes):
For males: cnet.com (140), wsj.com(140), foxsports.com(138)
For females:
Coupons.com(157), overstock.com(139), cheaptickets.com(136)
Nationwide TV spot about the new pricing policy
Current channels
13. Expected Results
Less confusion
Continual rise of customers
The younger audience will get younger
Rise in sales of 7%
the price of the share rise to $32/share by the end of
2012 and $45/share by the end of 2013