J.C. Penney launches $1 billion reinvestment plan

J.C. Penney announced on Thursday its self-funded reinvestment plan and a new customer value proposition.

By reinvesting more than $1 billion into the business by fiscal year 2025, the retailer said that it aims to fuel long-term growth and increase customer loyalty and frequency.

In particular, the planned reinvestments will strengthen the customer experience through enhanced digital capabilities. It said it will continue to upgrade its website and mobile app with, among other features, improved search functionality and product details, customer product reviews and more customized product and styling recommendations. 

Meanwhile, in-store, the company’s more than 650 stores are undergoing varying updates, including an enhanced store look and feel, improved technology and associate tools and physical upgrades, among other initiatives. More than 100 stores have already been refreshed.

Lastly, J.C. Penney is upgrading merchandising tools and supply chain operations. New inventory management systems, among other tools, will enable greater accuracy in decision-making, while other enhanced tools will also scale J.C. Penney’s ability to provide customized and localized product assortments.

“J.C. Penney is on strong financial footing and is steadily increasing relevance and frequency with our core customers,” said Marc Rosen, chief executive officer of J.C. Penney. 

“We are poised for continued growth and know that the surest path to success is by focusing on our customers. That’s why we are wholly committed to serving hardworking families across America with the attention, value, quality, choice and experience they deserve. Our customers are passionate, resilient and tireless in their efforts to make every moment count. We’re here to help them do that every day.”

Likewise, the company is introducing a new customer strategy, dubbed ‘Make It Count’, to remind customers that “J.C. Penney stands with them”.

The company’s brand proposition is anchored in four core aspects of J.C. Penney’s business and commitments to customers. They include: making fashion truly accessible, genuinely rewarding, standing with communities, and 120 years of doing for others what we want for ourselves.

“We see a common truth for our customers. Too often, we are forced to make compromises between time and money, quality and price, responsibilities and enjoying life’s moments,” added Katie Mullen, chief customer officer, J.C. Penney.

“We want to show customers that we are in it with them, just as we have been throughout our history, and investing in helping them make the most of their moments. Make It Count’ is our recommitment to them that J.C. Penney will keep putting in the effort to match theirs.”