JC Penney & Sephora: Is this the future of department store beauty retailing?
Insight by Andrea
Having lived in NYC for many years, I was surprised to see a Sephora as soon as I entered the new (and only) JC Penney store here (Manhattan Mall at 34th Street Herald Square). Given the current challenges experienced by manufacturers with the consolidation of department stores, this is an efficient way to simplify the process of selling beauty products. Perhaps the solution is a channel organized by an independent body or association to give all manufacturers a fair shot (instead of having their business depending on a few specialty retailers like Sephora or ULTA only). I don’t think we have found the right model yet, but this partnership is definitely a step in the right direction. I am surprised we haven’t seen more of these deals yet.
In 2006 JC Penney started opening Sephora stores-within-stores to offer its customers with a wide range of prestigious beauty products. This was the alternative found by JC Penney to overcome failed attempts to build a cosmetics business since 1980s. It is also a creative way to improve its image and attract younger consumers. There are 140 Sephora locations, in prominent areas of the JC Penney stores. They are smaller stores (1,500 sq feet) than the stand-alone locations and offer a limited selection of products – about 50 brands including Nars, Bare Escentuals, Stila, Smashbox, Peter Thomas Roth, Korres and Caudalie, Clarisonic, Fekkai, Ojon; and fragrance offerings from Dior, DKNY, Aquolina and Sean John and Sephora own collection.
One Comment
Still intrigued by stumbling upon a Sephora inside the new JC Penney in NYC. What do you think about that? http://bit.ly/16UQha
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