J.C. Penney’s less than stellar 2017 fiscal results coupled with its decision to close upwards of 140 locations was the latest example of a retail industry challenged to meet the needs of a changing consumer base.
But there was also some positive news from the department store retailer. During a recent conference call, J.C. Penney chairman and CEO Marvin Ellison said the company’s home refresh initiative— driven by major appliances— has provided strong results and positive comps.
As a result, the retailer will add approximately 100 new appliance showrooms during the early part of the year with additional brands expected to be in the mix. The four brands now in the assortment are Samsung, LG, GE Appliances and Hotpoint.
“We were extremely pleased with the strength and performance of our over 500 appliance showrooms,” he said. “Appliance sales both in-store and online continue to drive significant comp growth and improve productivity in our home store.”
Ellison also noted that J.C. Penney is also focused on its home installed services program, with a recent test included an HVAC install program through a partnership with Trane. While he didn’t offer results of the test with Trane, Ellison said he does see opportunities to grow home sales with consumers that are focused on beautifying their homes.
“We feel this is a terrific opportunity for us to grow revenue and further improve our sales productivity in our home store,” he said, adding that further details will be announced in the coming weeks.
