J.C. Penney's Thanksgiving opening won't help
The retailer plans to open at 8 p.m. that day, but the move won't bring back the customers who have already deserted.
By Douglas A. McIntyre, 24/7 Wall St.
J.C. Penney (JCP) will be open on Thanksgiving, at least so far as letting customers in at 8 p.m. that day can be considered Thanksgiving hours. Those four hours before midnight barely qualify.
The move will do little for J.C. Penney. Some other chains probably will do the same. Additional hours will not bring back the army of customers who have deserted this almost-dead retailer.
One reason the Thanksgiving hours are not likely to do much for J.C. Penney is that Macy's (M) already has decided to do the same.
As is normal in the retail market, other large retailers likely will follow suit to make sure no one or two companies have an advantage. Count on Wal-Mart (WMT), Target (TGT) and the Kmart and Sears divisions of Sears Holdings (SHLD) to open at 8 p.m. on Thanksgiving, or perhaps earlier to trump the others.
As the companies go back and forth to be the one that opens earliest, the time could inch closer and closer to Thanksgiving midday.
Store hours cannot make up for what bad publicity, pricing mistakes, odd merchandise selection and poor inventory control have done. Same-store sales may not be falling at the rate of more than 20% that they did last year. However, the most recent data show that:
Sales for the fiscal month of September, ended Oct. 5, were down 4.0% when compared to September 2012. This constitutes a 580 basis point improvement over August 2013.
The slowing in the pace of erosion did not impress investors. Along with concerns about J.C. Penney's financial viability, continuing poor sales data have helped pushed the retailer's share price to many-decade lows at just above $7. In February 2012, the stock changed hands at more than $42.
J.C. Penney's biggest enemy has shifted from decisions made by management about merchandise selection and store configuration to stories in the press. The more consumers read about the chances that J.C. Penney may have to close altogether, the less likely those consumers are to go to a J.C. Penney store to shop. Opening on Thanksgiving is no better than open any other day, as far as the crippled retailer is concerned.
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Ron Johnson did a lot of BAD for JCP, but, he did ONE GOOD THING.....he believed that opening on Friday at a normal time was better. He believed that the HOLIDAY was FAMILY TIME!!
THE CEO and all the MANAGEMENT TEAM From ANY RETAILER open on Thanksgiving should also work if they are making the stores work!!
Stores shouls all still be closed on Sunday if you ask me. (I know you did not ask)
People have become like wild animals, shopping, driving, pushing thier way to be first.
Stay home and make a life fir your kids, no one will buy the last shirt and unless you are really stupid almost all sales are scams.
We live in a free country. Hang with your family if you want to on a holiday. Others don't want to do that. And businesses should be free to open any time they see fit. Let people do as they wish. There is no mandated FAMILY time, not on holidays, not on Sunday, no on any day. All are free to set family time of their own on a personal and individual basis.
............Ron Johnson destroyed this fine company - and the board paid him a $54 Million dollar sign up bonus................
Every board member should be fired.
And opening on Thanksgiving - I won't shop at any store that opens that day or for the rest of the Christmas season. One individual - exercising their rights!!
I try and read or understand many the comments....MANY make little sense...
You that don't shop at Penneys, don't mean shidt to me.
You that don't like gays or lesbians, don't mean shidt to me.
You that don't like Ellen, don't mean shidt to me...
You that may hate the CEO, mean about the same.
Who cares about your comments, they are useless when it comes to investing...
BECAUSE YOU ARE A "NON-NUMBER" and a non-issue in their (Penneys) fundamentals.
You may think you are?? But really YOU ARE NOT....!!!
Why are you here ???
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The solid report comes a month after the retailer closed all of its Canadian operations.
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