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JCPenney Transforms Catalog Strategy; Drops ‘Big Book’ for Targeted Catalogs

November 18, 2009
PLANO, TX—Nov. 18, 2009—As part of its effort to continually adapt its marketing strategies to meet evolving customer preferences, J. C. Penney Co., Inc. (NYSE:JCP) has taken steps to further reshape the way it engages with customers through an integrated marketing approach that incorporates stores, catalogs, online applications and emerging digital marketing platforms, including social media.

Increasingly, catalog shopping has converged with online and in-store shopping as customers view catalogs as “look books” and inspiration sources for their in-store and online purchases. In response to this convergence and the ongoing migration of customers to shopping online, JCPenney will no longer publish its twice-yearly “big book” catalogs and will dedicate those resources to a range of customized, more timely specialty catalogs, continued targeted growth initiatives on jcp.com and ongoing leading-edge digital media services.

The discontinuation of "big book" catalogs aligns with JCPenney's ongoing commitment to promote the sustainability of forests and other natural resources, and builds upon its legacy of operating in an ethical and socially responsible manner. The Company anticipates a year-over-year reduction of 25 to 30 percent in paper used for catalogs in 2010 – continuing a four-year trend of declining paper consumption.

“To ensure we are keeping pace with consumers’ changing media habits and continued migration to online versus catalog shopping, we have increased our investments in new technologies, as well as successfully integrated the merchandising and marketing teams serving stores, jcp.com and catalog into one enterprise-wide team that is able to consistently and seamlessly serve our customers, no matter how they prefer to shop with us,” said Myron E. (Mike) Ullman, III, chairman and chief executive officer. “Part of this transformation is the refocusing of our catalog operation to smaller, more targeted publications, providing us with a strategic opportunity to continue reducing our overall paper consumption and transportation-related environmental impacts. We remain committed to constantly analyzing the impact of our overall environmental footprint and upholding the principles and discipline that have helped sustain and build JCPenney into a trusted brand for over 100 years."

Highlights of JCPenney’s Direct-to-Consumer Marketing Evolution


“We are constantly evolving our marketing approach to capitalize on new technologies and customization strategies that allow us to be in more frequent and effective contact with our customers,” said Mike Boylson, executive vice president and chief marketing officer. “Big book catalogs have become less relevant as customers have embraced shopping online, where they have ready access to our entire assortment at any time on jcp.com, one of the nation's largest general merchandise sites on the Internet. At the same time, customers greatly appreciate the smaller, more personalized catalogs we have introduced as well as digital and mobile applications that make it easier, more convenient and fun to shop with us.”
 

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