JCPenney to install ‘toy shops’ in all stores
Retailer hopes move can demonstrate relevance
JCPenney plans to create toy shops within its department stores in an effort to recapture the magic from the days when excited kids and parents leafed through holiday catalogs.
Seeking its footing amid rickety times for store-based retailing, the chain is hoping to capitalize on a successful decision to revive toy sales during the 2016 holiday season for the first time in years.
JCPenney will add what it is calling toy shops, rather than toy departments, permanently in all of its stores, numbering more than 1,000 locations. The retailer had already added toys in 100 stores and had plans to expand its assortment for back-to-school shopping.
The companywide rollout reflects an aggressive pivot for a retailer seeking to demonstrate its relevance amid the surging presence of Amazon.com and nimbler physical competitors.
Other retailers have also bet big on toys to varying success, including bookstore chain Barnes & Noble.
“We know that shoppers buy toys year-round and by creating a fun, inviting toy shop, with some of the biggest brands and hottest products, we will entice families to shop and spend more at JCPenney,” John Tighe, executive vice president and chief merchant, said in a statement.
He said the goal is to “continue to focus on increasing revenue per customer.”
The toy shops will be located alongside Disney Collection products and will feature a wide range of items, including dolls, action figures, board games and learning sets. Brand names include Hasbro, Mattel and Fisher Price.
The company has doubled the selection of toys available through its website and will add additional items for the 2017 holiday shopping season.
The move reflects another bet on the store-within-a-store concept. JCPenney has had success with the setup, handing floor space to beauty products firm Sephora and athletics apparel maker Nike. But it has stumbled in recent years as foot traffic to department stores plunged amid digital competition and fast-fashion competitors such as H&M and Forever 21.
JCPenney recently announced plans to close 138 locations, though it remains on sturdier footing than archrival Sears Holdings, which has acknowledged doubts about its future.