Thursday, July 26, 2012
J.C. Penney is revamping its pricing strategy -- again.
Six months after the mid-priced department store chain got rid of the hundreds of sales it offers each year in favor of a three-tier pricing approach, Penney is eliminating one of the tiers and bringing back the word "clearance."
Ron Johnson, the chain's CEO since November, said the moves come after feedback from customers showed that shoppers found the three-tier structure "confusing."
The former Apple Inc. executive spearheaded the change in pricing at Penney. The new strategy, effective Aug. 1, illustrates how difficult it can be to try to change the mindset of Americans who have become used to sales.