JCPenny Accelerates Expansion into Home Services
Six programs, including HVAC and bath remodeling services, will be tested in select markets.
JCPenney is capitalizing on the strong housing market by launching JCPenney Home Services this month. By partnering with the industry's leading manufacturers and service providers, such as Samsung and Trane, JCPenney Home Services is planning to test six programs in select markets to establish its relevance and appeal among shoppers. These programs will provide turn-key services for heating and cooling systems, bathroom remodeling, quick ship and installed blinds, whole home water solutions and awnings, as well as easy-to-install smart home devices.
"With the resurgence of the housing market, consumers are spending more than $300 billion annually to upgrade their homes since nearly two-thirds of the nation's homes are over 30 years old. There is a tremendous opportunity to capture additional revenue and minimize our dependence on apparel by catering our services to female homeowners who represent over 70 percent of our loyal customer base, and make the primary decisions regarding any home renovations," said Marvin Ellison, chairman and chief executive officer of JCPenney. "These are categories that JCPenney offered in its assortment many years ago, and we believe the timing is right to re-enter home services in order to acquire available market share and differentiate our business from our traditional competitors and pure e-commerce retailers."
Each program will be presented as an informative, compact display located within the home department in approximately 100 stores this spring, with services and marketing varying by location. The company has also launched a digital storefront at jcpenneyhomeservices.com, where users can shop the range of professional services offered and schedule an in-home consultation. An authorized contractor will then determine the scope of the job and provide an estimate for the total cost. JCPenney will introduce a JCPenney Home Services credit card this summer, enabling customers to take advantage of promotional financing offers.