JCPenney has struggled for over a decade, with revenues dropping from nearly $18 billion in 2010 to $6.6 billion in fiscal 2024. The company reported a $177 million loss in 2024, a sharp decline from a modest $30 million profit in 2023, according to GlobalData analyst Neil Saunders.
However, a new marketing campaign called “Yes, JCPenney,” launched in April under the guidance of Marisa Thalberg, the brand’s chief marketing officer, is showing promising early results. Thalberg, inducted into the Forbes CMO Hall of Fame in 2022, aims to reshape the public’s perception of JCPenney through this innovative approach.
Within a month, sales of contemporary fashion items promoted in the campaign exceeded five times those of existing products. The company reported a 22% increase in brand searches on Google and a 200% jump in organic social media engagement. Market research firm YouGov noted a 2.3% rise in ad awareness, a 6.5% increase in word-of-mouth, and a 16.4% boost in purchase consideration from April to June.
Foot traffic at JCPenney stores also improved, rising 3% year-over-year in May after the campaign’s launch, while visits to other department stores remained flat. Additionally, JCPenney was voted America’s top department store in a USA Today reader poll, outperforming major competitors.
The “Yes, JCPenney” campaign draws inspiration from Apple’s 1997 “Think Different” initiative, encouraging shoppers to reconsider the brand. Amidst challenges including the ongoing decline of the department store sector and the closure of about 450 stores since 2010, Thalberg wants to reposition JCPenney as a destination offering a wide range of products beyond traditional expectations.
Marketing efforts began with an open letter apologizing for revealing the brand’s “secret” appeal and highlighting value—such as a $250 fashion look priced at $72. The campaign featured anonymous ads in Times Square and malls, creating intrigue by showing high-fashion looks with the question, “It’s from where?” The answer, revealed via QR codes, was “Yes, JCPenney.” Television commercials reinforced the message of stylish, affordable fashion.
To generate buzz, JCPenney hosted a $10,000 wedding in Venice, California, as a playful contrast to a reported $20-$50 million celebrity wedding. The event fully outfitted a young couple’s celebration with JCPenney’s fashion, cosmetics, jewelry, and home goods, showcasing affordability without sacrificing style.
Thalberg joined JCPenney in October 2024 and brought extensive marketing experience from brands like Lowe’s and Estée Lauder. After exploring the brand’s offerings, she identified untapped potential in its fashion assortment and other departments. Her goal is to drive an “aha moment” for consumers with the simple phrase “Yes, JCPenney,” emphasizing discovery and value.
While progress is encouraging, challenges remain. Saunders notes that to convert brand interest into sales, JCPenney must continue improving its product relevance and in-store experience. Thalberg acknowledges the need for store enhancements and highlights over $1 billion invested since 2023 to refresh product lines. She emphasizes the brand’s focus on surprising customers with quality items at low prices, driving renewed customer enthusiasm.
Early indicators suggest the “Yes, JCPenney” campaign is successfully attracting attention and rebuilding confidence, positioning the retailer for a potential turnaround in a challenging retail landscape.