New Businesses Represent the Next Generation of Online Retail
PLANO, Texas & NEW YORK, Nov 11, 2010 (BUSINESS WIRE) --
Beginning in summer 2011, J. C. Penney Company, Inc. (NYSE: JCP) will
launch two new retail businesses - called Gifting Grace and CLAD
- in a marketing partnership with Hearst Magazines. The sites will debut
under J. C. Penney Company Inc.'s newly formed Growth Brands Division, a
business unit created to pursue high potential opportunities and
leverage the Company's exceptional merchandising, marketing, product
development, sourcing, IT, and planning and allocation capabilities.
Gifting Grace and CLAD are part of a strategic promotional
relationship between Hearst Magazines and J. C. Penney Company, Inc.,
designed to create the next generation of online retail businesses.
Gifting Grace & CLAD: A Strategic Collaboration
Recognizing and capitalizing on the power of both companies creates a
unique opportunity to gain a significant share of consumers' growing
e-commerce spend. Hearst Magazines will lend its vast brand expertise
and consumer reach, and J. C. Penney will leverage its industry-leading
In this marketing partnership, Hearst Magazines' renowned brands will
curate items alongside the Growth Brands Division's buying teams to
offer customers the perfect merchandise mix along with a satisfying user
experience. Promotional sections in Hearst's magazines and on its web
sites will help raise awareness, driving traffic to and engagement for
the CLAD and Gifting Grace sites.
Myron E. (Mike) Ullman, III, chairman and chief executive officer, said,
"We are very proud to collaborate with the talented team from Hearst, as
we launch the first two businesses from the Growth Brands Division. The
combination of our deep experience in retail which includes jcp.com -
one of the biggest e-commerce sites on the web - and Hearst's creative
authority enables us to build comprehensive online retail solutions and
gain market share from high potential opportunities."
Frank A. Bennack, Jr., vice chairman and chief executive officer of
Hearst Corporation, added, "We have a long history of working with J. C.
Penney and are thrilled to be collaborating with them on this new retail
venture, which will leverage the brand expertise of Hearst Magazines to
drive consumers to make e-commerce purchases. Partnerships like this
represent the future of how content and retail can go hand in hand."
Targeting women ages 30 to 54, giftinggrace.com will be a
comprehensive online gifting resource offering an extensive assortment
of unique and memorable gift items, compelling content and convenient
tools for the year-round gift-giver. Hearst Magazines' brands, such as Good
Housekeeping and Redbook, will work closely with the buyers
from giftinggrace.com to identify and curate merchandise that will
appeal to women searching for that perfect gift. Online tools will help
these consumers manage their gift lists; engage in a community with
giving and receiving tips/ratings; and share their favorite gifting
success stories. With hundreds of billions spent on gifts in the U.S.
and no clear digital leader, giftinggrace.com will provide an elegant
experience for gift-givers who take great care in finding exceptional
gifts for friends and loved ones. Giftinggrace.com will launch in summer
2011 supported by in-book and online marketing and promotion in various
A complete online modern menswear resource aimed at fashionable men ages
25 to 54, CLAD is set to launch in summer 2011 and will provide a
full assortment of well-curated designer brands in a savvy digital
environment. Esquire, a leading men's magazine and the go-to
publication for fashionable guys, will work in concert with the CLAD
team to ensure that the product assortment and branding speak directly
to this savvy, stylish man. CLAD will provide tools to make it easy for
him to shop often with special fit solutions that will ensure he gets
the right fit no matter what brand he is buying. As technology evolves,
so will CLAD, which will constantly upgrade the digital experience and
address the technology needs of the busy professional.
About J. C. Penney Company, Inc.
J. C. Penney Company, Inc., traded on the New York Stock Exchange under
the ticker symbol JCP, is a Plano, Texas-based holding company with
$17.6 billion in sales. The Company has over 1,100 retail locations
throughout the United States and Puerto Rico under the JCPenney brand
name. Its Growth Brands Division, a division pursuing high potential
opportunities in the retail sector, includes both store and online
initiatives. With the largest product development & sourcing
organization in the retail industry, J. C. Penney Company, Inc.
continues to be the forerunner in retail merchandise innovation.
About Hearst Magazines
Hearst Magazines is a unit of Hearst Corporation (www.hearst.com),
one of the nation's largest diversified communications companies with
interests in magazines, newspapers, digital media, business media and
television. As one of the world's largest publishers of monthly
magazines, Hearst Magazines publishes nearly 200 editions around the
world, including 14 U.S. titles and 20 magazines in the United Kingdom,
published through its wholly owned subsidiary, The National Magazine
Company Limited. Hearst Magazines is a leading publisher of monthly
magazines in the U.S. in terms of total circulation (ABC June 2010) and
reaches 73 million adults (Spring 2010 MRI).
Its digital media unit operates 24 websites and 10 mobile sites for
brands such as Cosmopolitan, Popular Mechanics, Esquire,
Good Housekeeping, Marie Claire and Seventeen, as well
as digital-only sites such as Delish.com, a food site in partnership
with MSN; TheDailyGreen.com; MisQuinceMag.com; RealBeauty.com; social
shopping site Kaboodle.com; and consumer health site RealAge.com.
Currently, Hearst Magazines has nine iPhone applications; all of its
titles are available on the iPad via the Zinio application; and by the
end of the year, the company expects to have at least 35 iPhone and iPad
applications for its brands.
SOURCE: J. C. Penney Company, Inc.
Kate Coultas or April Dinwoodie, 972-431-3400
Kristin Hays, 972-431-5500
Jessica Kleiman, 212-649-2545