JC Penney Replacing Cash Registers With Coffee and Juice Bars

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Caribou coffeeBy Ashley Lutz

JCPenney (JCP) can offer shoppers something no online retailer can: food and drinks to enjoy while they spend money.

CEO Ron Johnson said the retailer was planning on replacing traditional cash registers with coffee and juice bars, reports Sapna Maheshwari at Bloomberg News. A prototype he showed reporters in August included a Caribou coffee stand.

The stands will be there so "no one has to leave the store if they want to refresh," Johnson said.

It's a smart strategy and one that gives JCPenney a leg up on online retailers. Johnson has also announced plans to give associates iPads and eliminate most cash registers.

Other retailers are also using food to lure shoppers into physical stores and away from their computers.

After introducing cafes to a couple of its stores, Urban Outfitters (URBN) found that a visit to the cafe doubled the amount of time people spent in the store, Maheshwari reported.

Gap's Banana Republic has also started hosting more in-store events that include food.

"The one thing you can't get in the cyberworld is the tactile experience and that won't go away," an Urban Outfitters executive told Bloomberg. "Food is becoming bigger and bigger in terms of entertainment value."



More from Business Insider:
How the Costco CEO's College Job Turned into His Big Break
The Death of the Cash Register
One Stunning Spat That Puts JCPenne's Collapse in Perspective



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Mary

JCP has lost a lot of its customers due to taken away some of its clothes line that were great like there ST John Sweat pants and t shirts and Haggar panst for men Worthing Panty hose control top for women etc i very seldom frequent there stores now due better at Kohls and Lord and Taylor Get some knowledgeable associates that is what you need

January 07 2013 at 11:57 AM Report abuse rate up rate down Reply
Mary

JCP has lost a lot of its customers due to taken away some of its clothes line that were great like there ST John Sweat pants and t shirts and Haggar panst for men Worthing Panty hose control top for women etc i very seldom frequent there stores now due better at Kohls and Lord and Taylor

January 07 2013 at 11:55 AM Report abuse rate up rate down Reply
James M

Food and drink sounds like the old Roses. Anyone remember their food counter?
Ron, Ron, Ron, not a new idea. Oh wait free, like Walmart or BJ samples. I go there for lunch.

For suuure, what do you say we go to JCP and hang out, get a haircut, and get a juice. What buying age group is this clown seeking? Ah, would explain that neon ( pink, green, yellow) cheap faddish stuff that will go out of style in 6 months that this store is packed with these days. Hey, they even used those off season gaudy colors in their TV Christmas ads. Did you noticed?

Here in lies the rub Ron, that is not a department store model, this is the reason your core shoppers are gone for good. To fill the square foot of a department store with nothing more than valley girl clothes and products isn't going to work. You can't win with all those mini shops that make up the bread and butter of a mall that cater to this crowd. You are trying to put these out of business? Good luck with that. They are already locked into a brand. The idea you still carry shower curtains, pillows, kitchenware needs to go, Martha Stewart?

The crowd you want for your 100 mini bouquets will not be looking at that stuff, might as well put in a roller coaster. The over 28 crowd with 2 kids, PTA, soccer, etc, isn't going to JCP for that stuff. Bed Bath & Beyond, Macy's, Kolhs will take up that slack and eat your lunch.

Wait Ron, idea for you, an Apple store within a store, juice and coffee up front, mixed in within 100 mini bouquets?

Apple devices for check out? Ron, Ron, Ron ever hear the word ergonomics? How about the phase repetitive motion?

December 30 2012 at 8:25 PM Report abuse rate up rate down Reply
rodmckgreen

i don't have time to shop and eat. i have to run in and out. JCP is really catering to the younger hip shoppers. they have time to eat look shop drink. working moms have to cook clean homework chauffuer.........

November 29 2012 at 9:13 AM Report abuse rate up rate down Reply
Larry & Kathy

Perhaps Starbucks should conside selling clothes....What a concept!

November 29 2012 at 9:13 AM Report abuse rate up rate down Reply
normde

I serviced JC Penney cash registers for NCR Corp. 1961-93. A typical store had 45-50 cash registers. Now they have 10-12..

November 29 2012 at 9:08 AM Report abuse rate up rate down Reply
domegrp

Note to CEO: Could you please have some actual salespeople in the homewares department? You lost two sales from me due to confusion in your store. Also your new way of inputting sales at checkout takes longer. Keep the coffee and juices away from the clothing, don't you think?

November 29 2012 at 9:03 AM Report abuse +1 rate up rate down Reply
Frank

Seems like a store without direction trying anything and everything. I think they should downsize and go back to their original demographic, many of whom have been reluctant to continue shopping there. Ironically, because of the constant changes taking place. They probably could survive, just at a smaller level.

November 29 2012 at 9:01 AM Report abuse +1 rate up rate down Reply
harolddundee

It is quite clear J C Pennys is being run by an idiot.

November 29 2012 at 8:39 AM Report abuse rate up rate down Reply
phunywun

Why doesn't Penny's replace the CEO and maybe people will come back. They need customers in the stores to use any of these proposed gimmicks.

November 29 2012 at 7:41 AM Report abuse +1 rate up rate down Reply
1 reply to phunywun's comment
suepfullmann

The Sears associates in the appliance department carry big ipads and they hate them. They say they are heavy and have increased back claims because of them. They even went so far as to have them wear waist belts to help with the back pain. I agree with you, replace the idiot CEO.

November 29 2012 at 8:38 AM Report abuse +1 rate up rate down Reply