JCPenney banking on Chris Madden line
By Carole Sloan -- Furniture Today, February 23, 2004
NEW YORK — NEW YORK — Chris Madden's upcoming home furnishings collection at JCPenney has the retailer's executives hoping for as much as a 20% gain in JCPenney Home Collection sales, now at about $1.5 billion.
The 1,700-SKU collection called Turning Home into Haven will be in the retailer's stores and on its Web site in May.
"It is our most ambitious launch and a challenge to our multi-channel approach," said Charlie Chinni, executive vice president, home, fine jewelry and family shoes. Because of lead-time differences, the collection will not be in the catalog until fall.
Furniture, including bedroom, dining, occasional, upholstery, and accent pieces, will play a key role, although the exact number of SKUs has not been determined. Rugs, bed and bath, accessories and window treatments all are included.
Case goods are being sourced from Asia and upholstery is from manufacturer Alan White.
Furniture sales have improved at JCPenney because of back-room improvements, said Allen Questrom, chairman and CEO.
"We corrected the infrastructure and built new systems," Questrom said. "We have to be in the furniture business. Our furniture business now is going strong and will be even stronger with the housing sales and even bigger homes."
With the infrastructure in shape, he said, the focus is on product. The collection with designer and author Madden is a major step in accelerating the home business, he said.
"We're looking at offering the right taste level — not leading edge, but the right fashionability," said Questrom.
Turning Home into Haven is based on three decorating lifestyles. "Adventurous" reflects global influences on design with deep, rich colors like terracotta, saffron, chocolate and ebony finishes, and paisleys and microfiber fabrics. "Serene" is a cool, contemporary mood with cleaner, darker woods and a "strength of line." "Romantic" includes light, slightly distressed finishes and "a great pine finish" reflecting the looks of the great country houses of northern Europe.
Promotional efforts for the collection will include an extensive media effort and in-store appearances and TV spots by Madden. The launch coincides with the publication of her 16th decorating book, "Chris Madden Haven: Finding the Key to Your Personal Decorating Style."
"It was really important to make the furniture really accessible to the Penney customer. I think we showed you can make gorgeous furniture at affordable prices that can last," said Madden, whose furniture line with Bassett from 1998 to 2003 had sales of more than $100 million.
She added that consumers today "are faced with so many choices that it is overwhelming. We're not setting a dictum but we're sharing ideas with customers to empower them."
In an interview before the preview of the Chris Madden collection here, Vanessa Castagna, chairman and CEO of JCPenney stores, catalog and Internet, said that despite the price deflation taking place in home products, Penney looks to maintain some of the price points "by adding quality to the products we have" — in features, style, or durability.
"Chris Madden is a key example. It adds a new layer of business across our home lines," Castagna said.
Chinni said the Madden collection, in the works for a year, "has resulted in an intelligent process of product development, sourcing, testing and affordability."
He and Madden lauded both the JCPenney product development team headed by Deb Evans and the Madden design group. Madden also hailed the efforts of the furniture group at Penney headed by Bob Price, vice president; Mike Sullivan, case goods buyer; and Joe Disarro, upholstery buyer.
