OPINION: JCPenney's (JCP) New 'Charity' Plan
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Price: $19.24 +1.37%
Overall Analyst Rating:
NEUTRAL (= Flat)
Dividend Yield: 2.3%
EPS Growth %: -424.0%
Overall Analyst Rating:
NEUTRAL (= Flat)
Dividend Yield: 2.3%
EPS Growth %: -424.0%
Trade JCP Now!
If you're not already annoyed by shopping at JCPenney (NYSE: JCP), then get ready.
Keeping in trend with retailers asking you to jump through hoops or feel like the worst person in the world when all you want is a fresh 3-pack of briefs, JCPenney (no, we're not succumbing to the 'hip' lower-case spelling it uses) has decided to launch a new charitable giving program. But, JCPenney isn't the one being charitable...it's asking customers to fork over cash.
According to the release: "jcpenney will support a new cause each month by inviting customers to round up their purchases to the nearest whole dollar and donate the difference to the Company's featured charity partner." Kicking off the effort is the USO (United Service Organizations).
So, like when you go to the grocery store for a can of string beans and three apples, only to be asked whether or not you'd like to donate a dollar to the kids-without-ears-who-are-blind-and-homeless-and-just-recently-contracted-hep-C charity, you can now feel like a piece of used gum while shopping at America's foremost discount retailer.
Don't get us wrong, giving to charity is important. The less fortunate are that way for a reason and basic laws of humanity require those with natural advantages lend aid to others with limited opportunity. But, this seems more like a marketing effort for JCPenney, which has seen its stock drop 44 percent from February, when the euphoria of CEO Ron Johnson's new pricing scheme failed miserably and its merchandising officer departed the company recently as a result. If it's not a marketing effort, why rotate charities instead of just sticking to one?
There's nothing worse than spending maybe $20 to $30 at a store on clothing and then feeling like you just kicked a puppy when asked whether you'd like to donate an extra 31 cents to charity via rounding-up your tab and really not wanting to do it. It's awkward for the customer and probably annoying for the employee, who also has to get you to sign up for one of their "exclusive" credit card programs (you can save 105 percent on today's purchase alone!).
The only idea than worse launching a charity program now would be in JCPenney decided to unveil a prepaid mobile phone partnership with Research In Motion (Nasdaq: RIMM).
Understandably, the stock is down about 0.9 percent at the start Monday.
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Keeping in trend with retailers asking you to jump through hoops or feel like the worst person in the world when all you want is a fresh 3-pack of briefs, JCPenney (no, we're not succumbing to the 'hip' lower-case spelling it uses) has decided to launch a new charitable giving program. But, JCPenney isn't the one being charitable...it's asking customers to fork over cash.
According to the release: "jcpenney will support a new cause each month by inviting customers to round up their purchases to the nearest whole dollar and donate the difference to the Company's featured charity partner." Kicking off the effort is the USO (United Service Organizations).
So, like when you go to the grocery store for a can of string beans and three apples, only to be asked whether or not you'd like to donate a dollar to the kids-without-ears-who-are-blind-and-homeless-and-just-recently-contracted-hep-C charity, you can now feel like a piece of used gum while shopping at America's foremost discount retailer.
Don't get us wrong, giving to charity is important. The less fortunate are that way for a reason and basic laws of humanity require those with natural advantages lend aid to others with limited opportunity. But, this seems more like a marketing effort for JCPenney, which has seen its stock drop 44 percent from February, when the euphoria of CEO Ron Johnson's new pricing scheme failed miserably and its merchandising officer departed the company recently as a result. If it's not a marketing effort, why rotate charities instead of just sticking to one?
There's nothing worse than spending maybe $20 to $30 at a store on clothing and then feeling like you just kicked a puppy when asked whether you'd like to donate an extra 31 cents to charity via rounding-up your tab and really not wanting to do it. It's awkward for the customer and probably annoying for the employee, who also has to get you to sign up for one of their "exclusive" credit card programs (you can save 105 percent on today's purchase alone!).
The only idea than worse launching a charity program now would be in JCPenney decided to unveil a prepaid mobile phone partnership with Research In Motion (Nasdaq: RIMM).
Understandably, the stock is down about 0.9 percent at the start Monday.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
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Insiders' BlogComments
You're wrong
We arn't ONLY asking customers to donate. JCP Donated 1 MILLION dollars on July 1st!!
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Untrue and unfair!
Amy on Jul 8, 2012 03:28 PMMark as Spam | Reply to this comment
jcp has always asked customers to donate. Afterschool Round Up, heard of it? It is now jcpCares. Customers donated over 3 million dollars last year. And the company is sharing the love with multiple organizations, not just a select few.