Is Amazon down with JCP?
With JC Penney recently filing Chapter 11 bankruptcy protection, some experts believe the retailer could be acquired by Amazon — and it’s all about the private label.
An article in the Dallas Morning News spoke to analysts and consultants that suggested the department store has a well-respected portfolio of private brands and it can be leveraged to further boost Amazon’s current store brand apparel prowess.
Another recent article in the fashion publication WWD reported that Amazon executives have already visited the JC Penney headquarters in Plano, Texas, sparking some of the intrigue. JC Penney’s private brands include some big names such as a.n.a., which launched a new denim line earlier in the year, Arizona, St. John’s Bay, Liz Claiborne and more, and they are a value play that fits in line with Amazon’s earlier acquisition of Hanesbrands’ C9 by Champion line, and clothing under its own Amazon Essentials line.
Research from Coresight said three-fourths of Amazon’s private brand offerings are in apparel, but those interviewed in the Dallas Morning News said the retailer is still hungry to enhance its apparel offerings. The article also said Amazon isn’t far from over-taking apparel market share from Target and Walmart.
In addition to apparel, Penney’s has private brands in other categories, too, such as its brand-new launch of Linden Street bedding own brand.
Read the Dallas Morning News coverage here.