Hearst Magazines and J. C. Penney Partner to Launch Gifting Grace and CLAD
(Press Release) PLANO, TEXAS and NEW YORK, November 11, 2010—Beginning in summer 2011, J. C. Penney Company, Inc. 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 with Hearst
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 retail infrastructure.
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 websites 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."