George Anderson of Retail Wire recently reported that JC Penney is offering free haircuts as part of its back-to-school campaign. Based on anecdotal evidence, the article says, the promotion appears to be working. But Anderson suggests that the key to the success of this program will be, “how many of those [160,000 haircut appointments] are either new customers to Penney or returning shoppers who increase their spending.
There are many great (i.e. profitable) ideas that are hard to imagine working. And many poor (i.e. unprofitable) ideas that intuitively seem like a lock. Customers are tricky that way. (more…)