- Sephora has more than 660 locations inside JCPenney stores. JCPenney leans on this partnership to drive foot traffic to its stores and boost sales.
- UBS analysts say that this partnership is less beneficial for Sephora, however, which is likely suffering from dwindling foot traffic to malls.
- This is playing into the hands of its competitors, such as Ulta, they said. Ulta has a store within 10 minutes of 78% of these JCPenney Sephora locations.
An error has occurred
Sign up for our best stories delivered to your inbox
JCPenney leans on its partnership with Sephora to drive foot traffic to its stores and boost sales, but analysts say the favor is not being reciprocated as these mall-based locations weigh on Sephora’s sales.
JCPenney first partnered with Sephora in 2006 to woo young female shoppers and differentiate its offering. It now has more than 660 Sephora store-in-stores, which translates to Sephora having a store in around 75% of JCPenney’s store fleet.
In recent earnings calls, senior…