March 24, 2015

J. Crew - Not Cruising Along

We keep reading that omnichannel is the secret to success. And in this release of 4th quarter results (click here), J. Crew references their internal omnichannel reorganization from channels to brands.

And yet, in the years leading up to 2014, J. Crew was profitable and trendy and received a lot of great press.

Now, in the omnichannel era, J. Crew is losing money and posting negative comp store sales.

#Omnichannel!!

Notice that J. Crew reports along two brands:
  • J. Crew: Terrible results.
  • Madewell: Fantastic results.
If omnichannel was the answer, then both brands would be thriving, right?

But when we see one brand thriving, and one brand struggling, we learn a lot about business success. We learn that merchandise and creative strategy and story matter greatly ... everything else ... not so much.

How much time do you spend in meetings each week talking about marketing theory and omnichannel business alignment?

How much time do you spend in meetings each week talking about merchandise and creative and the story you tell customers? Be honest.