“Almost $3 billion in sales have been taken from J.C. Penney as they embark on transforming the whole store,” said Dana Telsey of Tesley Advisory Group.
The company’s planned shift toward in-store shops will be just beginning to debut during the crucial holiday shopping season, which is the retail industry’s high revenue period, Telsey said.
“In the meantime, it’s giving TJX , Ross Stores , Macy’s , Gap, and a bunch of other specialty retailers an opportunity to gain share,” Telsey said.
It will be difficult to make up for that lost market share, Shapira said.
“Macy’s, Kohl's, TJX, Ross are gunning for that share today, and as far as clawing that back, I think it’s going to be a tough slog,” she added.
—By CNBC.com’s Katie Little; Follow Her on Twitter @katie_little.
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