NordstromNordstromRetail MarketingRetail Marketing

BA 495BA 495

By

Vida AtchuloVanessa CaronAshleigh Artoff

Taking Customer Service One Step Further

“In simple terms, fashion is what sells. With compelling merchandise and an unyielding commitment to customer service, we can be the retailer customers trust.”

-Erik Nordstrom, President of Stores

Mission Statement

History

Nordstrom formally known as Wallin & Nordstrom started in 1901 by two friends Carl Wallin & John W. Nordstrom in downtown Seattle as a shoe store.

In 1928, John Nordstrom retired and sold his share of the company to his sons.

In 1929, Carl Wallin retired and also sold his share of the company to the Nordstrom sons.

History (cont.)

The company went public in 1971. In 1973, Nordstrom sales passed the

$100 million mark and the company was recognized as the largest-volume West Coast fashion specialty store.

This same year, the name was formally changed to Nordstrom, Inc.

Nordstrom Today Nordstrom is focused on catering to customers'

needs, individually. Today, Nordstrom has grown with its renowned

services, generous size ranges and a selection of the finest apparel, shoes and accessories for the entire family

The company's philosophy, to offer the customer the best possible service, selection, quality and value, has remained unchanged for more than 100 years since its establishment by John W. Nordstrom in 1901.

Nordstrom Who shops at Nordstrom?

-Fashion forward men and women.-Ages 16 to 65 -Repeat customers that expect high levels of customer service.

Where can you find Nordstrom?-In a larger mall around the country. Not a free standing store.

Known for yearly Anniversary Sale, which earns more revenue in one week than all of the holiday shopping season, making for very successful second and third quarters

Nordstrom: Who and Where

Nordstrom Rack

Who shops at Nordstrom Rack?

-Men and women looking for a bargain on fashion.

-Ages 16 to 65

-Both repeat and new customers Where to find Nordstrom Rack?

-Free standing stores around the country.

Nordstrom Rack: Who and Where

SWOT Analysis

Strengths Innovators in technology for merchandising and

tracking i.e. Personal Book, & register systems Realized customers who have a multi-channel

relationship with the company spend 4 times more = 6% same store increase, 2005

Known for yearly Anniversary Sale, which earns more revenue in one week than all of the holiday shopping season, making for very successful second and third quarters

“Forbes 100 Best Companies”

SWOT Analysis

Weaknesses Currently no stores in the Boston area, the last

major metropolitan area without presence - planning on opening 4 stores between 2007 & 2010

Highest revenue comes from cosmetics, shoes and accessories, women’s apparel has potential for highest revenue, need to focus on this

Recently added Nordstrom Rack onto webpage, could expand on this; shipping or merch selection

Could improve the In Home department – very weak.

The Website

Believe in offering consistent “Nordstrom Experience”

SWOT Analysis

Opportunities Expansion opportunities – working on

stores in the Boston area

Expand from just Faconnable brand in other parts of the world (currently in Spain, Portugal & France)

SWOT Analysis

Threats Macy’s, Bergdorfs, Sak’s 5th Avenue,

Neiman Marcus TJ MAXX, Other Discount Retailers?

References

Google. (2006). http://images.google.com/images

Nordstrom Employee Handbook, 2006 Nordstrom.com, (2006).

http://about.nordstrom.com/aboutus/companyhist/companyhist.asp