SALES
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
20,000
15,000
10,000
5,000
0
Net sales of Nordstrom worldwide from 2011 to 2020
Net
sales
in
million
U.S.
dollars
NORDSTROM MARKET
Founded in 1901 as a shoe retailer, Nordstrom has
since worked their way into nearly every realm of
leisure
With a primary focus in luxury goods, there is a
curation of many different brands and a wide range
of products suiting different lifestyles and budgets.
Fashion, beauty and fragrance, and home are
Nordstrom's main focus, and with constantly
updated product selections customers are sure to
find something new.
CURATION
Nordstrom is well known for the unique brands
they bring into the store,
TopShop kiosks, Levi's pop up shops, and soon
introducing ASOS are just some of the retail tactics
to bring in new budgets, ages, and audiences.
Having a web page for Black Owned companies,
a new focus on sustainability, and celebrating
cultures is something Nordstrom does well.
Male
35 years old
Single, no children
Lives in Chicago, Illinois
VALS Profile Type: Achiever
Demographics
MEET MATT
MEET MATT
Communications & Business Degree
from Brown
Senior Car Salesman at Luxury Car
Selection
$100,000 per year
Simple studio apartment
MEET MATT
career-driven, energetic, hardworking
enjoys test driving luxury cars
watches sports games to relax
subscribes to Luxury Auto Direct
Magazine
attends luxury car shows
goes to the gym
meets friends for drinks at the bar
loves the Marvel franchise
Psychographics
MEET ANNA
Female
55 years old
Divorced, 4 Adult Children
Lives in Long Island, New York
VALS Profile Type: Achiever
Demographics
MEET ANNA
Interior Design Degree and Journalism
Minor from Georgetown
Editor for House Beautiful Magazine
$95,000 per year
Luxurious 6- bedroom waterfront
home
MEET ANNA
creative, open-minded, career-driven
enjoys gardening with her grandchilren
decorates houses in spare time
true to her style
animal lover
values honesty, hard work, and
compassion
attends wine night with friends
goes to her local gardening club every
week
Psychographics
Student
5th Grade
Dependent on double income
household $210,000 year
Lives with family: 2 brothers, 3 sisters
MEET CHRISTINE
respectful, bright, dedicated
enjoys playing soccer
watches the women's national soccer
team
loves making tiktoks and playing dressup
watches and follows Daya Daily beauty
tutorials
attends weekly sleepovers with friends
aspires to be a famous cosmetologist and
a professional soccer player
Psychographics
MEET CHRISTINE
MEET JANE
Female
32 years old
Married, no children yet
Lives in the Upper West Side
New York City
VALS Profile Type: Innovator
Demographics
MEET JANE
Journalism Degree from NYU
Senior Copywriter at Condé Nast
Traveler
$81,000 per year
Spacious 2 bedroom apartment
MEET JANE
passionate, career-driven, family-oriented
enjoys being able to make her own money
loves fashion, especially designer shoes
follows Vogue religiously
animal lover
does yoga and pilates
attends a weekly book club with friends
enjoys date nights with her husband
Psychographics
MEET ALESSIA
Female
21 years old
Single
Born in Lima, Peru
Lives in Savannah, GA
Attends Savannah College of Art &
Design
No children
VALS Profile Type: Believer
Demographics
Student - Junior
Works part time as a SCAD
Tutor
Parents currently pay for her
living
Middle class family
Rents apartment with two
roommates
MEET ALESSIA
dedicated to her studies
responsible and passionate
loves to exercise around Forsyth
loves going out with friends
follows emerging brands
follows fashion influencers
loves thrift shopping
aspiring celebrity stylist
Psychographics
MEET ALESSIA
THE WEBSTER
Miami based, but now with 7 flagship
stores around the country.
Hundreds of designers well know and
small to choose from
Founded on the idea that they want their
shop to feel welcoming, and like you're in
the world's best closet
DOVER ST. MARKET
Founded by Rei Kawakubo, there are
seven Dover Street Markets globally
Curation of luxury and high end
fashions, with a focus on streetwear.
Very unique perspective and aesthetic
for a luxury store, often inviting artists
to display and/or sell their work at many
locations
Constantly alternating products
WOLF & BADGER
London Based with flagship stores at
Kings Cross and in SoHo
Partnered with Bottica to create a
'powerhouse for independent
designers' with a strong focus on
jewelry
Huge emphasis on the environment,
making sure that all designers and
products they sell are eco conscious
and sustainable without lacking quality
SSENSE
A primarily e-commerce shop with one
location in Montreal
Focus on high end pieces, with out the
snobbiness associated with Luxury
Extremely large selection of designers,
price ranges, and products, very much
with a focus on emerging artists.
Have a focus on art, selling unique pieces
and furniture on their website
Strengths
Nordstrom’s portfolio includes Nordstrom
Rack (discount stores), Trunk Club
(subscription box service). It allows the
company to address different shopping
needs. They offer an innovative product
mix and a non-traditional department store
approach to curating merchandise.
Diversified Portfolio
Superb Customer Service: Nordstrom Local
Strengths
Superb Customer Service via
Nordstrom Local
Nordstrom's core values are based
around excellent customer service,
and the new Nordstrom local
concepts allow customers to pickup
orders, place returns, and do
express alterations.
Great Return Policy
Strengths
Nordstrom has an amazing
customer returns policy, which
gives the customer security when
purchasing Nordstrom
merchandise. If they dislike their
item, they know they can return it
anytime, no questions asked.
Destigmatization of Department Stores
Strengths
Nordstrom is constantly offering their
clientele innovation: from
collaborations, to pop-up shops, they
have managed to leverage their
strength and scope and diversify their
product array.
High E-commerce Presence
Strengths
In department store sales, Nordstrom
is second in e-commerce sales only
beaten by Neiman Marcus. Currently,
$4.7 Billion (30% of its total $15.9 B
revenue) comes from digital sales.
Nordy Club Membership Program
Strengths
Nordstrom’s customer loyalty/ reward program
allows customers to earn points, & access
exclusive deals. The program has over 13
Million members (2019). These members
generated about 2/3 of the annual revenue.
Nordstrom can create a lock-in situation with
its members.
Strong Corporate Responsibility
Strengths
Nordstrom supports the communities where it
does business by donating millions of dollars
to hundreds of NGOs in the U.S., Canada, and
Puerto Rico. Apart from supporting
Good+Foundation, Nordstrom pledged $5
million as investments and community grants
within New York City by the end of 2020.
Expensive and Risky Investments
Weaknesses
Nordstrom recently opened their NYC Flagship
store to which around $500 million were
invested. This store opened in 2019 and later
had to face the retail decline of 2020 due to
the pandemic. This of course, was a highly
risky investment that was incredibly
expensive.
Limited Global Presence
Weaknesses
Limited Global Presence
Currently, Nordstrom only physically operates
in the United States and Canada. Although
they ship basically to all countries in the world,
this mainly confines their sales to be directed
towards North and Central America mainly.
They are missing out on the rest of the world.
Become an Incubator of New Talent
Opportunities
With SPACE, Nordstrom has the potential to
become a business that constantly seeks to
discover new talent with emerging designers and
ones that encourage outside-the-box thinking in
terms of retail and fashion.
E-commerce Expansion
Opportunities
More and more customers are shopping online.
Nordstrom can focus on expanding its e-
commerce platforms and increase online sales
even further by offering innovative online
experiences using virtual reality try-ons.
Attract Younger Customers
Opportunities
With SPACE, Nordstrom has the opportunity to
expand its customer base by adapting strategies
to effectively targeting younger customers with
iconic youthful brands. According to Nordstrom,
its average purchaser age is 42 years, and
young customers (18 –34 years) constitute only
about 36 % of its customer base.
Incorporation of Luxury Resale Space
Opportunities
We believe Nordstrom has the potential to
incorporate a space for pre loved luxury items.
This will not only create a greater sense of
security for the customer when purchasing new
luxury items, but it is also a step in the right
direction towards sustainability.
Current Pandemic
Threats
The ongoing pandemic has caused a significant
decline in travel and in-person experiences.
Many people have reduced their travel plans
causing many stores throughout the country to
become less visited. The threat of contact due to
the virus has also caused less and less people to
go out to shop physically.
Global Supply Chain Delays
Threats
There is a current global supply chain crisis,
which is a direct result of COVID-19 disruptions
as well as a large increase in demand. Shortages
of workers, equipment, shipping delays, and
space have only made the issue worse.
OPULENT DRESS UP
Ultra-sensory textures and colors come together as an explosive
take on post-pandemic fashion.
David Koma Balenciaga Valentino Christian Siriano
STATEMENT OF
OPPORTUNITY
We believe that Nordstrom has the
opportunity to grow its client base with
SPACE. Young consumers are looking to
step out of the traditional "big box"
shopping experience. They are looking for
pieces that are exciting and unique and
have a highly curated shopping experience.
SPACE is Nordstrom's chance to empower
emerging designers and appeal to younger
consumers.