Nordstrom Case Study
Nordstrom to provide outstanding service every day, one customer at a time. (John Nordstrom). Founded in 1901 in Seattle Washington. Nordstrom intent was to provide excellent service to customers. Mission of the company management is to make decisions to best fit the customers and employees. Employees are trained in a way to encourage to trust one another integrity and use good judgement on the job.
Nordstrom planning objectives and measures cous use to assess the success of its web-based inventory integration by providing enterprise resources such as a management software that will manage the product inventory with the control price list, product information management, customers relations software and integrated sales software. Showing the increasing online selling and overall sales.
The three circumstances that Nordstrom should consider when measure the efficiency of the online sale by comparing online sales with last years sales, comparable sales with competitors online sales, and compare their sales with the benchmark.
Spend a 15% of its capital expenditure on expanding in ecommerce and technology. (Brohn, 2011). Expansion on Nordstrom racks have proved to be more profitable per square foot then full line stores, these stores generate $553 in revenue compared to 372 per square foot in full line stores.
Have their own credit card to build a more personalized relationship with customers. Using Led lights with HVAC systems that remotely control lighting, Decreasing water usage, Communication their products and services through emails, flyers, and radio
Free shipping and free returns are offered for customers.
Outside apparel, store offers spa services and restaurants. Created a more relaxing environment for customers to take shopping breaks.
Environmental Protection Agency (EPA) award Nordstrom with a smart way Excellence award for their innovative ways of cutting down cost on mileage since one third of new customers come from online, which is why the company emphasizes on expanding in technology and ecommerce.
Implementing this value with their employees and creating the norm of providing friendly, caring high-quality customer services. Offering rewards for outstanding work creating and environment of people that care and are willing to participate because they feel welcome and have desire. Nordstrom is also known for taking care of their employees by being well known for its mentoring programs. Internships in retail management, merchandising and planning fashion, technology, and general headquarters internship. Open door policy allows employees to express their concerns with management.
Nordstrom multichannel selling allows the business or company to use its warehouses as well as its inventories on the selling floor to make a sale to far to reach customers while at the same time creating a more customer relationship using sale associated for customer engagement and technology for speed and efficiency to grow. One strategy is the full price on line stores. There is no charge for delivery and customers have the privilege of returning merchandise to a store if they wish. Most of the returns become exchanges.