Nordstrom Facts
Nordstrom was founded in the year?
1901
This long-standing department store model is now struggling to survive due to online shopping and workforce issues.
What is the traditional department store model?
This e-commerce powerhouse now controls 40% of U.S. online fashion sales, raising the bar for convenience.
What is Amazon Fashion?
What are the two categories of challenges we mentioned in our slides?
The Human capital crisis, and Marketplace disruption
This percentage represents Nordstrom’s current employee turnover rate, far above the retail average.
What is 52%?
What type of store was Nordstrom originally?
Shoe Store
The key to keeping the brand’s personal, service-driven identity alive
What is rebuilding employee engagement
This ultra-fast retailer releases thousands of new styles daily, with just a 10-day turnaround from design to sale.
What is Shein?
This strategy emphasizes scaling online operations to compete directly with Amazon, Shein, and Temu.
What is Option 2: Accelerate Digital Marketplace Transformation?
Each employee lost costs Nordstrom about this much in recruitment and training expenses.
What is $5,000?
How much was Nordstroms Revenue in 2023?
15.5 Billion Dollars
This is the term for the major discussion Nordstrom’s executive team just finished, focusing on future plans and decisions.
What is a strategy session?
These two challenges—rising marketing expenses and high online returns—are eating away at Nordstrom’s profits
What are higher marketing costs and online returns?
This “phygital” approach blends technology and human service for a seamless shopping experience.
What is Option 3: Hybrid Integration Strategy?
This term describes the emotional state of employees who feel undervalued as Nordstrom shifts toward digital operations.
What is low morale?
What year did Nordstrom launch there website?
1998
Nordstrom faces these two key challenges—one from technology and one from its employees.
What are digital disruption and human capital challenges?
Nordstrom finds itself squeezed between these two market segments, making it tough to maintain its identity.
What are luxury brands and low-cost competitors?
To evaluate the success of any chosen strategy, Nordstrom should track this metric measuring how well employees stay with the company.
What is employee retention rate?
Improving this rate through better compensation and development could save Nordstrom up to $35 million annually.
What is the turnover rate?
What is one of Nordstrom's Private labels we mentioned?
Treasure & Bond
The company can’t keep doing this if it wants to survive in a changing retail world.
What is maintaining the status quo?
To stay relevant, Nordstrom must focus on either improving this or emphasizing the value of its in-store experience.
What is its digital strategy?
This option focuses on enhancing in-store experiences and personalized service to rebuild Nordstrom’s brand loyalty.
What is Option 1: Double Down on Premium Service Experience?
Nordstrom’s brand reputation has suffered as this age group—once loyal to the brand—reports declining satisfaction with in-store interactions.
Who are shoppers aged 25–35?