Is Nordstrom a Luxury Brand?
Many people think Nordstrom is a luxury brand, especially considering its grand and varied selection of items. But what do consumers think? The retail giant boasts of an inclusive workforce and invests in the menswear brand Bonobos, which is sold directly to consumers. But how can this retailer be considered a luxury brand? Here are some factors to consider. Let’s discuss each one of them one by one.
Nordstrom has a grand and vast selection of items
For over a century, the name “Nordstrom” has been synonymous with high-quality luxury items. Founded in 1901 by two Swedish immigrants, the company has grown into an international chain of department stores. Nordstrom specializes in apparel, shoes, accessories, beauty products, and home goods. They cater to a diverse customer base and offer a broad range of styles and designs for everyone. From business to casual wear, Nordstrom has it all.
The second-floor couture department has a gilded entrance, featuring designer names such as Michael Casey, Rena Lange, Donald Deal, Westcott, Oscar de la Renta, and more. They also carry exclusive collections from Sergio Pellari Couture, Sonia Rykiel, Donna Karan, and Dolce & Gabbana. The Nordstrom chain is also home to a new resource, Etro, which is exclusive to its Roosevelt Field location. Other luxury lines available at Nordstrom include Moschino Jeans, North Beach Leather, and Dolce & Gabbana.
The success of Nordstrom can be traced to several factors. The company’s inventory was so large that it accounted for much of its revenue, a figure far above that of most fashion stores. The store also boasted massive inventories at all times, typically twice the size of other department stores. Typical Nordstrom stores also featured 5,000 men’s dress shirts and 7,000 ties. They also partnered with many high-end brands, including Thinx, Kim Kardashian West’s shapewear brand Skims, and Reformation, which is environmentally friendly and has sustainability baked into its DNA.
In 1980, Nordstrom was the third-largest specialty retailer in the United States, behind Lord & Taylor and Saks Fifth Avenue. By 1985, it had 51 stores across the western United States and had plans to expand in other regions. The company opened its first store in the Midwest, in Oak Brook, Illinois, a suburb of Chicago. It was a huge success and the store’s first year of operations saw a growth of $100 million.
It has a diverse and inclusive workforce
The retail giant Nordstrom is making a significant commitment to diversifying its workforce and business model. In an open letter to its employees, CEO Erik Nordstrom laid out his new DIB strategy. Listed below are some of the highlights. Whether you’re a student, a parent, or an employee, you can help make Nordstrom a more inclusive and diverse place to work. If you’re a business owner, you can also join the movement.
In a recent study, employees rated Nordstrom a 70 on a diversity index. The company is ranked among the top 35 percent of companies when it comes to diversity. This is an impressive achievement. The company has also recently pledged to increase the diversity of its workforce by at least 15 percent, to hire more people with diverse backgrounds and experiences. Nordstrom’s diversity strategy consists of several steps.
The company’s diversity strategy is a key component of its efforts to increase its representation of Black and Latinx managers by 2025. In addition, Nordstrom also plans to expand its Employee Resource Groups beyond its Seattle headquarters by the end of this year. The company has also made voting in the upcoming presidential election a company holiday. In addition to hiring more minority and black employees, Nordstrom also has diversity goals for its leadership team.
During Black History Month, Nordstrom is preparing to celebrate Black History Month by launching a new program called “New Concepts @Nordstrom” that will feature a national retail platform created by Black voices. This initiative will feature a selection of Black-owned brands in the flagship store in New York City. In addition, the company is working to promote more Black-owned brands, including Coco and Breezy Eyewear.
It invests in menswear brand Bonobos
Menswear brand Bonobos made a splash last year when Nordstrom announced it was investing $16.4 million in the menswear company. The company began selling its products on Nordstrom.com and in 20 full-line Nordstrom stores, including its showroom in New York City. Nordstrom and Bonobos will benefit from their expertise in marketing, branding, and e-commerce. Both companies plan to use the new funds to expand their offerings.
Nordstrom is not the only company to invest in fast-growing brands. It has forged long-term relationships with many of the most innovative brands. When the company invested in Bonobos nearly a decade ago, its revenue jumped 30 percent year over year. The new investment will help offset some of the company’s losses from e-commerce. With this new storefront, Nordstrom will sell Bonobos’ best-selling Washed Chinos, non-iron cotton trousers, and seasonal pants.
As the number of male consumers increases, the demand for menswear will grow. As more people get the COVID vaccine, Nordstrom will need to find new ways to lure shoppers back into their stores. The menswear industry has a tough time competing with experiences and eating out. Luckily, Nordstrom is not letting that stand in its way. By investing in up-and-coming brands like Bonobos, the company will increase its chance of success.
Another brand Nordstrom is investing in is Buttercloth. This menswear startup, founded in Hong Kong by Peter Georgiou, is a favorite of Ralph Lauren fans. The company makes patented “Icy cotton” button-downs, which are incredibly soft and comfortable. The company was acquired by Searchlight Capital Partners, an investor, in 2017, and has since expanded its retail presence across the world. A third menswear startup, Cuts Clothing, sells high-end athletic wear and minimalist training gear.
It has a direct-to-consumer partnership with Bonobos
Bonobos is an example of a direct-to-consumer brand that Nordstrom has partnered with to expand its assortment. The apparel company has a large following in the menswear segment, and Nordstrom is looking to capitalize on their popularity by expanding its partnerships. Bonobos’ partnership with Nordstrom will help the company offset the loss in revenue that the brand had previously experienced due to the lack of physical retail space.
The collaboration will allow Bonobos to sell their clothing in more than 100 Nordstrom stores. In addition to offering Bonobos products online, Nordstrom will carry Bonobos apparel in its full-line stores and at its retail locations. In addition to providing a new outlet for customers to purchase men’s clothing, the deal will give Nordstrom unique expertise in online marketing and branding.
Nordstrom has partnered with several online retailers, including Bonobos. Bonobos first opened a brick-and-mortar location in Los Angeles in 2014. Two years later, it had 20 locations across the United States. Amazon launched its first physical bookstore in Seattle in 2015 and plans to expand into New York City in 2017. Rent the Runway also opened its first store inside of a department store, the Union Square Neiman Marcus in San Francisco, in 2016.
Among Nordstrom’s recent initiatives, the company partnered with e-commerce company BevyUp to develop a virtual shop experience. In addition to offering in-store fittings and personal styling, the new concept also includes curbside pickup, an on-site bar, and a nail salon. The store also incorporates services from companies such as MessageYes and BevyUp, which offer shopping advice and recommendations to customers.
While the idea of DTC may sound revolutionary, it’s still a largely outdated model. Retailers haven’t changed as much as we’d like to believe. Many of these companies still need physical stores and partners with traditional retailers. Target, for example, has partnered with several online-only brands, including Bonobos. But Bonobos’ partnership with Nordstrom has an additional upside.