In the article, ”How Nordstrom built the world’s best customer-service machine”, Toller(2015), states the core reasons as to why it is successful in what it does aside customer service. Focusing on things that help a company achieve their goals is crucial. In this case, recognising how relevant employee empowerment is to a company is one of the top reasons as to why Nordstrom is seen as an upscale fashion retail company that is incredibly out performing other retail industries. Use of good judgement demonstrates this. Being able to identify its competitive advantage is the central reason why Nordstrom owns a high ranking. Treating customers with the highest quality hands ever is what it greatly appreciates and values.”Nordstrom …show more content…
just goes above and beyond in a way that customers never forget”, Kozinets (The global retail management specialization at the Schulich School of Business). Application of technology and innovation also improves on its operating services as well as those of its customers.
Even though Nordstrom is able to meet customer expectations, many other abilities make it a hit. The first key business concept is Nordstrom being able to identify its main competitive advantage. The second concept is Nordstrom being able to empower its employees. Lastly, the third concept is Nordstrom applying the use of E-commerce or online services. Such business concepts is what improves on a company’s operating levels, such as Nordstrom. Issue 1. The ability to identify competitive advantage. Competitive advantage, being a distinctive factor that many customers value, is one of the greatest components that Nordstrom is able to identify. This is with regard to its customer service. Having the ability to out compete a number of retail industries and stand out as a sole winner is what Nordstrom has been recognised for. Appreciating customer existence is key and the way Nordstrom depicts it, is uniquely mind blowing. The way you make your customers feel at the last interaction determines whether you are making the best out of your competitive advantage, whether you are trying or whether your not just doing it right. Feelings and emotions play an enormous role in a …show more content…
company’s success. From the article Toller (2015), take the scenario of a customer in Anchorage, Alaska, who freely brought back a set of tires to one of the Nordstrom locations with no questions asked. Despite the fact that the store didn’t deal in tires, it still accepted the return. As long as the customer is happy, Nordstrom is happy! Nordstrom’s focus on hiring the right people, who are extremely caring, nice and given the ability to use their best judgement is what sets this kind of pace. From the article Toller (2015), Kozinet’s mother-in-law, ”she’d looked at some shoes at the Nordstrom and had been disappointed that the store didn’t have them in her size.” Now look at what the sales person did! ”The sales person asked for her contact information and made an effort to call the next day.” Even though she didn’t get the same pair, she presented similar versions. The customer is a first priority. This explains the concept of how sales people help customers look for items in the store. Such care is rare to find in any typical store. Although Kozinets’s mother could not make it back to the store, the salesperson was willing to deliver the product. This saleperson acted like a dedicated entrepreneur. Such feedback would be that, she is passionately committed to what the company does and has grown to appreciate making customers happy. Nordstrom employees assisting shoppers lift their purchased items from the stores right to their cars is again tremendous. Their goal is to provide extreme service to customers. Staff accepting back damaged mechandise again relates to this concept. Few companies conduct this exchange to avoid incurring losses. For Nordstrom, the customer is a huge exception. This is what sets them apart from other retail companies. Nordstrom employees are vastly customer oriented. Issue 2. Employee empowerment. Aside from exceptional customer service, empowering employees is an extra strategy Nordstrom applies to achieve its goals.
Who are the most important people to Nordstrom? Customers! Who are the closest to them? Employees! Making employees feel as though they have increased autonomy and preference to make desicions in the company is what defines employee empowerment.. Businesses are often reluctant in offering leadership positions to frontline managers due to fear that they might make mistakes. Nordstrom is not afraid to do that. Employees feel more strengthened to work and produce better results for the company when granted a part of ownership. In Nordstrom, employees are empowered through the only rule they are told they must follow. ”Use good judgement in all situations,” from the article, Toller (2015). Employees are given a high degree of freedom and responsibility to make some desicions concerning customers. ”All employees are given a usual degree of latitude to make their own calls to customers about how to handle problems, Mckibbin says.” Employees are given total responsibilty over the customer. This is to make them feel good at the end of the day, when they have solved certain situations. In today’s world companies are trying to adjust to such strategies. Meanwhile, a company like Nordstrom sought it a long time ago. Interestingly from the article Toller (2015), he found that security guards and house keeping staff are also seen as a big part of the company. They
are given authority to step in and help customers. How delightful that is! Companies that mind even about the lowest of positions are to be rewarded. They have alot to offer. Adding on, the employees are also given freedom to respond to emails from complaining customers. Not everyone can be pleased. ”There are people who get awful services from Nordstrom as well”, says Spector, ”but I always tell them to send an email, and they always get a response.” Issue 3. The application of online systems/E-commerce and technology in general. To summarize how Nordstrom, a humongous retail company maintained the flow of its success, we include the use of an online system. E-commerce refers to the use of technology for business to improve on a company’s sales. Nordstrom is able to maintain its customers through application of online systems and technology. This attracts a multiple of them. It has remarkably poured out lots of money in areas of technology and innovation. From the article Toller (2015), about 30% of its capital expenditures are earmarked for internet infrastructure. The equipment of floor staff with mobile checkout devices is also a mighty step. This makes it simpler for any employee to view a customer through the payment affair and appreciate them.These technology systems allow the company to utilise its inventories along the selling floor to make sales to customers. This inflates customer relationships. Tracking down of inventory is made simpler. ThIs makes the search for different sizes of shoes easy, as well as receiving real time information.Through such systems, elimination of empty shelves is depicted. The company can ably track down the products that are out of stock. Above that, in the article Toller (2015), teaming up with eBay to test drive a ”fitting room of the future”, makes search for other items possible, scanning product reviews and calling for a sales associate. Getting engaged with popular application programmes has also enabled Nordstrom employees know their customer preferences. From the article Toller (2015), ”Shoppers can now buy items they see on Pinterest and Instagram with just a couple of taps on their phones, via apps such as Like2Buy”. Further more, these applications are able to attract young customers, as they seem accurately enlightened about what they want to purchase. This has empowered Nordstrom to sync its online and store businesses. Customers are moreover capable of deciding where to get their supplies from. What’s more, they can return their purchases to the stores. Unlike Nordstrom which didnot ignore the use of such systems, Target burned and crashed. Conclusion; The article ”How Nordstrom built the world’s best customer service machine” by Card Toller (2015) shows Nordstrom’s success as a retail company. The identification of a competitive advantage, use of E-commerce and strong application of employee empowerment is what pushed Nordstrom to great levels. If other retail stores were to borrow a leaf from Nordstrom, they would also make it to the top. Focusing on empowering employees is a step Nordstrom should never fall short. It gives amazing feedback. Appreciating customers is also key. Customers are the ones that move Nordstrom higher, and other companies should emulate from it. References; Toller (2015.) How Nordstrom built the world’s best customer-service machine. Retrieved from http://www.canadianbusiness.com/innovation/secrets-of-nordstrom-customer-service/ (Accessed November 17th.)
Nordstrom and Nordstrom Rack are different retail operations in terms of their choice, pricing, store service, and store atmosphere customer intimate firms, which excel in serving the specific needs of the individual customer well. There is less emphasis on efficiency, which is sacrificed for giving more precisely what is wanted by the customer. Reliability is also stressed. Nordstrom is an example of this discipline. Nordstrom must meet some standards of cost-effectiveness. When customers evaluate the quality of a product, they commonly measure it against two kinds of attributes: those related to quality as excellence and those related to the quality of reliability. From a quality as excellence perspective, the important qualities are things such as a product’s design and styling, its aesthetic appeal, its features and functions, the level of service associated with the delivery of the product,
Lowe’s tries to foster collaboration and strength in a variety of methods; many are through leadership training tracks and supporting employees and their families. During times economic uncertainty, it is important that individuals know that they an organization that cares and supports them. In a comprehensive report released by Lowes, the company detailed improvements Lowe’s achieved in important focus areas, including the health, safety and engagement of employees, the company’s advancement towards its 2020 goals and its partnership with suppliers to maintain the highest ethical standards and improve the products it sells (Lowe’s Companies, 2015a). According to Lowe’s Companies (2015a), “For the first time in Lowe’s annual Employee Opinion Survey, all of its U.S. stores, distribution centers and customer support centers all reached the company’s benchmark engagement goal of 65 percent, indicating a highly engaged and satisfied staff” (para 4).. “Career Bliss recognized Lowe’s as one of the 10 happiest retailers to work for in 2014” (Lowe’s Companies, 2015, para 5). To keep an organization running efficiently and effectively, you need a good customer base; you cannot achieve this without helpful, courteous and willing employees. Lowe’s understand that to keep up in the industry, they need to ensure they employees are taken care of
From the employees’ perspective; they are managed someone with experience in their same specialty who can effectively understand and review their work. Furthermore, they can move up within organization, which gives a reason for them to be loyal to the job. They also have the opportunity to work with others in their field, which allows for knowledge sharing and learning new skills. From the managers’ perspectives; this would make their jobs easier and makes them able to supervise the individual’s performance of their team members to distribute recognition, rewards and punishments accordingly. This has created an environment that hugely corresponds with Target’s core strategy, differentiation. Many of the shoppers have expressed their satisfaction with the services that provided by Target and more specifically with how friendly the staff
Macy’s intended to deliver enhanced shopping experiences to its consumers through dynamic department stores and online sites. In this regard, the company developed a North Star strategy that allows it to improve its sales growth and to develop its existing core activities. The company’s consumer research monitors, analyze and anticipate their needs and wants based on the changing market trends. This allows it to strengthen its customer base and also helps it in identifying new markets and customers. Macy’s also identifies different styles and designs based on various occasions and events that allow it to capture the changing preferences of its customers. The company also celebrates various iconic events to interact with its customers which
First, Nordstrom is unique through its excelling customer service. As a full-service retailer, Nordstrom assists customers in every phase of the shopping process. Because they carry more specialty goods, customers will need and want more assistance leading to increased value of customer service. One of their policies is that they will accept any merchandise that people bring back without asking any questions. As a result, people feel more confident about purchasing products from there, since they can buy something with the comfort and knowledge that Nordstrom has an excellent return
Nordstrom is one of the top retailers in the United States. With a solid brand image and a sound financial situation, Nordstrom is relentless in their expansion in the US, and are beginning to expand into international markets. Nordstrom takes pleasure in providing state of the art client support and having experienced sales people. In order to hold their position as the most successful high-end retailer in the United States, Nordstrom must continue to figure out ways to improve their brand image and customer satisfaction. Nordstrom’s current business working strategy is successful but I believe there are a few ideal solutions that the organization could apply to further enhance the organization. Due to the aggressive characteristics of the fashion retail store market, it is crucial that Nordstrom preserves an aggressive advantage providing the highest level of customer support as possible.
One of the most important areas to consider is customer service. The atmosphere of a store
Service wins the game.” As Tony Allesandra states, in order to have+ a successful business, customer service must remain a priority. It is also proven that shoppers are more likely to return to retailers with good customer service over those without. This past summer, my mothers’ best friend was getting married, so my mom and I drove to the mall. Once we had found a parking spot, we both walked towards Banana Republic; I began to walk faster, as if I was being pulled like a magnet, and threw inspiring words back to my mother to pick up her pace. In no time, my mother and I were walking through Banana Republics’ entrance. The greeter said hello and asked us if we were looking for anything in particular. I told the greeter- named Lacey- about my mothers’ issue of not having a dress to wear. Lacey immediately noted my moms’ height and age which would narrow her down her choices, yet she still ended up finding several options that both my mother and I loved. With the help of Lacey, the hardest part of this shopping trip was trying to decide which dresses to put back; my mom ended up wearing lovely textured grey dress that fell just above the knee accompanied with a modest v-shaped neckline. Banana Republic not only made a sell with their superior customer service, but they also gained the trust of my family and free advertisement because my mother now recommends Banana Republic to all her friends. In
My company of choice for this report is Macy 's. 'The Magic of Macy 's ', as the company advertises it, has inspired me to shop there, take advantage of their incomparable discounts and great online shopping experience. Macy 's, Inc. is one of the largest department store chains in the United States of America. Macy 's manages stores under the Macy 's and Bloomingdale 's brands. I enjoy shopping at both of the company 's store brands, Macy 's and Bloomingdales. Bloomingdales provides a more personalized experience
Nordstrom possesses a distinct and reputable image that effectively differentiates them from their competitors. Nordstrom is known throughout the retail sector as the leader in customer service. Nordstrom regards their customers as extended family and treats them as such. In addition, Nordstrom utilizes devoted sales associates for serving customers in an array of fashions. They possess the most liberal return policy that is highly regarded among customers. Also, sales associates will call in orders for merchandize not on hand free of charge. Recently, Nordstrom has
First, when shopping, a big factor that will impact a customer 's experience is the customer service. Whether it’s from a simple “hello”, or an employee going out
Macy’s is a large, diverse retail corporation. Diversity is one of the business cores of the company; their diversity strategy is based on their international and multicultural advertising and marketing. I choose this organization because their business core values are based on diversity and inclusion. This particular company values diversity and inclusion at the same time. Having a diverse corporate culture is part of being a successful and well-known business around the world. The company is also known for its commitment and demonstrations of a diverse culture. They have a very large and diverse customers and suppliers group.
The most significant component of Wal-Mart’s success was the way it treated its employees or as they are known as in Wal-Mart “associates”, the beliefs or rules of the Wal-Mart culture makes associates want to provide excellent service to its customers. During visits Walton encouraged associates to pledge to greet customers and ask if they assist them or walking into a Wal-Mart store customers are met by a greeter, an associate who welcomed them and handed out shopping carts (Farhoomand, 2006).
Competitive advantage is a driving force in Walmart’s business model. With 2.2 million associates, 10,700 retail stores and 245 million customers served weekly in 27 countries, Walmart requires an array of information systems functioning harmoniously to meet all of the requirements and expectations of their employees, customers and communities (Walmart, 2013). Mr. Walton believed that sharing profits with and motivating employees and partners were rules of building a business. Sam Walton once said that “our people make a difference” referring to the associates that he viewed as partners that should share in the profits of the company (Wal-Mart Stores, Inc., 2014). Walmart associates process hundreds of millions transactions every week in their retail stores. However, the retail store is only one component of Walmart’s vast supply chain and logistics network which are largely responsible for their continued success. D...
We always make sure that when they come to our stores they experience the best shopping and that they find what they want to buy and we have a reason for them to buy. We make sure that our merchandising is up to standards and it motivates the customers to shop in our stores.