Nordstrom Executive Summary

Nordstrom’s company is a modern day success story. The U.S. economy has been in recession and a deep economic downtown the last five years. Yet, the Nordstrom company had tremendous success. Increasing their sales from $ US 8 billion in 2009 to $US 13 billion in 2014. The company shares have gained 120% the last 5 years, according to Deutsche Bank. Nordstrom is doing this by using these five concepts: outstanding customer relationship management, high quality, excellent marketing strategy, strong diversity and core target market. These concepts have driven Nordstrom’s to become one of the most successful retailers.

To start off, one of the outstanding concepts for Nordstrom’s and their company is customer relationship management. Nordstrom

This type of appeal comes from the high-quality design of its products and the perception of that quality that the company creates in its brands. In a Storify.com, online article, written by rjohnson8, he stated, “As a department store, Nordstrom offers a broad variety and deep assortment of high quality merchandise. Departments are as segmented as target consumers, and varying price points and brands reflect the company’s desire to truly satisfy the needs of its clients”. As a result, Nordstrom does an excellent job of convincing customers that it would be a waste of time to shop anywhere else, because they'd only end up coming back to Nordstrom for its quality products. The company has also done a good job of building a sense of community among shoppers, creating a network effect that drives repeat sales. Yes, Nordstrom’s can be a little pricier than the other retailers, but that’s where the quality of their brand plays a role in this industry. Looking for something not to pricy but still with their great quality? Head over to Nordstrom’s rack. What other brand offers the same quality but in a discounted price. On one hand, its namesake Nordstrom stores focus on high-end luxury shoppers, offering a high-quality lineup of apparel, shoes, accessories, and cosmetics. On the other, Nordstrom serves customers of more modest means with its Nordstrom Rack discount stores. With a roughly even split between the two sets of stores, Nordstrom has cultivated a reputation for quality and customer service that has developed strong loyalty among its