Nordstrom is ready to take its small-format shop concept bi-coastal.
The Seattle-based retailer announced plans to open two Nordstrom Locals in New York City this fall, bringing its total fleet of the shops to five. Nordstrom introduced the no-inventory concept in 2017 with a store on Melrose Avenue in Los Angeles. It has since opened two more “neighborhood service hubs” in Brentwood and downtown L.A.
At Nordstrom Locals, consumers can buy online and pick-up in store, return Nordstrom and third-party purchases, drop off clothing donations and enjoy services like gift wrap, styling, alterations and tailoring, and Trunk Club‘s personalized stylist services.
“The expansion of our local market strategy in New York City is a cornerstone of how we will improve service to our customers,” said Jamie Nordstrom, president of stores. “NYC represents our largest online market and we know when we open physical stores it complements our online presence and increases sales.”
Anyone who has visited New York City knows that each nabe has its own flavor. The company said the Nordstrom Local locations in New York—in the eclectic West Village and the more conservative Upper East Side—will offer services that “reflect the unique needs of customers who live and work in those neighborhoods.”
To help further curate the service hubs to best serve local customers, Nordstrom said it will partner with customers in each neighborhood to help determine some of the services that will be offered in each location.
Events for Nordy Club loyalty members and the public will also be a key component in these locations, focusing on building relationships with customers and businesses located in the neighborhood. Each Nordstrom Local store features flexible models and floor plans that are adaptable to the changing needs of the customers they are servicing.
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The shops further expand Nordstrom’s growing footprint in Manhattan. The neighborhood hubs, combined with the Nordstrom Rack stores, the Men’s store and its planned 320,000 square-foot flagship store opening in October, represent the latest iteration of Nordstrom’s local market strategy.
It’s a strategy that has worked well for Nordstrom on the West Coast. “We first introduced Nordstrom Local to customers in Los Angeles with the goal of better serving them on their own terms,” said Shea Jensen, senior vice president of customer experience. “We’ve learned a lot and we’re really excited to apply those learnings in New York, working closely with those customers to understand their needs.”
“We know our local market strategy is driving outsized market share gains in L.A. and increased product selection, delivery speed and convenience for those customers,” Jensen added. “Customers who visit Nordstrom Local spend two and a half times more on average, and we’re excited to bring these neighborhood service hubs to New York.”