Faced with sluggish brick-and-mortar sales, department stores have been scrambling to lure back shoppers. Against this backdrop, American retail giant Nordstrom is set to launch a smaller store concept with no inventory, focusing on convenience and personal service instead. We explore the insights behind this retail innovation and what it could mean for the future of the department store.
At just 3,000 square feet, a Nordstrom Local will be a fraction of the size of a typical Nordstrom department store (140,000 square feet). The concept space will still allow people to try and buy, but they’ll leave the store empty-handed, with their purchase instead delivered to their door by a same-day service. What’s more, the store will have personal stylists, on-site tailoring and will offer manicures to customers while they sip on locally-sourced beverages. “We know there are more demands on a customer’s time and we wanted to offer our best services in a convenient location,” says Shea Jensen, Nordstrom’s senior vice president of customer experience.
Whether it’s JCPenney, Macy’s or Nordstrom, America’s department stores are looking for new ways to entice shoppers, and by creating a truly immersive experience, they are able to bridge the gap between traditional brick-and-mortar retail and online shopping. Today’s shopper doesn’t think in terms of channels – they don’t separate online and offline – and they expect the same level of convenience, personalisation and ease wherever they choose to shop.
“Retailers know that online and brick-and-mortar need to work hand-in-hand to offer a complete solution for today’s customer,” says Lyndsey Dennis, editor of Retail Focus. So, while Amazon Go is going staffless, Nordstrom is going stockless and getting more personal instead – betting on the idea that advice from stylists rather than a wide selection of clothes will drive sales and engagement. This effort to put customer attention, service and interaction front-and-centre – while catering to people’s rising expectations – may fare well among the 84% of shoppers who wish to interact with shopping assistants while in-store.
Mira Kopolovic is a behavioural analyst at Canvas8, which specialises in behavioural insights and consumer research. She has an MA, which focused on visual culture and artist-brand collaborations, and she spends her spare time poring over dystopian literature.
