GDR NRF Newsletter October 2018

Small format Nordstrom local store focuses on service over stock

US department store chain Nordstrom has developed a new smaller store format that has no physical merchandise.

Described by the brand as a “neighbourhood hub where customers can shop and access Nordstrom services in a convenient, central location,” Nordstrom Local focuses on customer service.

The first store opened in Los Angeles in early October 2017 with a 3,000-square-foot footprint, much smaller than the average 140,000-square-foot Nordstrom department store. Customers have access to a range of services including buy online, pickup in store; same day delivery; alterations and tailoring; Trunk Club services; and manicure appointments.

The store’s offering will centre around a personal styling service where customers who have booked a free appointment with a stylist can try on items shipped in advance from across the chain and from Nordstrom.com, according to their needs and preferences. When booking appointments online or over the phone customers can specify how much time they have, their budget, the occasion they are shopping for, the type of consultation they require and even their preferred stylist.

The space will feature a styling suite and eight dressing rooms surrounding a central meeting area where customers can sit and have a wine, beer, coffee or cold-pressed juice.

Nike concept store is stocked based on local data

Nike’s By You experiential retail store in Los Angeles is stocked based on the interests and purchases of local NikePlus members.

The quantity and assortment of products in the store is swapped bi-weekly according to the purchase patterns of LA customers.

The location also includes some interesting design touches to drive regular visits to the store.

For example, a digital vending machine dispenses free Nike merchandise to every NikePlus member. Every two weeks members can scan their mobile app on the machine to receive a new gift from the brand.

The location also aims to unify the online and in-store shopping journey. Customers can scan product barcodes to find out information about products and see different colours and styles. This includes checking availability in-store and online. Customers with the Nike app can skip the queue and checkout directly through the app.

Macy’s takes on TJMaxx with lower priced Backstage shop-in-shops

US department store Macy’s has responded to the steady decline felt by mid-tier retailers during the last decade by rolling out a shop-in-shop concept featuring lower priced Backstage products.

Inspired by the success of discount retailers and lower-priced department stores like TJMaxx, the concessions do not sell sale stock or last season’s fashion. Instead they sell lower price-point current fashion to hook in millennials, who have been shopping at more affordable retailers in great numbers.

Macy's CEO Jeff Gennette revealed that the concept will be rolled out to 120 stores before the end of 2018. "This has been a good story for us," he said. " It's clearly a strategy that is resonating with customers."

Family clothing and homewares brand is designed to create Instagram moments

JCPenney has created a new accessories brand that is designed to make it easy to create Instagrammable family holiday scenes.

Peyton and Parker will release seasonally relevant capsule collections featuring coordinated family apparel for parents and kids, accessories, shoes and home décor.

It launched in 400 JCPenney stores across the US on Friday, October 19.

“We were inspired to create a line that made it easy for mom to dress her family and decorate her home, creating a picture-perfect moment for all of her social media channels. Peyton and Parker is the company’s first cross-divisional private brand in many years and was created by our incredibly talented product development and design team who saw a void in our assortment for a family lifestyle brand,” said Val Harris, senior vice president of product development and design for JCPenney.