Nordstrom: Focusing on a Culture of Service

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By the time the second store was opened, Nordstrom had realized that great service to customers was one aspect that would differentiate it from other retailers. Right from that time, the business philosophy of the company was based on exceptional service, selection, quality, and value. The Nordstrom family believed that customers would always talk about the service they received, be it good or bad. So it sought to create a positive impact on the customers...

Nordstrom believed in creating a memorable experience for the customers whenever they visited the store. The exteriors were fashioned in such a way that the façade matched the existing architecture of the area. Right from the time the customers entered the stores, they were made to feel special. All the stores had adequate parking facility within walking distance from the store. During the annual sale or holiday season, when the store attracted a lot of crowds, valet parking was provided. The external windows of the store had attractive displays, which were changed often....

Nordstrom believed that one of the most important things to satisfy a customer was offering a wide range of merchandise in different sizes. It believed that if a lot of merchandise was available in the store the consumer would never walk out without buying anything. All the stores of Nordstrom stocked merchandise like shoes, apparel, cosmetics, etc. in a wide range in different sizes. For example, shoes were available from sizes 2 ½ to 14 for women and from 5 to 18 for men. The store also carried many half sizes...

Nordstrom’s management structure also supported its sales personnel and customer service initiatives. It followed a management structure that resembled an inverted pyramid. On the top layer were customers. They were followed by the sales and support people, as they were the ones who interacted with the customers. Department managers were on the next rung, with buyers, merchandise managers, store and regional managers forming the fourth layer. The bottom-most layer consisted of the executive team and the board of directors...

For providing great customer service, it was necessary to have the right kind of staff. Hiring of sales personnel was decentralized, and each store could decide on the people to hire, the interview process, training interventions, etc. Nordstrom looked for people with entrepreneurial spirit to be a part of its sales team. It did not look for people with previous experience in sales...

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