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Courtesy of Nordstrom
Pete Nordstrom, president of merchandising, and Erik Nordstrom, president of stores, during a news conference in New York announcing the new store.
The Nordstrom Facebook fan page has been all aflutter on news that the department store chain is finally going to take a big bite of the Big Apple.
“It's about damn time,” wrote one New Yorker, on news Nordstrom will be opening its first Manhattan store in 2018.
It’s an usual display of retail love from hardened Manhattanites who are more inclined to start campaigns keeping retailers out of their backyards, most recently Wal-Mart.
But we’re talking about Nordstrom, the Seattle-based chain known for its insanely exhaustive shoe department and insanely attentive sales people.
“These people are the best operators in the affordable luxury department store business,” said Howard Davidowitz, chairman of Davidowitz & Associates, a retail consultancy and investment-banking firm headquartered in New York.
New Yorkers have been clamoring for a Nordstrom for years, said company spokeswoman Brooke White. And the decision to finally set the wheels in motion has been 15 years in the making, she said, adding, “It was quite a complicated process to find an ideal space.”
Nordstrom has already dipped its little toe in the New York market, operating a Faconnable boutique in the city until it sold the unit in 2007. It also opened a discount shoe outlet called Rack in 2010 in Union Square, and a charitable retail operation known as Treasure & Bond in Soho last year. “It was a way to give back and also a way to learn about serving New Yorkers,” White said.
With its new location, the retailer is now going all in, hiring at least 1,000 workers in 2018. The new store will be located on a 40,000-square-foot site on 57th Street, between Broadway and Seventh Avenue, in a location that once housed the original Hard Rock Cafe.
“It makes perfect sense that Nordstrom – one of the premier names in retailing – would want a flagship store in New York, the world's premier city for retailing,” said New York Mayor Michael Bloomberg in a statement. “This is very exciting news for New Yorkers and the millions of tourists who come to our city to shop each year.”
But not everyone is happy.
“Everybody will start to worry and raise their game,” said Davidowitz, referring to the department stores in the city, including Saks and Bloomingdale's, which he said have become complacent in recent years because there hasn’t been a new large competitor for a long time.
“Bloomingdale’s is going to say, ‘holy @!$%#, we better get our service better'," he said. "'We better raise our game because a giant has arrived in town.’”
Bloomingdale's is owned by Macy's Inc. The retailer's CEO Terry Lundgren did not immediately return a request for comment.
It's bad news for other retailers in the area, Davidowitz said, but great news for consumers who have seen chains such as Bonwit Teller and B. Altman & Co. shutter and never replaced.
“I really think Nordstrom is going to go gangbusters,” he said. “New Yorkers are very discriminating and they know what’s good. Nordstrom is on the mark in fashion, service and aesthetics. They are just very good.”
And given that shoes are one of the hottest fashion sellers these days, he said, Nordstrom “is going to shake things up.”
Nordstrom started out as a shoe retailer, tracing its first shoe shop in downtown Seattle back to 1901. Shoe merchants nationwide came to see Nordstrom as a model of how to sell shoes the right way, with over-the-top service and few promotions.
So what will Nordstrom’s Manhattan shoe connection be like? White said it’s too early to know exact dimensions but as with all of the retailer’s shoe havens, expect tens of thousands of pairs to choose from.
There will be five shoe departments, including women’s, active wear and juniors; designer, men’s and kids, she explained. And the store is going to stay true to its few-sales mantra with only three price blowouts yearly.
At $735 for an Oscar de la Renta satin pump at Nordstrom, there will probably be a lot of bargain-hunting New Yorkers waiting in line.
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Love returning things at Nordstroms. Hope they will be cool with that in NYC.
Always funny to hear how The Top three Retailers Toot thier horns as to has better merchandise and who has better service. Also funny to listen to those who think they have their pulse on who is complacent and who is on their game with service and selection. Nordstrom will have to have more than an A game to beat the shoe selection at Saks that has been established with its own zipcode for the last 5 years or so.
Why wait until 2018 unless they're in line for a vacancy? Nordstroms is a good store. Known as The Bon Marche on the west coast (at least when I lived there 100 years ago).
uh - no
The Bon Marche was a competitor of Nordstroms in Seattle along with Fredricks & Nelson. Macy's bought "The Bon" and retired the name.
Fredricks & Nelson closed their doors before that, but thier signature chocolate candies (Frangos - get it? Fredricks and Nelson - gos?) live on. And they are really yummy.
The Bon Marche was not Nordstrom...they're not related.
Nordy's rocks. They disprove the idea that businesses with great service won't turn a profit. The wonder to me is that other service providers- utility companies, for instance- think that robots can replace people- and encourage loyalty. When I call in, I want a person to answer- and those bastards make so much already, courtesy of our corrupt government, that they could certainly afford to do so. Economy of scale isn't paying off for the consumer, is it? Maybe it's time to break the giants up again. Let's get back to real service instead of lip service- which, at present, is ironically provided in a rather tongue-in-cheek manner by an automated answering service which lacks a tongue, cheeks, lips, ears, and most importantly- the brains to provide actual interactive service.
Wow people are really excited about another place to buy Chinese crap made by slaves...
It's called Customer Service - something that so many retailers have let slide by the wayside. Yeah, you're gonna pay more at Nordstroms, but the real, customer services is worth every penny. It's a real pleasure to shop at Nordstroms, unlike JCPenny or Sears where you have trouble even finding a sales clerk. When the servcie is good, shoppers return. Bottom line. In any business, when the the customer gets good service, and good service includes a sales clerk that listens to what you the shopper says and responds in a helpful, positive manner which happens with out fail at Nordstroms. Do I work there? No, I shop there, because of the service.
Attentive customer service. What a quaint notion. Not all that long ago it was the standard when you went shopping...now it's a 'luxury'.
Another casualty in retail when the MBA's of the world swopped in twenty years ago and started dismantling department store chains everywhere to 'unlock shareholder value'. They closed the flagship downtown stores, merged away regional buying and character, never invested in the remaining stores and replaced seasoned and decently-compensated sales people with teenagers or untrained clerks with little in the way of personal skills, let alone sales knowledge. I expect that at WalMart or any other big box store, but I went to a department store for a higher-end experience.
Now to have even get a whiff of what passed for normal retail shopping you have to pay for the luxury of going to a Nordstroms or Nieman's. Not to mention, these really aren't true department stores since neither of these two, nor Saks or Lord&Taylor carry household goods...just clothing, accessories and cosmetics.
The last decent American department store was Marshall Field's. Thank you, Mr Lundgren at Macy'...who made sure he killed off our only decent remaining department store experience. Thanks to him and the business school mobs who destroyed a huge part of what made shopping a relatively pleasant transaction.