They’re goal is to make a great impression on its customers to ensure that they keep returning as loyal customers. They believe that a good experience would allow the customer to say good things about Nordstrom and their client base will grow. That is why they make it their priority to provide great customer service experiences every time.Competitive InfoMain competitors of Nordstrom is Macy’s, Dillards, & Neiman Marcus. They are specializing in high-end fashion as well and comparing the results to its competitors, Nordstrom Inc reported Total Revenue increase in the 3 quarter 2017 by 2.46 % year on year, while most of its competitors have experienced contraction in revenues by -1.45 %, recorded in the same quarter. Section 3: Analysis of Customer ServiceInternal Perspective-Strengths:One of Nordstrom’s strengths is the fact that they have great customer service.
There main focus is to be able to offer high quality products to their customers in the most efficient way they know how to do. In order to achieve long term success and keep their loyal customers, they offer free shipping and free returns on purchases. Their main priority is to make sure all their customers have a one nordstrom shopping experience. What they mean by this is that they want all their customers to experience the same great customer service and not have different bad experiences. What Nordstrom does in order to provide this exceptional customer service is that they start to place a lot of attention to their customer’s shopping experience. Secondly, they make sure they empower their employees. A few examples of what the employees do to make sure they go above and beyond in customer service is by walking the customer to the rightful department when they need help finding a certain item to purchase.
Instead of just pointing and sending them off in a random direction, they actually take the time to show them where the item they will be purchasing is. (Khan, 2016)Another strength would be the company is quick to take the needed steps to make the investments in technology necessary and give their customers what they were asking for and they do that quickly and without hesitation. Customers have numerous of different needs and preference (Kreitner & Kinicki, 2012) . Nordstrom’s customer service management approach is making sure they are providing customized and personalized services to each and every customer. Internal Perspective-Weaknesses:One of nordstrom’s weaknesses is that they allow free returns no matter when the customer bought the merchandise. Since they have no return policy, a customer can purchase an item and 3, 4, 5 years from now they would still be able to get there money back. I feel like nordstrom loses a lot of money this way because in the end its as if the customer never purchased anything anyway.
Another weakness would be high debt burden. It’s understandable that Nordstrom wants to please their customers but they have to understand its to a certain point. Offering free shipping sounds great and all but its coming out of the company’s budget. Costs start to arise and due to the price of gas going up, it might not be a good idea to continue to offer services like that.External Perspective-Opportunities:A opportunity for Nordstrom is to make a business plan for customers who care about the environment. Great customer service starts with caring about the necessities of their customers. Creating and marketing a product or service may be environmentally friendly in itself or produced in an environmentally friendly way, may be a good business opportunity for Nordstrom to take. They could manufacture their clothes in a sustainable fashion green marketing.
They could offer products that would not contain toxic materials or ozone-depleting substances. They could easily assume that their consumers will be willing to pay more for green products than they would for a less-green comparable alternative product. Another opportunity for Nordstrom to take is to take a second approach on how they are marketing themselves. They hardly never talk about how great they are, or how great their customer service is. They don’t do press releases, or anything on this subject for that matter. I don’t really see much advertising on television about how great they are when it comes to customer service. Yet they’re held up as one of the true paragons of a great customer experience by so many.
External Perspective-Threats:One threat to Nordstrom’s business is the way they manage their Nordstrom warehouses. Recently, customers have been complaining about Nordstrom shipping their orders wrong. Numerous clients have gone out of their way to contact Nordstrom on this but they hardly get anything in return in terms of having them go through this. If numerous clients are calling in about their orders being messed up then they should go to the source of the problem and that starts at the warehouse. Maybe the management in the warehouse should track down each employee and make a chart on who does the most errors in a month. Whoever does the most errors (either a week/ month) then the managers should train them better or let them go.
Another threat to Nordstrom’s business is Amazon. Roughly 55 percent of consumers begin their online shopping searches on Amazon’s site, according to a new study by BloomReach. That’s up 11 percentage points from last year, when the data technology firm ran its inaugural study. Most often, consumers cited the ease of shopping on Amazon including its “superior” search and product filtering capabilities — as the reason they went to the site. It is estimated that Amazon accounted for roughly 60 percent of all online sales growth in the U.S. last year.
It’s widely expected to extend its lead over traditional retailers on the web.Supporting Evidence-Customer Feedback:”I purchased a pair of Paige Hoxton High Waisted Jeans. They sent me cut up Ralph Lauren Jeans. I called them and they said they would send me the correct jeans. I got the jeans several days later and thought they were the correct Paige Jeans.
I gave these jeans as a gift for my sister’s birthday. She tries them on and they were way too low cut and long. They were Paige Hoxton High Rise Jeans. I was so upset, she had to go out of her way and return them at the store. I will never buy online at Nordstrom and will probably never buy anything from the store. They should be embarrassed that their employees in the warehouse keep getting it wrong. They should hold them accountable.
“”I used to love shopping here, last year someone attempted to use my credit card to send themselves a bottle of expensive perfume. I alerted them to the issue, my card was refunded and the order canceled. 1 year later and multiple of purchases later, my recent online purchases were canceled with no customer service contact… I called customer service only to be told, there is a charge associated with your online account that ended up being a charge off because of the attempted fraudulent charge.
That was never a problem in the store after many expensive purchases and 2. As a million dollar corp how dare my account be flagged because someone else was fraudulent and the order wasn’t stopped although I alerted them to the issue within minutes of receiving a “order confirmation” email shipping to a bogus address. I shouldn’t be penalized or my future orders be canceled and that reason they should’ve never been disclosed to me by customer service. Good for me the order was canceled, while the rep was doing “research” I also performed some research, found the item on Amazon and received the item in 2 days! Talk about sales loss..
. We have options and Amazon is gonna take even the best down!” Sources of Evidence-Studies Done:Amazon’s dominance in the record-setting $300 billion American e-commerce market continues to rapidly grow over all its competition, top search engines like Google and online retailers, according to a new Survata study commissioned by BloomReach. When they surveyed 2,000 U.
S. consumers, 44 percent just do not bother going through the whole Web. Instead they go