Nordstrom Assignment Example | Topics and Well Written Essays - 1000 words

Nordstrom - Assignment Example Nordstrom, like other departmental stores has a central management in Downtown  Seattle,  Washington with stores spread in many other states. Another defining characteristic of Nordstrom as a departmental store is its high level of customer service, though this comes at a price, making Nordstrom products and services more expensive than in other retail outlets. Customer Service Nordstrom has cultivated a culture of full customer service whereby all the firm’s employees know the true meaning of putting customers first. First, important customers are identified, served well, and measures put in place to ensure they return over and over again to give Nordstrom business. The first measure is sparing no efforts to ensure that the customer leaves the premises with maximum satisfaction. In addition to acquiring goods, the customer gets high quality service utility. Secondly, business cards are exchanged between the customer and the sales person that they interact with. This ensur es that the sales person has complete control of this relationship that is free from interference by the management. This sales representative acts as the link between Nordstrom and its customers, with only a rule stating that the former uses their best judgement to ensure customer satisfaction. Another strategy for ensuring a long-term relationship in Nordstrom includes follow up calls on customers informing them of new products. In summary, Nordstrom identifies its customers and gives them undivided attention to ensure a thriving long-term business relationship. On the other hand, there is Target. Target is a business enterprise that does not provide much choice of products for customers. In addition, Target has been widely accused of poor customer service and its lack of concern for customer needs. In contrast to the expensive Nordstrom, Target sells designer merchandise at discount prices but there are stringent rules for their sales. For instance, Nordstrom exchanges goods for customers even if they did not sell the said goods but in Target, after three days, sales are not reversible. Nordstrom encourages its customers to do business with them while in Target a willing customer may get a hard time in an attempt to be served. Factors Contributing To Company Success Six managerial and positional components of service in Nordstrom ensure the survival in a highly competitive environment including the six P’s i.e. product, place, promotion, price, presentation, and personnel. First, on product, the firm only sells according to its customer requirements as Eric Nordstrom said that business has to go on even if only one shoe was in sale. Second is the place consideration whereby the management puts all possible factors including, gut feeling, into consideration before setting up a new business. Promotion is the third factor and Nordstrom uses the customers’ word-of-mouth as their main promotional vehicle, giving customers the best service and count ing on them to spread a good word about Nordstrom. The other factor is price and Nordstrom exploits the common belief that a higher price translates to higher quality of goods and services. Prices at Nordstrom are above normal. However, customers flood into the stores expecting premium quality service and Nordstrom does not disappoint. Presentation is the fifth strategy whereby products are presented just the way