The Seattle Times reports that Nordstrom has posted a 46 percent increase in quarterly profits, to $162 million, on a 7.3 percent increase in sales, to $4.07 billion; same-store sales were up four percent.
The story suggests that the results deliver on a promise by the company “that a series of ‘generational’ investments in new markets and technologies was about to pay off.
The Times writes: “Digital sales remain the fastest-growing area for Nordstrom, increasing 23 percent in the second quarter, and now account for more than a third of total sales. Nordstrom has invested heavily over the last eight years in marketing, technology and improvements to its supply chain to enable this growth.
“It still has some kinks to work out, however. On the first day of its vaunted Anniversary Sale – which rivals only the holiday season for importance on the retailer’s calendar – Nordstrom saw 10 times its average daily volume of online traffic, overwhelming its systems.”
The story suggests that the results deliver on a promise by the company “that a series of ‘generational’ investments in new markets and technologies was about to pay off.
The Times writes: “Digital sales remain the fastest-growing area for Nordstrom, increasing 23 percent in the second quarter, and now account for more than a third of total sales. Nordstrom has invested heavily over the last eight years in marketing, technology and improvements to its supply chain to enable this growth.
“It still has some kinks to work out, however. On the first day of its vaunted Anniversary Sale – which rivals only the holiday season for importance on the retailer’s calendar – Nordstrom saw 10 times its average daily volume of online traffic, overwhelming its systems.”
- KC's View:
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Nordstrom has done an extraordinary job of swimming upstream, challenging conventional wisdom about the decline of the department store business. I think that may be because Nordstrom, more than pretty much anyone else in its space, seems to have a better sense of self and direction.
