Nordstrom

Nordstrom, Inc.

File:Nordstrom logo.svg Logo used since 2018
Company type	Public (until 2025)
Industry	Retail
Founded	1 January 1901 (1901-01-01) in Seattle, Washington, U.S.
Founder	John W. Nordstrom, Carl F. Wallin
Headquarters	Seattle, Washington , United States
Area served	United States (including Puerto Rico until 2020), Canada (2012–2023)
Key people	Erik Nordstrom (CEO)
Products	Luxury department store merchandise including clothing, shoes, accessories, beauty products, home goods
Number of employees	Not specified
Parent	None (majority owned by Nordstrom family; 49.9% stake sold to El Puerto de Liverpool in 2024)
Website	www.nordstrom.com

Nordstrom, Inc. () is a prominent American luxury department store chain based in Seattle, Washington. Established in 1901 by John W. Nordstrom and Carl F. Wallin, the company began as a shoe retailer before expanding to a second outlet in 1923. It introduced clothing to its offerings in 1963 and evolved into a comprehensive retailer by 1971. The off-price division, Nordstrom Rack, was launched in 1973 and has since grown alongside the full-line stores throughout the United States. While the flagship stores compete with retailers such as Bloomingdale's, Macy's, Neiman Marcus, and Saks Fifth Avenue, Nordstrom Rack vies with chains including TJX Companies and Ross Stores. The company’s previous international ventures included operations in Puerto Rico (2015–2020) and Canada (2014–2023).

Early history

John W. Nordstrom was born on February 15, 1871, in Alvik near Luleå, Sweden, and emigrated to the United States at age 16 in 1887. After working in Michigan, he saved enough funds to purchase a 20-acre potato farm located in Arlington, Washington. In 1897, he participated in the Klondike Gold Rush in Canada’s Yukon Territory, where he successfully found gold and sold his claim for $13,000. Upon returning to Seattle with his earnings, he married Hilda Carlson in 1900 and began exploring business opportunities.

Wallin & Nordstrom and Nordstrom Best

In 1901, John W. Nordstrom partnered with Carl F. Wallin—who owned a nearby shoe repair shop—to establish Wallin & Nordstrom, a shoe store situated in Seattle. John and Hilda had five children; three sons—Everett W. (born 1903), Elmer J. (born 1904), and Lloyd N.—later joined the family enterprise.

John retired from the business in 1928, transferring his shares to Everett and Elmer; Wallin followed suit in 1929 by selling his stake to them as well. The store on Second Avenue was renovated and reopened under the Nordstrom name in 1930. Lloyd became part of the company in 1933, with the three brothers jointly managing operations for nearly forty years.

By 1958, Nordstrom managed eight stores across two states but remained focused exclusively on footwear. The acquisition of Best's Apparel in Seattle during 1963 broadened its merchandise to include clothing, prompting a rebranding to Nordstrom Best.

Following renaming to Nordstrom

In 1971, Nordstrom became publicly traded on NASDAQ, marking it as one of the inaugural companies listed on this exchange. It transitioned to the New York Stock Exchange in 1999 under the ticker symbol JWN, honoring founder John W. Nordstrom.

The company's scope extended beyond retail when Lloyd W. Nordstrom acted as majority partner for the family in securing an NFL franchise for Seattle in 1974, leading to the establishment of the Seattle Seahawks. Following Lloyd’s death in 1976, ownership was maintained by his estate along with co-owner Herman Sarkowsky.

By 1975, expansion reached Alaska through acquiring Northern Commercial Company and saw the debut of its first clearance outlet under the Nordstrom Rack brand in Seattle. With sales approaching $250 million, it ranked as the third-largest specialty retailer nationwide and inaugurated its first Southern California store at South Coast Plaza in Costa Mesa by 1978. Regional growth continued with decentralized management across Northeast (Tysons Corner, 1988), Midwest (Oakbrook Center, 1991), Southwest (Dallas, 1996), and Southeast (Atlanta, 1998). By 1995, there were 46 full-line stores operating under the Nordstrom name.

In 1976, Nordstrom introduced Place Two stores aimed at smaller markets offering limited apparel selections; however, due to costly upgrades and minimal returns, this concept was discontinued by 1995. The family divested from ownership of the Seahawks franchise in 1988 for around $80 million.

Nordstrom diversified into direct-to-consumer sales by launching a catalog division led by Dan Nordstrom in 1993, followed by e-commerce platforms supported by fulfillment centers located in Cedar Rapids and Seattle alongside distribution hubs across strategic U.S. locations.

Established as a federally chartered savings bank headquartered in Scottsdale, Arizona in 1991, Nordstrom FSB is a wholly owned subsidiary providing banking services and credit products such as the Nordstrom Signature VISA card and retail credit cards tied to its loyalty program known as Nordstrom Rewards.

Retail expansion continued with opening its first New York State location at The Westchester mall in White Plains during 1995, followed by additional stores at Roosevelt Field Mall in Garden City (1997) and Manhattan (2019).

Starting from 1995, fourth-generation family members served as co-presidents until John Whitacre became the first CEO outside the family lineage in 1997. That year also saw relocation of the downtown Seattle flagship store to the former Frederick & Nelson building; this flagship underwent extensive renovations completed by 2016 and remains the largest outlet at approximately 383,000 square feet. Conversely, smaller sites such as Salem, Oregon (opened in 1980) have since been closed.

Nordstrom’s entry into Southeastern U.S. markets began with a store opening at Perimeter Mall in Atlanta during 1998.

2000–2009

In 2000, control of the company was reclaimed by the Nordstrom family, with Bruce A. Nordstrom’s sons—Blake, Erik, and Peter—taking on key executive positions. Blake held the position of sole President until 2014, after which Erik and Peter joined him as co-Presidents in 2015. In 2007, Nordstrom divested its boutique chain Façonnable, though it continued to feature the brand within its product lineup.

2010–2019

Nordstrom enhanced its digital retail capabilities in February 2011 by acquiring the online flash-sale platform HauteLook for $180 million in stock plus additional earn-out payments. That same year, the company shuttered its downtown Indianapolis, Indiana location due to declining performance but kept other stores operational within the state.

August 2011 marked the debut of Treasure & Bond in SoHo, New York—a compact store concept aimed at younger consumers, with all profits directed to charitable causes. The retailer further expanded by launching Nordstrom Rack outlets in Milwaukee (2014) and establishing full-line stores at Mayfair Mall in Milwaukee (2015) and Ridgedale Center in Minneapolis (2015), targeting metropolitan areas with limited prior presence.

In March 2015, a new full-line Nordstrom store spanning 138,000 square feet opened at The Mall of San Juan in Puerto Rico. Although Hurricane Maria inflicted severe damage in 2017, the location reopened by late 2018 but ultimately ceased operations permanently in May 2020 amid the COVID-19 crisis.

By May 2015, Pete and Erik Nordstrom had joined Blake as co-presidents; this executive team remained intact until Blake’s unexpected passing in January 2019. Before that transition, Pete oversaw merchandising while Erik directed Nordstrom.com.

The company continued to grow its Rack division with new stores in Philadelphia (2014) and Delaware (2015), alongside unveiling a flagship full-line store at Columbus Circle in New York City in April 2018.

In 2016, Nordstrom collaborated with Tesla Motors to introduce retail galleries inside select stores and broadened its brand portfolio by adding labels such as J.Crew, Olivia Palermo + Chelsea28, Adore Me, and Eloquii. Additionally, the retailer expanded its selection of natural beauty products during 2017.

February 2017 saw Nordstrom discontinue Ivanka Trump’s brand due to underperformance amidst a consumer boycott campaign. Despite criticism from President Donald Trump via Twitter, Nordstrom’s stock rebounded swiftly, illustrating resilience against political challenges.

October 2017 witnessed the launch of "Nordstrom Local" in West Hollywood—a service-oriented format focusing on personalized shopping experiences rather than traditional merchandise sales. That year, the founding family explored taking the company private but postponed these plans due to elevated financing costs amid a difficult retail environment.

On January 2, 2019, co-president Blake Nordstrom passed away unexpectedly at age 58 after a lifelong tenure with the firm.

By fiscal year 2019, online sales represented approximately one-third (33%) of total revenue, underscoring substantial growth in Nordstrom’s digital commerce strategy.

2020–present

Erik Nordstrom was appointed sole CEO of Nordstrom on March 3, 2020.

In response to the COVID-19 pandemic, all stores were temporarily closed starting March 17, 2020. Reopenings began by May; however, by August the company announced permanent closures of sixteen locations as part of a strategy to optimize its retail footprint.

Demonstrating commitment to sustainability, Nordstrom declared in September 2020 that it would eliminate sales of fur and exotic skin products by the close of 2021.

Broadening its assortment further, in October 2021 Nordstrom formed a partnership with plus-size online designer retailer 11 Honoré, integrating their collections into both physical stores and its e-commerce platform.

On December 23, 2024, Nordstrom revealed a $6.25 billion plan to go private through a transaction involving a sale of a 49.9% stake to Mexican department store and real estate firm El Puerto de Liverpool, while retaining majority ownership (50.1%) within the Nordstrom family. CEO Erik Nordstrom described this move as strategic for ensuring long-term growth and stability. Following completion of this deal, the company’s shares were delisted from the New York Stock Exchange on May 20, 2025.

Nordstrom Canada

Nordstrom Canada Retail, Inc. () functioned as the Canadian branch of Nordstrom from its establishment in 2012 until it ceased all operations in June 2023. This segment competed directly with prominent Canadian department stores such as Holt Renfrew, Hudson's Bay, and La Maison Simons.

The initial approach aimed to launch four comprehensive stores, with an ultimate objective of expanding to nine locations. A majority of these outlets were situated in former Sears Canada premises within malls managed by Cadillac Fairview, including Chinook Centre (Calgary), Rideau Centre (Ottawa), Toronto Eaton Centre (Toronto), and Pacific Centre (Vancouver). Additionally, new builds were established at Sherway Gardens and Yorkdale Shopping Centre in Toronto. The flagship store in Calgary debuted first on September 19, 2014, followed by openings in Ottawa, Vancouver, Toronto Eaton Centre, Sherway Gardens, and Yorkdale between 2015 and 2017.

To broaden its market reach, Nordstrom introduced the Nordstrom Rack discount chain in Canada beginning March 2018. Initial Rack locations launched at Vaughan Mills, Deerfoot Meadows (Calgary), and One Bloor (Toronto), with further expansions into Mississauga, Ottawa, and Edmonton by the autumn of 2018.

Despite efforts to secure a foothold in the Canadian retail landscape, Nordstrom declared on March 2, 2023, that it would discontinue all Canadian operations citing an unsustainable path to profitability. This announcement affected roughly 2,500 employees. The closure process proceeded under the Canadian Companies' Creditors Arrangement Act (CCAA), supported by external liquidation specialists. Clearance sales commenced in March 2023; Nordstrom Rack outlets shuttered by mid-May, followed by the full-line stores closing by June 13, 2023.

The withdrawal of Nordstrom Canada highlights the complexities involved in cross-border retail expansion and emphasizes the necessity for tailoring business models to align with local market conditions within global enterprises.

Nordstrom

By May 2022, Nordstrom operated approximately 100 full-line department stores with an average size of 140,000 square feet. The company hosts six major sales events annually: two Half-Yearly sales occurring in May and December alongside three seasonal promotions. Its most prominent event is the July Nordstrom Anniversary Sale, which offers early access to members and discounts on fall merchandise.

Nordstrom Local

Nordstrom Local facilities serve as service centers focusing on conveniences like online order collection, personal styling consultations, and tailoring services without maintaining inventory on-site—merchandise is sourced from full-line stores. As of May 2022, seven such locations operate between New York City and Los Angeles, each averaging around 3,000 square feet.

Restaurants

A majority of full-line Nordstrom stores feature both fast casual and full-service dining options.

List of Nordstrom restaurants

Restaurant	Concept type	Year debuted	Notes
Bar Verde		2013
Bistro Verde
Bazille
Broadway Bar	Bar		Located in New York City flagship store
Burger Bar	American	2022	Situated within New York City flagship store
Cafe Bistro
Cafe Nordstrom
Classic Cafe		1980	Renamed Marketplace Cafe in 1998
Ebar	Coffeehouse
Gelato Bar		2016	Found in Ala Moana Center location
Habitant	Bar	2013
Hani Pacific	Hawaiian	2019	Previously located in New York City flagship store
Jeannie's	Pizza	2019
Marketplace Cafe	Comfort food	1998	Formerly Classic Cafe before rebranding
Milk Bar	Bakery	2019	Located at New York City men's store
Nordstrom Grill	American
NYC Clubhouse	Bar		Located at New York City men's store
Oh Mochi	Mochi donuts
Ruscello	Mediterranean
Shoe Bar	Bar
Sweet Sundae Bar	Dessert
Wolf	Italian	2019	Located within New York City flagship store

Nordstrom Rack

Initially launched in 1973 as a discount section within Nordstrom’s Seattle flagship, Nordstrom Rack has evolved into an independent off-price department store chain. As of , it encompasses 249 stores.

Last Chance

The Last Chance outlets offer products that Nordstrom or Nordstrom Rack cannot resell, including items returned after the standard 45-day period. Currently, there are two Last Chance stores serving suburban areas near Chicago and Phoenix.

Flagship stores

As of , Nordstrom operates five flagship locations across four states. These flagship stores are recognized for their relatively smaller footprint compared to those of competitors.

rowspan="2" | Washington rowspan="2" | Seattle

Nordstrom flagship stores

State or province	City	Shopping center or district	Size	Year opened	Year closed	Notes
British Columbia	Vancouver	Pacific Centre	230,000 sq ft (21,000 m2)	2015	2023	Highest-performing location prior to Canadian market exit
California	San Francisco	Westfield San Francisco Centre	350,000 sq ft (33,000 m2)	1991	2023	Closed in August 2023
Illinois	Chicago	The Shops at North Bridge	272,000 sq ft (25,300 m2)	2000	Template:N/A
New York	New York City	Central Park Tower	320,000 sq ft (30,000 m2)	2019	Template:N/A	Dedicated to women's apparel
			47,000 sq ft (4,400 m2)	2018	Template:N/A	Dedicated to men's apparel
Ontario	Toronto	Toronto Eaton Centre	213,000 sq ft (19,800 m2)	2016	2023	Situated in the former Sears Canada flagship location
383,000 sq ft (35,600 m2)	1998	Template:N/A	Housed in the previous Frederick & Nelson flagship building
97,720 sq ft (9,078 m2)	1973	1998	Original flagship and corporate headquarters

Rankings

Nordstrom has been a regular on Fortune magazine’s list of the 100 Best Companies to Work For, earning Hall of Fame recognition. Among its notable placements are No. 24 in 2007, No. 36 in 2008, and No. 72 in 2009. The company maintained its presence on this list for over twenty years, ranking No. 94 in 2017. Other significant rankings include No. 53 in 2010 and No. 61 in 2012.

Within the retail sector, Women's Wear Daily named Nordstrom the leading fashion retailer in 2013. Additionally, the company appeared at No. 183 on the Fortune 500 list in 2018, marking its twenty-fifth consecutive year on that ranking by 2019.