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Nordstrom Customer Service Essay

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CUSTOMER SERVICE In the retail industry Nordstrom is known to be superior to other top retailers in terms of customer shopping experience and satisfaction. While Nordstrom is an industry leader in this category, it does not mean that other main competitors, such as HBC and Holt Renfrew, do not have their own customer service relationships. As a result, this core competency is not seen as rare. Customer service experience can be seen as costly to imitate in many regards. A retailer will have to beef up their hiring process to find the right type of individual to fit their employee training programs, and from there the company will have to invest into extensive training in order to maintain the high customer service level that Nordstrom offers. As a result of Nordstrom training their employees early on, it has given them a temporary competitive advantage, as competitors will soon try to imitate the Nordstrom customer service experience and employee training programs. RESEARCH & DEVELOPMENT …show more content…

For instance, Nordstrom has recently invested in digital technology which includes a mobile sales app BevyUp, as well the investment in Messageye, which will help to better understand consumer data.58 Nordstrom has gained competitive advantage from their willingness to invest in new technology. To invest in new technology, like digitization, it requires a substantial capital investment, as back in 2013 Nordstrom vowed to invest approximately $1.2 billion into technological developments over the course of the next five years.59 So being able to keep with top retailers in terms of research and development can prove to be extremely costly. Nordstrom’s investments into technology are almost impossible to imitate and immensely valuable giving them a sustainable competitive advantage over competitors like HBC and

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