Before the rise of Amazon.com, Seattle retail was defined by one company: Nordstrom. Now, the upscale retailer appears to be taking some plays out of the Amazon.com playbook, announcing plans to boost spending on e-commerce infrastructure to $150 million this year. That marks roughly 30 percent of the company’s capital expenditures, up from 20 percent last year, according to a report by Internet Retailer.

The added expenses translates to more jobs, so it may get kind of interesting to see how the ongoing talent war shakes out with Amazon and other online retailers in Seattle such as Blue Nile and drugstore.com. (Now owned by Walgreens).

According to Internet Retailer, Nordstrom is looking to hire up to 400 people in its e-commerce group, which includes the HauteLook members-only online fashion site. (Interestingly, Amazon launched its own competing service called MyHabit last year).

Caris & Co. for one applauded the bigger moves into e-commerce. According to report on Barron’s:

Nordstrom’s rollout of customer-centric technologies are allowing it to more fully embrace multi-channel retailing and it continues to build both customer loyalty and sales. As Nordstrom continues to expand over the coming years, in its full-line stores, off-price racks and online, we believe the shares should more fully reflect the retailer’s growth potential amongst affluent customers.

Comments

  • http://twitter.com/aaBowlin Austin Bowlin

    Nordstrom is a phenomenal company who has been able to cultivate an unbelievably strong relationship with its customers, but the company is extremely calculated and has taken very few risks outside of their traditional business model in the last decade or two. Faconnable was a bust, it appears to be doing well with HauteLook, both Nordstrom.com and The Rack are all doing well. It will be interesting to see how this they fair on this one. Have any big hires in the eCommerce arena been made to help JWN get the momentum going on this? 

  • http://twitter.com/IDDiOO Cynthia Holcomb

    I applaud Nordstrom for taking the lead and investing in new technologies and user interfaces that will bring the excitement, emotion and even the predictability of real world of shopping to the Nordstrom online shopping experience.  They have the opportunity to redefine how women and men shop online and in-store.  Shopping 3.0.

    I see Nordstrom branded, mutli-media, beautifully designed, interactive user interfaces enabling customers to build their own private search and recommendation engine to shop both online and in-store databases.  Shopping carts that mimic a Pinterest storyboard allowing customers to be their own curators.  Search that surprises and delights the customer through building an emotionally visual experience. 

    Not only will this “re-invent” the world of online and real world shopping, but it will also solve basic issues of fit, returns, lack of sensory and emotional stimuli and customer service.

    Imagine how satisfied a customer will be receiving personalized product referrals based on the unique personal preferences of
    fit, look and feel in a garment.

    My company IDDiOO has developed the technology to do all of the above and more. 

    Personal Preference Search technology employing  user interfaces that mimic “real world”  shopping experience.

    We are available to build customized solutions for apparel retailers using IDDiOO technology as the platform.  We welcome your inquiries. 

     

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