As stockers plied the racks and shelves with merÂchanÂdise in the new Nordstrom in Ridgedale Center last week, salespeople sat in groups of 10 to 12 disÂcussÂing ways to deÂlight cusÂtomÂers.
Shoe deÂpartÂment employees talked about keepÂing tisÂsue and cardÂboard clutÂter out of cusÂtomÂers' sight. CosÂmetÂics employees disÂcussed ways to acÂknowlÂedge a waitÂing cusÂtomÂer while helpÂing anÂothÂer guest. Flip charts with handÂwritÂten words such as "real," "honÂest," "comÂfortÂaÂble," "genuÂine" and "reÂspect" were placed near each group.
It's but a glimpse behind the curÂtain of a speÂcialÂty reÂtailÂer prized for its qualÂiÂty merÂchanÂdise but esÂpeÂcialÂly for treatÂing its cusÂtomÂers like royÂalÂty.
The SeÂatÂtle-based reÂtailÂer, which has been in the Twin Cities at the Mall of America since it opÂened in 1992, is a crown jewel for any mall. Its openÂing at Ridgedale this week is a turnÂing point afÂter nearÂly three years of reÂconÂstrucÂtion at the mall in Minnetonka.
"It's a home run for Ridgedale," said MarÂtin Sneider, adÂjunct proÂfesÂsor of marÂketÂing at Washington University in St. Louis. "They're apÂpealÂing to the MidÂwestÂern cusÂtomÂer who wants great cusÂtomÂer servÂice and good brands in a nice setÂting."
Nordstrom ocÂcuÂpies a new buildÂing in a spot where Macy's ran a men's and home store. AfÂter closÂing that, Macy's addÂed more than 80,000 feet to its main store in Ridgedale.
Nordstrom's new store is 140,000 square feet, about two-thirds the size of its Mall of America store. And unÂlike that loÂcaÂtion, the new store has winÂdows, bringÂing natÂuÂral light to its sleek, white inÂteÂriÂor. And from the outÂside at night, the winÂdows show off what's inÂside and disÂtinÂguish the store from the plain walls of the rest of the mall.
Along with some luxÂuÂry brand bouÂtiques in the GalÂlerÂia in Edina, Nordstrom is one of the most exÂpenÂsive places to shop in the Twin Cities. But it has surÂvived in a marÂket where NeiÂman MarÂcus, Saks Fifth Avenue, and BlooÂmingÂdale's didn't, in part by movÂing into the sweet spot for cusÂtomÂer servÂice long ocÂcuÂpied by Minnesota's beÂlovÂed Dayton's, which, through a sucÂcesÂsion of deals, beÂcame part of Macy's.
Erik Nordstrom, great-grandÂson of Nordstrom's foundÂer and now co-presÂiÂdent of the comÂpany with his two broÂthers, reÂcalls comÂpetÂing with Dayton's at the openÂing of the Mall of America store, which he manÂaged for three years.
"That was good for us," Nordstrom said. "We need to have that same foÂcus on each cusÂtomÂer in Ridgedale. A big part of the servÂice busiÂness is huÂmilÂiÂty and learnÂing to lisÂten to the cusÂtomÂer."
LuxÂuÂry reÂtail anÂaÂlyst Pam DanÂzigÂer of UÂniÂty MarÂketÂing in PennÂsylÂvania said that Nordstrom apÂpeals to midÂdle-inÂcome and afÂfluÂent shopÂpers. "Nordstrom is the more demoÂcratÂic of the brands," she said. "NordÂstrom isn't eÂlitÂist. They hit preÂmium price points but not luxÂuÂry price points."
NeiÂman MarÂcus, based in DalÂlas, is perÂceived as Texas oil monÂey. Saks is all about 5th Avenue, Wall Street and New York. Nordstrom, meanÂwhile, sprung up from a humÂble shoe store in SeÂatÂtle in 1901. Like Dayton's, Nordstrom fits Minnesota's senÂsiÂbiliÂties, said Beth Perro-Jarvis of GinÂger ConÂsultÂing.
"TimeÂless, nice and pracÂtiÂcal," she said. "They have openÂing price points for mid-level shopÂpers, but can just as easÂiÂly satisÂfy the MaÂple Grove shopÂper who may not look the part but has a BurÂberry scarf and walÂlet and a seÂcond home on Gull Lake."
Nordstrom said the comÂpany aims high in its level of merÂchanÂdise and servÂice and wide in the peoÂple it wants to reach.
"We need to feel welÂcomÂing to all. We have great deÂsignÂers and acÂcesÂsiÂble price points." Nordstrom said. "LuxÂuÂry inÂstills a sense of exÂcluÂsiviÂty. We're not a luxÂuÂry reÂtailÂer."
The Mall of America store is "one of our best perÂformÂing stores by any measÂure," NordÂstrom said. The Ridgedale store will be the comÂpany's 120th deÂpartÂment store, along with 188 Rack outÂlet stores by Thursday, inÂcludÂing loÂcaÂtions in Mall of America, MaÂple Grove and St. Louis Park.
In part beÂcause it is two storÂies inÂstead of three, the new Ridgedale store will be a difÂferÂent exÂperiÂence than the one at the Mall of America. "It's easiÂer to shop throughÂout the store and disÂcover new deÂpartÂments and brands cusÂtomÂers may not have shopped beÂfore," said StephÂaÂnie Johnson, who is manÂagÂing the new store.
While brands such as AshÂley Graham linÂgeÂrie and PenÂfield for young men will be exÂcluÂsive to Ridgedale, well-heeled shopÂpers used to tripÂping through PraÂda and ChaÂnel bouÂtiques in Mall of America won't find such deÂsignÂer apÂparÂel in Ridgedale. "We had to make some deÂciÂsions about the best way to use that [smallÂer] space," Johnson said. "We're also dealÂing with limÂits deÂsignÂers place on the disÂtriÂbuÂtion of their proÂducts."
Even if Nordstrom wantÂed a ChaÂnel bouÂtique in Ridgedale, the deÂsign house may have nixed it. "ChaÂnel is very careÂful about the numÂber and placeÂment of its prodÂuct," said Sneider, the marÂketÂing proÂfesÂsor. "Mall of America and Macy's in Herald Square bring an inÂflux of tourÂists. Ridgedale might not atÂtract that many."
InÂiÂtialÂly, the Nordstrom store at the Mall of America didn't carÂry the ultraluxury brands. It's posÂsiÂble the asÂsortÂment at the new store in Ridgedale could change based on cusÂtomÂer deÂmand. Johnson said that cusÂtomÂers can ask salespeople to bring deÂsignÂer proÂducts into the Ridgedale store.
Pam Olson of HowÂard Lake, who was shopÂping at Ridgedale last week, said she's very exÂcitÂed about NordÂstrom but had alÂreadÂy heard rumors about the midlevel asÂsortÂment. "Ridgedale is my clothes closÂet," Olson said. "I hope I can find brands like DiÂane von FurÂstenÂberg or Catherine Malandrino."
AnaÂlysts say that when Nordstrom enÂters a mall, other reÂtailÂers flock to be near it. Since Ridgedale signed up Nordstrom two years ago, more than 20 reÂtailÂers have signed leasÂes, inÂcludÂing PotÂterÂy Barn, Williams-SoÂnoÂma, Brooks Brothers, Tommy Bahama, Michael Kors and CreÂaÂtive Kidstuff.
Dave BrenÂnan, co-diÂrecÂtor of the Institute for ReÂtailÂing Excellence at the University of St. Thomas, said that Ridgedale was a tired cenÂter beÂfore signÂing Nordstrom in early 2013. "Five or six years ago they were going to do a maÂjor reÂmodel, but General Growth went through bankÂruptÂcy and it nevÂer hapÂpened," he said. "BringÂing in Nordstrom is inÂcredÂiÂble good forÂtune."
General Growth, the mall's ownÂer, doesn't reÂlease sales per square foot at its centers. Dick Grones, prinÂciÂpal of Cambridge ComÂmerÂcial ReÂalÂty in Edina, esÂtiÂmates that Ridgedale's is in the low $400s, well beÂlow the $704 per square foot that the Mall of America gets and the $600 per square foot at RoseÂdale. Grones said he exÂpects sales to "inÂcrease more than $150 per square foot withÂin two years afÂter Nordstrom opens."
Pady RegÂnier is one local store ownÂer who wantÂed to get into Ridgedale as soon as she heard about Nordstrom. Her UpÂtown Minnesota store also opens there this week. "I wouldn't have opÂened UpÂtown and takÂen over the Swarovski store in Ridgedale if I didn't know Nordstrom was going there," she said.
"We're tryÂing to creÂate an emoÂtioÂnal conÂnecÂtion with a cusÂtomÂer that othÂer reÂtailÂers don't have," RegÂnier said. "Nordstrom is like that, too. They're not a comÂmodÂiÂty."
John Ewoldt • 612-673-7633