Seattle -- Nordstrom Inc. revealed Thursday that it is leading a $16.4 million investment round in online men’s apparel brand Bonobos. The announcement follows last year’s purchase of online private sale site HauteLook, giving Nordstrom another leg up in the e-commerce arena.
Nordstrom is selling the Bonobos label's clothing at its stores and online. Bonobos is the largest apparel brand launched on the internet in the United States.
“We understand there are people who still want to touch and feel clothing before they purchase. We realized we needed help expanding beyond our web-only roots,” said Andy Dunn, founder and CEO of Bonobos. “Nordstrom is the leader in retail customer service and they are incredibly innovative,” he added.
Nordstrom’s Internet sales last year grew by 30%, compared to the 13% increase for the total company.
Bonobos at Nordstrom will be the first time the brand is available in-store and online outside Bonobos.com and the company's New York City headquarters’ showroom store.
Bonobos is “a pioneer in leveraging the Internet to build great relationships with their customers, a common focus of both organizations," said Jamie Nordstrom, president of Nordstrom Direct.
Last March, Nordstrom acquired HauteLook, an online retailer that offers flash sales on top fashion and lifestyle brands. The deal was the first transaction of its kind with a leading fashion specialty retail chain acquiring an online private sale company.