TECHNOLOGY

Nordstrom launches ‘The Nordy Club’

BY Marianne Wilson

Nordstrom is offering customers more than points in its transformed customer loyalty program.

The department store retailer will launch “The Nordy Club” this fall. The program incorporates the traditional point system and benefits of Nordstrom’s previous program, while also offering customers more personalized and enhanced service and experiences, including exclusive access to product and events and more convenient ways to shop.

“With the launch of The Nordy Club, we’re excited to go beyond the model of points for Notes and enhance our relationships with existing customers, while giving new customers more reasons to engage with us,” said Scott Meden, Nordstrom chief marketing officer. “We’ve seen significant growth in our program over the last few years and our 10+ million active members spend four times more and shop with us three times more than non-members.”

The new program will provide rewards at a faster earn rate. Starting later this fall, Nordstrom credit cardmembers will earn three points per dollar for purchases at Nordstrom, a 50% increase in earn rate. Members paying with cash or a non-Nordstrom card will receive one point for every dollar spent.

Customers will also have access to new product launches, and be “first to shop” the company’s off- price clearance event, Clear the Rack. Through the Nordstrom app, customers can collect Notes faster at $5, $10, and $15increments or wait to be issued a $20 Note.

Along with the new rewards and services, The Nordy Club will offer personalized experiences for every customer. The Nordstrom app will feature an integrated, dashboard allowing customers to easily see and interact with the loyalty program – providing access to their status, points balance and spend-to-next-level at all times.

The Nordy Club has four published levels based on annual spending, ranging from member ($0 to $500) to ambassador ($5,000 plus), each with its own benefits. There is also an invite-only “icon” status for top Nordstrom cardmembers.

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TECHNOLOGY

Walmart looks to boost Jet.com with a big makeover—and partnership with Nike

BY Marianne Wilson

Walmart is updating its Jet.com site with faster delivery, new merchandise offerings, more personalization and other enhancements as its looks to strengthen its defenses against Amazon.

The online retailer on Thursday debuted an updated website that features an array of new and improved offerings, with a shopping experience tailored to specific needs of urban areas, starting with New York City. (Jet will open a new fulfillment center in the Bronx this fall.). The changes are designed to expand Jet’s appeal to its target audience of affluent, urban-dwelling consumers.

“I’m personally thrilled with this evolution of Jet,” said Marc Lore, Jet founder, and president and CEO of Walmart eCommerce US. “It’s the next generation of shopping for city dwellers, and really brings the personality of their city and local favorites to life,” And, focusing Jet on customers in the major metro cities perfectly complements our overall e-commerce portfolio strategy.”

The changes include a bigger emphasis on localization. Starting with New York and rolling out to other major cities over time, Jet.com will feature iconic, localized imagery and messages on the home page and throughout the site. In addition, smarter product recommendations that prioritize shoppers’ preferences and timely re-order suggestions that predict needs to restock will provide more intelligent personalization. And iOS consumers will be able to use voice activation to build shopping lists on Jet’s mobile application.

Other changes include faster delivery. Most New York City customers will be able to arrange three-hour scheduled delivery windows for their groceries and other select merchandise. Upon checkout, customers will be able to add customized delivery instructions (e.g. “leave the package with the doorman”). Delivery will be offered through Parcel, the same-day, last-mile delivery company Walmart acquired in 2017.

Jet is also partnering with New York-based brands and small businesses to offer a more localized product assortment. New Yorkers, for instance, will be able to order local and craft beer for same-day and next-day delivery in the coming months.

NIKE: Jet also plans to add more brands to its site, including Nike. In October, Jet and Nike will partner to offer consumers Nike and Converse products in a fully branded experience. The initial assortment will include hundreds of products across apparel, footwear and accessories for men, women and children, including essentials for running, training and sportswear.

Jet was launched in 2015 and acquired by Walmart for $3.3 billion in 2016, Jet is the shopping destination for city consumers.

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Walmart expands last-mile delivery capabilities with new acquisition

BY Marianne Wilson

Walmart is enhancing its online grocery delivery capabilities south of the border.

The purchase is intended to ramp up multi-platform capabilities in the region, and follows similar investments in China and Japan.

The discounter has entered into a definitive agreement to acquire Cornershop, an online marketplace for on-demand delivery of food, health & wellness and packaged goods from supermarkets, pharmacies and specialty food retailers in Mexico and Chile, for $225 million.

Under the terms of the agreement, Cornershop will remain an open platform that will continue to deliver from a variety of retailers. Its three founders — Oskar Hjertonsson, CEO; Daniel Undurraga, COO; and Juan Pablo Cuevas, chief technology officer, and their teams — will continue to lead the business.

“Cornershop’s digital expertise, technology and capabilities will strengthen our successful businesses in Mexico and Chile and provide learning for other markets in which we operate,” said Judith McKenna, president and CEO of Walmart International. “Combining Cornershop’s innovative, crowdsourced delivery platform with Walmart’s unique assets will allow us to accelerate growth for both companies, delighting our customers by saving them both time and money.”

Closing of the transaction is subject to regulatory approval and is expected by the end of the year.

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