Short Case 1: Nordstrom

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SHORT CASE 1: NORDSTROM
Nordstrom, Inc. is an upscale department store chain in the United States, founded by John W. Nordstrom and Carl F. Wallin. Initially a shoe retailer, the company today also sells clothing, accessories, handbags, jewelry, cosmetics, fragrances, and in some locations, home furnishings. There are now 225 stores operating in 29 states across the U.S. The corporate headquarters and the flagship store are located in Downtown Seattle, Washington.
NORDSTROM BANK & FASHION REWARDS PROGRAM: Nordstrom FSB, a wholly owned subsidiary of Nordstrom, Inc., is a federally chartered savings bank doing business as Nordstrom Bank. It was formed in 1991 in Scottsdale, Arizona, with its customer contact center in Englewood, Colorado. Nordstrom FSB was formerly known as Nordstrom National Credit Bank and changed its name to Nordstrom FSB in March 2000. The bank offers various banking and credit products, such as Nordstrom Signature VISA, Nordstrom retail credit and debit cards, interest-bearing checking accounts, check cards, and certificates of deposits. It offers Nordstrom customers cards under Nordstrom Fashion Rewards - its customer loyalty program - where customers earn a minimum of two reward points per dollar spent at Nordstrom when using a Nordstrom debit or credit card. Few retailers offer a rewards debit card. Nordstrom VISA purchases at non-Nordstrom merchants earn one reward point. Rewards include Nordstrom Notes which are redeemed or used like cash in stores for payment on accounts or new purchases and the Nordstrom Signature VISA card also has an optional travel/leisure rewards feature. The Fashion Rewards program features 4 levels of status depending on annual spend and offers various promotional times throughout the year to earn double, triple and even ten-times points. Nordstrom is revving up Fashion Rewards even more in 2012 making its…...

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