global marketing assignmnet - nordstrom global marketing plan
TRANSCRIPT
Name Amany Hamza
Student number 21202244
Tutor Mahen Ramsurrun
Course MBA Global Marketing
2013
Figure 1 ndash Nordstrom (Source Permalink)
Nordstrom Global Marketing Plan
Page | 1
Table of Contents
1 Executive Summary 3
2 Introduction 4
3 Situational Analysis 5
31 INTERNAL FACTORS 5
32 EXTERNAL FACTORS 6
4 Market Objectives 8
5 Marketing Strategy 8
51 SEGMENTATION 9
52 TARGETING 10
53 POSITIONING 11
6 Market Entry 12
7 Market Programme 13
71 PRODUCT 13
72 PRICE 14
73 PROMOTION 14
74 PLACE 15
75 Physical Evidence 16
76 PEOPLE 16
77 PROCESS 17
8 Integrated Marketing Communication 18
81 INTERNAL BRANDING 18
82 EXTERNAL BRANDING 18
9 Monitor and Control 19
10 Budget 19
11 Recommendation 20
12 Conclusion 25
13 Acronyms 26
14 References 27
Nordstrom Global Marketing Plan
Page | 2
Table of Figures
Figure 1 ndash Nordstrom (Source Permalink) 0
Figure 2 ndash Nordstrom Brasil (Source Google Adapted for the market entry into Brazil) 3
Figure 3 ndash Marketing Analysis (Source Patricia Mink Rath) 4
Figure 4 - Company Overview 6
Figure 5 ndash SLEPT Analysis 7
Figure 6 - Major Segmentation Variables for Consumer Markets 9
Figure 7 - Brand Positioning Based On Pricing Architecture 11
Figure 8 - Comparison of the Different Entry Modes 12
Figure 9 - Product Assortment 13
Figure 10 - Store Locations in Upmarket Shopping Mall 15
Figure 11 - Physical Evidence - Mannequins 16
Figure 12 ndash Process environment 17
Figure 13 ndash Brand Value Equation 18
Figure 14 - Brand Umbrella Strategy 19
Figure 15 - Ansoff Matrix 20
Figure 16 - Holistic Communication Strategy across brick and mortar synergies 21
Figure 17 - AIDA Model 22
Figure 18 - Product Life Cycle and The Boston Matrix 24
Nordstrom Global Marketing Plan
Page | 3
1 Executive Summary
During the group presentation the first marketing plan proposal for Nordstrom was provided
to make its first foray out of the USA into Brazil Following that this report sets out to analyse
the market entry plan as throughout Brazil opportunities abound for branded fashion retailers
to expand This paper entrenches the development of marketing branding programme to build
the brand identity and cultivate loyalty to be integral in driving sales growth
Furthermore the appraisal presents a thumbnail sketch of Nordstromrsquos leading position in the
Brazilian marketplace which is driven by inherent implementation activities through the IMC
(Integrated Marketing Communication) process And with the attention to Brazilian consumer
trends and preferences Nordstrom will dominate the Brazilian market
To conclude this recommendation encloses the imperatives for Nordstrom to sustain growth in
ROI (Return on Investment) by leveraging its brand values and attributes in the new domain
where Brazil is the optimal territory for its debut overseas and the preliminary market to test its
potential to open up new markets south of the equator
Figure 2 ndash Nordstrom Brasil (Source Google Adapted for the market entry into Brazil)
Nordstrom Global Marketing Plan
Page | 4
2 Introduction
Nordstrom Inc - a fashion specialty retailer with 242 stores all in the US (Yahoo Finance 2013)
and the worldrsquos number 10th best retail brand for 2013 according to Interbrand - is stepping up
efforts to expand globally Hence with the flagging economy and consumers are trading down
in home market opening overseas is a way for Nordstrom to keep growing (Forbes 2012)
Figure 3 ndash Marketing Analysis (Source Patricia Mink Rath)
Nordstrom Global Marketing Plan
Page | 5
Nordstrom offers its customers a range of brand names and private label merchandise focused
on apparel shoes cosmetics and accessories And through a series of smart investments and
strategies conceived out of management realisation that the customer is the one in the drivers
seat Nordstrom showed ability to anticipate very well to the markets changes (see Appendix
AP-IF- FH)
Nordstrom integrated marketing framework addresses how its corporate brand communicates
and resonates with its targeted customers to meet their propositions in a way to live up to its
brand promise amid multifaceted efforts of CRM to retain customers and of CLV to acquire
new customers (Kotler et al 2009)
3 Situational Analysis
The marketing environment for Nordstrom represents overwhelming opportunities Figure 4
highlights Nordstromrsquos strength whereas Figure 5 illustrates the SLEPT analysis Related to
this a rational decision to tap the Brazilian market can be in favour of Nordstrom corporate
brand viability in this market
31 INTERNAL FACTORS
Nordstrom has a strong heritage thus it authentically relates to and engages with
stakeholders in an ethical CSR approach Its well-recognized brand is associated with a high
level of quality merchandise with strong brand presence in both high fashion market as well
as lower priced value market with its Rack stores With its recent partnership with online
retailer FiftyOne Global Commerce Nordstrom is aimed to penetrate global markets with its
high-end fashion selection Thereof with the immense growth opportunities that abound in
Brazil Nordstrom would benefit from entering into this new frontier Nevertheless
Brazil has one of the biggest upcoming markets in the fashion scene by hosting two major
fashion events which define trends for the continent (see Appendix AP-IF-FE)
Nordstrom Global Marketing Plan
Page | 6
The Integrated omni-channel stores convenience and innovative data driven processes
accompanied by well -trained people committed to internal brand engagement are the
benchmarks of Nordstrom brand strength which has translated into higher sales (see
Appendix AP-IF-FH) that surpassed $10 billion in 2012 despite the deterioration of
economic conditions
Nordstromrsquos competitive edge is based on its updated cutting edge fashions to stay ahead of
its rivals And to maintain perfect merchandise mix it has perpetual inventory system and
its liberal return policy is legendary the brand has been highly responsive to customer
demand While its supply chain expedites merchandise in the areas of handling highly
innovative fashion products partnerships are also enhancing the in-store and online
experiences Nordstrom has partnered with fast-fashion retailer TopShop to entice younger
shoppers and increase its market share
32 EXTERNAL FACTORS
Brazilrsquos dynamic retail sector attracts an influx of major foreign retail chains particularly
luxury players The primary force driving the current surge in the fashion market is a
Figure 4 - Company Overview
Nordstrom Global Marketing Plan
Page | 7
healthy macroeconomic context with a pro-business government that welcomes foreign
investment as exhibited in figure 5 (see Appendix AP-EF-HM)
Brazilrsquos rise as an important fashion market results from a complex set of interconnected
conditions such as a rapidly growing disposable income in middle-class (Snoad 2012) This
is associated with increased consumption and significant migration into urban areas where
most shopping malls are located Moreover about 62 of the countryrsquos population is under
29 years of age This favours the apparel market growth as most apparel sales come from the
younger population (Forbes 2013) All of this represents dynamic growth opportunities for
Nordstromrsquos expansion plan
Source AT Kearney 2008 (Adapted from Vivian Yeung 2013)
Figure 5 ndash SLEPT Analysis
Nordstrom Global Marketing Plan
Page | 8
Aside from these shopping malls the clothing retail industry is composed of small local
retail companies that lack the economies of scale (see Appendix AP-EF-ES) Therefore the
majority of middle class has little choice but to buy from designers brands at a high price
point (Anaya 2010) This leads to a golden opportunity to differentiate and position itself as
the market nicher to meet the needs of the underserved consumers
E-commerce is on the rise as the country is the fifth largest globally in terms of digital users
(see Appendix AP-EF-EC) Such high Internet usage and participation in social media will
feature the way Nordstrom sells to and communicates with the target audience as
consumers compare products share experiences and more importantly participate in the
creation of products (Global Intelligence Alliance 2010) In this context to keep up with the
changes brought up by the post digital world Nordstrom will embed holistic brand strategy
to fit with consumersrsquo needs and desires to create a seamless branded and valued
experience (Interbrand 2012)
4 Market Objectives
One of Nordstromrsquos key corporate objectives is to strengthen its brand foothold by entering
new markets In order to achieve this objective Nordstrom decided to set the following
marketing objectives by entering the Brazilian retail market which are the ability to establish a
consistent brand globally in order to be able to develop a good base in this challenging market
as well as establishing breadth and depth of the corporate brand awareness in order to develop
a niche position with YOY growth of 5 for the next 3 years to secure long term profitability
and sustainable ROI
5 Marketing Strategy
A Marketing Strategy will be to seize market segments and niche that competitors have
overlooked in the Brazilian market (Ganesha 2003) ndash the poor scale of economies given the
relatively small size of the Brazilian market dominated by luxury department stores called
Daslu for the rich and famous (depicted Appendix AP-EF-DL) and domestic retailers with less
quality thereof Nordstrom should lever delivering high perceived value defined by high
quality and affordable prices of its offerings for the target customers to be the market nicher
(FT 2012)
Nordstrom Global Marketing Plan
Page | 9
51 SEGMENTATION
To serve the right customers Nordstrom would design customer-driven marketing
strategies to identify market segment and develop tailored market programs In this context
Brazilian market has carefully been segmented as illustrated in figure 6 to reveal attractive
target markets (Kotler et al 2012) This segment will be of young professional women
between the ages 16-35 who are highly sensitive to the latest fashion trends as exhibited in
figure 6
Figure 6 - Major Segmentation Variables for Consumer Markets
Source Adapted from Kotler et al (2012)
Nordstrom Global Marketing Plan
Page | 10
52 TARGETING
After evaluating different segments the targeted audience is customers who are members of
the emerging socioeconomic group with the robust purchasing power To best advocate the
underlying prerequisites of targeted consumers Nordstrom would follow a mass marketing
strategy undifferentiated market focusing on magazines such as Vogue Brasil and Contigo
billboard and newspapers
Contrary with a look at established markets Nordstrom would apply micromarketing
strategy that best serves to build the right relationships with the right customers (Kotler et
al 2012)With regards to this Nordstromrsquos target customers would be grouped in three
main customer profile categories The primary target would be the principle-orientated
customers the innovators while the secondary customer target is the status-orientated the
self-treating and last customer target is the savvy trendy one who is the experiencer (Figure
6) Drawing from Nordstromrsquos customer centric approach it would tailor its brandsrsquo
portfolio and marketing programs to suit the tastes of specific individuals and locations
(Kotler et al 2012) As Nordstrom would be located in urban cities the target customers
would value the latest of fast fashion trends while individualrsquos preference could benefit
from aggregated usage of digital media across all its omni-channels
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
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75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
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77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 1
Table of Contents
1 Executive Summary 3
2 Introduction 4
3 Situational Analysis 5
31 INTERNAL FACTORS 5
32 EXTERNAL FACTORS 6
4 Market Objectives 8
5 Marketing Strategy 8
51 SEGMENTATION 9
52 TARGETING 10
53 POSITIONING 11
6 Market Entry 12
7 Market Programme 13
71 PRODUCT 13
72 PRICE 14
73 PROMOTION 14
74 PLACE 15
75 Physical Evidence 16
76 PEOPLE 16
77 PROCESS 17
8 Integrated Marketing Communication 18
81 INTERNAL BRANDING 18
82 EXTERNAL BRANDING 18
9 Monitor and Control 19
10 Budget 19
11 Recommendation 20
12 Conclusion 25
13 Acronyms 26
14 References 27
Nordstrom Global Marketing Plan
Page | 2
Table of Figures
Figure 1 ndash Nordstrom (Source Permalink) 0
Figure 2 ndash Nordstrom Brasil (Source Google Adapted for the market entry into Brazil) 3
Figure 3 ndash Marketing Analysis (Source Patricia Mink Rath) 4
Figure 4 - Company Overview 6
Figure 5 ndash SLEPT Analysis 7
Figure 6 - Major Segmentation Variables for Consumer Markets 9
Figure 7 - Brand Positioning Based On Pricing Architecture 11
Figure 8 - Comparison of the Different Entry Modes 12
Figure 9 - Product Assortment 13
Figure 10 - Store Locations in Upmarket Shopping Mall 15
Figure 11 - Physical Evidence - Mannequins 16
Figure 12 ndash Process environment 17
Figure 13 ndash Brand Value Equation 18
Figure 14 - Brand Umbrella Strategy 19
Figure 15 - Ansoff Matrix 20
Figure 16 - Holistic Communication Strategy across brick and mortar synergies 21
Figure 17 - AIDA Model 22
Figure 18 - Product Life Cycle and The Boston Matrix 24
Nordstrom Global Marketing Plan
Page | 3
1 Executive Summary
During the group presentation the first marketing plan proposal for Nordstrom was provided
to make its first foray out of the USA into Brazil Following that this report sets out to analyse
the market entry plan as throughout Brazil opportunities abound for branded fashion retailers
to expand This paper entrenches the development of marketing branding programme to build
the brand identity and cultivate loyalty to be integral in driving sales growth
Furthermore the appraisal presents a thumbnail sketch of Nordstromrsquos leading position in the
Brazilian marketplace which is driven by inherent implementation activities through the IMC
(Integrated Marketing Communication) process And with the attention to Brazilian consumer
trends and preferences Nordstrom will dominate the Brazilian market
To conclude this recommendation encloses the imperatives for Nordstrom to sustain growth in
ROI (Return on Investment) by leveraging its brand values and attributes in the new domain
where Brazil is the optimal territory for its debut overseas and the preliminary market to test its
potential to open up new markets south of the equator
Figure 2 ndash Nordstrom Brasil (Source Google Adapted for the market entry into Brazil)
Nordstrom Global Marketing Plan
Page | 4
2 Introduction
Nordstrom Inc - a fashion specialty retailer with 242 stores all in the US (Yahoo Finance 2013)
and the worldrsquos number 10th best retail brand for 2013 according to Interbrand - is stepping up
efforts to expand globally Hence with the flagging economy and consumers are trading down
in home market opening overseas is a way for Nordstrom to keep growing (Forbes 2012)
Figure 3 ndash Marketing Analysis (Source Patricia Mink Rath)
Nordstrom Global Marketing Plan
Page | 5
Nordstrom offers its customers a range of brand names and private label merchandise focused
on apparel shoes cosmetics and accessories And through a series of smart investments and
strategies conceived out of management realisation that the customer is the one in the drivers
seat Nordstrom showed ability to anticipate very well to the markets changes (see Appendix
AP-IF- FH)
Nordstrom integrated marketing framework addresses how its corporate brand communicates
and resonates with its targeted customers to meet their propositions in a way to live up to its
brand promise amid multifaceted efforts of CRM to retain customers and of CLV to acquire
new customers (Kotler et al 2009)
3 Situational Analysis
The marketing environment for Nordstrom represents overwhelming opportunities Figure 4
highlights Nordstromrsquos strength whereas Figure 5 illustrates the SLEPT analysis Related to
this a rational decision to tap the Brazilian market can be in favour of Nordstrom corporate
brand viability in this market
31 INTERNAL FACTORS
Nordstrom has a strong heritage thus it authentically relates to and engages with
stakeholders in an ethical CSR approach Its well-recognized brand is associated with a high
level of quality merchandise with strong brand presence in both high fashion market as well
as lower priced value market with its Rack stores With its recent partnership with online
retailer FiftyOne Global Commerce Nordstrom is aimed to penetrate global markets with its
high-end fashion selection Thereof with the immense growth opportunities that abound in
Brazil Nordstrom would benefit from entering into this new frontier Nevertheless
Brazil has one of the biggest upcoming markets in the fashion scene by hosting two major
fashion events which define trends for the continent (see Appendix AP-IF-FE)
Nordstrom Global Marketing Plan
Page | 6
The Integrated omni-channel stores convenience and innovative data driven processes
accompanied by well -trained people committed to internal brand engagement are the
benchmarks of Nordstrom brand strength which has translated into higher sales (see
Appendix AP-IF-FH) that surpassed $10 billion in 2012 despite the deterioration of
economic conditions
Nordstromrsquos competitive edge is based on its updated cutting edge fashions to stay ahead of
its rivals And to maintain perfect merchandise mix it has perpetual inventory system and
its liberal return policy is legendary the brand has been highly responsive to customer
demand While its supply chain expedites merchandise in the areas of handling highly
innovative fashion products partnerships are also enhancing the in-store and online
experiences Nordstrom has partnered with fast-fashion retailer TopShop to entice younger
shoppers and increase its market share
32 EXTERNAL FACTORS
Brazilrsquos dynamic retail sector attracts an influx of major foreign retail chains particularly
luxury players The primary force driving the current surge in the fashion market is a
Figure 4 - Company Overview
Nordstrom Global Marketing Plan
Page | 7
healthy macroeconomic context with a pro-business government that welcomes foreign
investment as exhibited in figure 5 (see Appendix AP-EF-HM)
Brazilrsquos rise as an important fashion market results from a complex set of interconnected
conditions such as a rapidly growing disposable income in middle-class (Snoad 2012) This
is associated with increased consumption and significant migration into urban areas where
most shopping malls are located Moreover about 62 of the countryrsquos population is under
29 years of age This favours the apparel market growth as most apparel sales come from the
younger population (Forbes 2013) All of this represents dynamic growth opportunities for
Nordstromrsquos expansion plan
Source AT Kearney 2008 (Adapted from Vivian Yeung 2013)
Figure 5 ndash SLEPT Analysis
Nordstrom Global Marketing Plan
Page | 8
Aside from these shopping malls the clothing retail industry is composed of small local
retail companies that lack the economies of scale (see Appendix AP-EF-ES) Therefore the
majority of middle class has little choice but to buy from designers brands at a high price
point (Anaya 2010) This leads to a golden opportunity to differentiate and position itself as
the market nicher to meet the needs of the underserved consumers
E-commerce is on the rise as the country is the fifth largest globally in terms of digital users
(see Appendix AP-EF-EC) Such high Internet usage and participation in social media will
feature the way Nordstrom sells to and communicates with the target audience as
consumers compare products share experiences and more importantly participate in the
creation of products (Global Intelligence Alliance 2010) In this context to keep up with the
changes brought up by the post digital world Nordstrom will embed holistic brand strategy
to fit with consumersrsquo needs and desires to create a seamless branded and valued
experience (Interbrand 2012)
4 Market Objectives
One of Nordstromrsquos key corporate objectives is to strengthen its brand foothold by entering
new markets In order to achieve this objective Nordstrom decided to set the following
marketing objectives by entering the Brazilian retail market which are the ability to establish a
consistent brand globally in order to be able to develop a good base in this challenging market
as well as establishing breadth and depth of the corporate brand awareness in order to develop
a niche position with YOY growth of 5 for the next 3 years to secure long term profitability
and sustainable ROI
5 Marketing Strategy
A Marketing Strategy will be to seize market segments and niche that competitors have
overlooked in the Brazilian market (Ganesha 2003) ndash the poor scale of economies given the
relatively small size of the Brazilian market dominated by luxury department stores called
Daslu for the rich and famous (depicted Appendix AP-EF-DL) and domestic retailers with less
quality thereof Nordstrom should lever delivering high perceived value defined by high
quality and affordable prices of its offerings for the target customers to be the market nicher
(FT 2012)
Nordstrom Global Marketing Plan
Page | 9
51 SEGMENTATION
To serve the right customers Nordstrom would design customer-driven marketing
strategies to identify market segment and develop tailored market programs In this context
Brazilian market has carefully been segmented as illustrated in figure 6 to reveal attractive
target markets (Kotler et al 2012) This segment will be of young professional women
between the ages 16-35 who are highly sensitive to the latest fashion trends as exhibited in
figure 6
Figure 6 - Major Segmentation Variables for Consumer Markets
Source Adapted from Kotler et al (2012)
Nordstrom Global Marketing Plan
Page | 10
52 TARGETING
After evaluating different segments the targeted audience is customers who are members of
the emerging socioeconomic group with the robust purchasing power To best advocate the
underlying prerequisites of targeted consumers Nordstrom would follow a mass marketing
strategy undifferentiated market focusing on magazines such as Vogue Brasil and Contigo
billboard and newspapers
Contrary with a look at established markets Nordstrom would apply micromarketing
strategy that best serves to build the right relationships with the right customers (Kotler et
al 2012)With regards to this Nordstromrsquos target customers would be grouped in three
main customer profile categories The primary target would be the principle-orientated
customers the innovators while the secondary customer target is the status-orientated the
self-treating and last customer target is the savvy trendy one who is the experiencer (Figure
6) Drawing from Nordstromrsquos customer centric approach it would tailor its brandsrsquo
portfolio and marketing programs to suit the tastes of specific individuals and locations
(Kotler et al 2012) As Nordstrom would be located in urban cities the target customers
would value the latest of fast fashion trends while individualrsquos preference could benefit
from aggregated usage of digital media across all its omni-channels
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 2
Table of Figures
Figure 1 ndash Nordstrom (Source Permalink) 0
Figure 2 ndash Nordstrom Brasil (Source Google Adapted for the market entry into Brazil) 3
Figure 3 ndash Marketing Analysis (Source Patricia Mink Rath) 4
Figure 4 - Company Overview 6
Figure 5 ndash SLEPT Analysis 7
Figure 6 - Major Segmentation Variables for Consumer Markets 9
Figure 7 - Brand Positioning Based On Pricing Architecture 11
Figure 8 - Comparison of the Different Entry Modes 12
Figure 9 - Product Assortment 13
Figure 10 - Store Locations in Upmarket Shopping Mall 15
Figure 11 - Physical Evidence - Mannequins 16
Figure 12 ndash Process environment 17
Figure 13 ndash Brand Value Equation 18
Figure 14 - Brand Umbrella Strategy 19
Figure 15 - Ansoff Matrix 20
Figure 16 - Holistic Communication Strategy across brick and mortar synergies 21
Figure 17 - AIDA Model 22
Figure 18 - Product Life Cycle and The Boston Matrix 24
Nordstrom Global Marketing Plan
Page | 3
1 Executive Summary
During the group presentation the first marketing plan proposal for Nordstrom was provided
to make its first foray out of the USA into Brazil Following that this report sets out to analyse
the market entry plan as throughout Brazil opportunities abound for branded fashion retailers
to expand This paper entrenches the development of marketing branding programme to build
the brand identity and cultivate loyalty to be integral in driving sales growth
Furthermore the appraisal presents a thumbnail sketch of Nordstromrsquos leading position in the
Brazilian marketplace which is driven by inherent implementation activities through the IMC
(Integrated Marketing Communication) process And with the attention to Brazilian consumer
trends and preferences Nordstrom will dominate the Brazilian market
To conclude this recommendation encloses the imperatives for Nordstrom to sustain growth in
ROI (Return on Investment) by leveraging its brand values and attributes in the new domain
where Brazil is the optimal territory for its debut overseas and the preliminary market to test its
potential to open up new markets south of the equator
Figure 2 ndash Nordstrom Brasil (Source Google Adapted for the market entry into Brazil)
Nordstrom Global Marketing Plan
Page | 4
2 Introduction
Nordstrom Inc - a fashion specialty retailer with 242 stores all in the US (Yahoo Finance 2013)
and the worldrsquos number 10th best retail brand for 2013 according to Interbrand - is stepping up
efforts to expand globally Hence with the flagging economy and consumers are trading down
in home market opening overseas is a way for Nordstrom to keep growing (Forbes 2012)
Figure 3 ndash Marketing Analysis (Source Patricia Mink Rath)
Nordstrom Global Marketing Plan
Page | 5
Nordstrom offers its customers a range of brand names and private label merchandise focused
on apparel shoes cosmetics and accessories And through a series of smart investments and
strategies conceived out of management realisation that the customer is the one in the drivers
seat Nordstrom showed ability to anticipate very well to the markets changes (see Appendix
AP-IF- FH)
Nordstrom integrated marketing framework addresses how its corporate brand communicates
and resonates with its targeted customers to meet their propositions in a way to live up to its
brand promise amid multifaceted efforts of CRM to retain customers and of CLV to acquire
new customers (Kotler et al 2009)
3 Situational Analysis
The marketing environment for Nordstrom represents overwhelming opportunities Figure 4
highlights Nordstromrsquos strength whereas Figure 5 illustrates the SLEPT analysis Related to
this a rational decision to tap the Brazilian market can be in favour of Nordstrom corporate
brand viability in this market
31 INTERNAL FACTORS
Nordstrom has a strong heritage thus it authentically relates to and engages with
stakeholders in an ethical CSR approach Its well-recognized brand is associated with a high
level of quality merchandise with strong brand presence in both high fashion market as well
as lower priced value market with its Rack stores With its recent partnership with online
retailer FiftyOne Global Commerce Nordstrom is aimed to penetrate global markets with its
high-end fashion selection Thereof with the immense growth opportunities that abound in
Brazil Nordstrom would benefit from entering into this new frontier Nevertheless
Brazil has one of the biggest upcoming markets in the fashion scene by hosting two major
fashion events which define trends for the continent (see Appendix AP-IF-FE)
Nordstrom Global Marketing Plan
Page | 6
The Integrated omni-channel stores convenience and innovative data driven processes
accompanied by well -trained people committed to internal brand engagement are the
benchmarks of Nordstrom brand strength which has translated into higher sales (see
Appendix AP-IF-FH) that surpassed $10 billion in 2012 despite the deterioration of
economic conditions
Nordstromrsquos competitive edge is based on its updated cutting edge fashions to stay ahead of
its rivals And to maintain perfect merchandise mix it has perpetual inventory system and
its liberal return policy is legendary the brand has been highly responsive to customer
demand While its supply chain expedites merchandise in the areas of handling highly
innovative fashion products partnerships are also enhancing the in-store and online
experiences Nordstrom has partnered with fast-fashion retailer TopShop to entice younger
shoppers and increase its market share
32 EXTERNAL FACTORS
Brazilrsquos dynamic retail sector attracts an influx of major foreign retail chains particularly
luxury players The primary force driving the current surge in the fashion market is a
Figure 4 - Company Overview
Nordstrom Global Marketing Plan
Page | 7
healthy macroeconomic context with a pro-business government that welcomes foreign
investment as exhibited in figure 5 (see Appendix AP-EF-HM)
Brazilrsquos rise as an important fashion market results from a complex set of interconnected
conditions such as a rapidly growing disposable income in middle-class (Snoad 2012) This
is associated with increased consumption and significant migration into urban areas where
most shopping malls are located Moreover about 62 of the countryrsquos population is under
29 years of age This favours the apparel market growth as most apparel sales come from the
younger population (Forbes 2013) All of this represents dynamic growth opportunities for
Nordstromrsquos expansion plan
Source AT Kearney 2008 (Adapted from Vivian Yeung 2013)
Figure 5 ndash SLEPT Analysis
Nordstrom Global Marketing Plan
Page | 8
Aside from these shopping malls the clothing retail industry is composed of small local
retail companies that lack the economies of scale (see Appendix AP-EF-ES) Therefore the
majority of middle class has little choice but to buy from designers brands at a high price
point (Anaya 2010) This leads to a golden opportunity to differentiate and position itself as
the market nicher to meet the needs of the underserved consumers
E-commerce is on the rise as the country is the fifth largest globally in terms of digital users
(see Appendix AP-EF-EC) Such high Internet usage and participation in social media will
feature the way Nordstrom sells to and communicates with the target audience as
consumers compare products share experiences and more importantly participate in the
creation of products (Global Intelligence Alliance 2010) In this context to keep up with the
changes brought up by the post digital world Nordstrom will embed holistic brand strategy
to fit with consumersrsquo needs and desires to create a seamless branded and valued
experience (Interbrand 2012)
4 Market Objectives
One of Nordstromrsquos key corporate objectives is to strengthen its brand foothold by entering
new markets In order to achieve this objective Nordstrom decided to set the following
marketing objectives by entering the Brazilian retail market which are the ability to establish a
consistent brand globally in order to be able to develop a good base in this challenging market
as well as establishing breadth and depth of the corporate brand awareness in order to develop
a niche position with YOY growth of 5 for the next 3 years to secure long term profitability
and sustainable ROI
5 Marketing Strategy
A Marketing Strategy will be to seize market segments and niche that competitors have
overlooked in the Brazilian market (Ganesha 2003) ndash the poor scale of economies given the
relatively small size of the Brazilian market dominated by luxury department stores called
Daslu for the rich and famous (depicted Appendix AP-EF-DL) and domestic retailers with less
quality thereof Nordstrom should lever delivering high perceived value defined by high
quality and affordable prices of its offerings for the target customers to be the market nicher
(FT 2012)
Nordstrom Global Marketing Plan
Page | 9
51 SEGMENTATION
To serve the right customers Nordstrom would design customer-driven marketing
strategies to identify market segment and develop tailored market programs In this context
Brazilian market has carefully been segmented as illustrated in figure 6 to reveal attractive
target markets (Kotler et al 2012) This segment will be of young professional women
between the ages 16-35 who are highly sensitive to the latest fashion trends as exhibited in
figure 6
Figure 6 - Major Segmentation Variables for Consumer Markets
Source Adapted from Kotler et al (2012)
Nordstrom Global Marketing Plan
Page | 10
52 TARGETING
After evaluating different segments the targeted audience is customers who are members of
the emerging socioeconomic group with the robust purchasing power To best advocate the
underlying prerequisites of targeted consumers Nordstrom would follow a mass marketing
strategy undifferentiated market focusing on magazines such as Vogue Brasil and Contigo
billboard and newspapers
Contrary with a look at established markets Nordstrom would apply micromarketing
strategy that best serves to build the right relationships with the right customers (Kotler et
al 2012)With regards to this Nordstromrsquos target customers would be grouped in three
main customer profile categories The primary target would be the principle-orientated
customers the innovators while the secondary customer target is the status-orientated the
self-treating and last customer target is the savvy trendy one who is the experiencer (Figure
6) Drawing from Nordstromrsquos customer centric approach it would tailor its brandsrsquo
portfolio and marketing programs to suit the tastes of specific individuals and locations
(Kotler et al 2012) As Nordstrom would be located in urban cities the target customers
would value the latest of fast fashion trends while individualrsquos preference could benefit
from aggregated usage of digital media across all its omni-channels
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 3
1 Executive Summary
During the group presentation the first marketing plan proposal for Nordstrom was provided
to make its first foray out of the USA into Brazil Following that this report sets out to analyse
the market entry plan as throughout Brazil opportunities abound for branded fashion retailers
to expand This paper entrenches the development of marketing branding programme to build
the brand identity and cultivate loyalty to be integral in driving sales growth
Furthermore the appraisal presents a thumbnail sketch of Nordstromrsquos leading position in the
Brazilian marketplace which is driven by inherent implementation activities through the IMC
(Integrated Marketing Communication) process And with the attention to Brazilian consumer
trends and preferences Nordstrom will dominate the Brazilian market
To conclude this recommendation encloses the imperatives for Nordstrom to sustain growth in
ROI (Return on Investment) by leveraging its brand values and attributes in the new domain
where Brazil is the optimal territory for its debut overseas and the preliminary market to test its
potential to open up new markets south of the equator
Figure 2 ndash Nordstrom Brasil (Source Google Adapted for the market entry into Brazil)
Nordstrom Global Marketing Plan
Page | 4
2 Introduction
Nordstrom Inc - a fashion specialty retailer with 242 stores all in the US (Yahoo Finance 2013)
and the worldrsquos number 10th best retail brand for 2013 according to Interbrand - is stepping up
efforts to expand globally Hence with the flagging economy and consumers are trading down
in home market opening overseas is a way for Nordstrom to keep growing (Forbes 2012)
Figure 3 ndash Marketing Analysis (Source Patricia Mink Rath)
Nordstrom Global Marketing Plan
Page | 5
Nordstrom offers its customers a range of brand names and private label merchandise focused
on apparel shoes cosmetics and accessories And through a series of smart investments and
strategies conceived out of management realisation that the customer is the one in the drivers
seat Nordstrom showed ability to anticipate very well to the markets changes (see Appendix
AP-IF- FH)
Nordstrom integrated marketing framework addresses how its corporate brand communicates
and resonates with its targeted customers to meet their propositions in a way to live up to its
brand promise amid multifaceted efforts of CRM to retain customers and of CLV to acquire
new customers (Kotler et al 2009)
3 Situational Analysis
The marketing environment for Nordstrom represents overwhelming opportunities Figure 4
highlights Nordstromrsquos strength whereas Figure 5 illustrates the SLEPT analysis Related to
this a rational decision to tap the Brazilian market can be in favour of Nordstrom corporate
brand viability in this market
31 INTERNAL FACTORS
Nordstrom has a strong heritage thus it authentically relates to and engages with
stakeholders in an ethical CSR approach Its well-recognized brand is associated with a high
level of quality merchandise with strong brand presence in both high fashion market as well
as lower priced value market with its Rack stores With its recent partnership with online
retailer FiftyOne Global Commerce Nordstrom is aimed to penetrate global markets with its
high-end fashion selection Thereof with the immense growth opportunities that abound in
Brazil Nordstrom would benefit from entering into this new frontier Nevertheless
Brazil has one of the biggest upcoming markets in the fashion scene by hosting two major
fashion events which define trends for the continent (see Appendix AP-IF-FE)
Nordstrom Global Marketing Plan
Page | 6
The Integrated omni-channel stores convenience and innovative data driven processes
accompanied by well -trained people committed to internal brand engagement are the
benchmarks of Nordstrom brand strength which has translated into higher sales (see
Appendix AP-IF-FH) that surpassed $10 billion in 2012 despite the deterioration of
economic conditions
Nordstromrsquos competitive edge is based on its updated cutting edge fashions to stay ahead of
its rivals And to maintain perfect merchandise mix it has perpetual inventory system and
its liberal return policy is legendary the brand has been highly responsive to customer
demand While its supply chain expedites merchandise in the areas of handling highly
innovative fashion products partnerships are also enhancing the in-store and online
experiences Nordstrom has partnered with fast-fashion retailer TopShop to entice younger
shoppers and increase its market share
32 EXTERNAL FACTORS
Brazilrsquos dynamic retail sector attracts an influx of major foreign retail chains particularly
luxury players The primary force driving the current surge in the fashion market is a
Figure 4 - Company Overview
Nordstrom Global Marketing Plan
Page | 7
healthy macroeconomic context with a pro-business government that welcomes foreign
investment as exhibited in figure 5 (see Appendix AP-EF-HM)
Brazilrsquos rise as an important fashion market results from a complex set of interconnected
conditions such as a rapidly growing disposable income in middle-class (Snoad 2012) This
is associated with increased consumption and significant migration into urban areas where
most shopping malls are located Moreover about 62 of the countryrsquos population is under
29 years of age This favours the apparel market growth as most apparel sales come from the
younger population (Forbes 2013) All of this represents dynamic growth opportunities for
Nordstromrsquos expansion plan
Source AT Kearney 2008 (Adapted from Vivian Yeung 2013)
Figure 5 ndash SLEPT Analysis
Nordstrom Global Marketing Plan
Page | 8
Aside from these shopping malls the clothing retail industry is composed of small local
retail companies that lack the economies of scale (see Appendix AP-EF-ES) Therefore the
majority of middle class has little choice but to buy from designers brands at a high price
point (Anaya 2010) This leads to a golden opportunity to differentiate and position itself as
the market nicher to meet the needs of the underserved consumers
E-commerce is on the rise as the country is the fifth largest globally in terms of digital users
(see Appendix AP-EF-EC) Such high Internet usage and participation in social media will
feature the way Nordstrom sells to and communicates with the target audience as
consumers compare products share experiences and more importantly participate in the
creation of products (Global Intelligence Alliance 2010) In this context to keep up with the
changes brought up by the post digital world Nordstrom will embed holistic brand strategy
to fit with consumersrsquo needs and desires to create a seamless branded and valued
experience (Interbrand 2012)
4 Market Objectives
One of Nordstromrsquos key corporate objectives is to strengthen its brand foothold by entering
new markets In order to achieve this objective Nordstrom decided to set the following
marketing objectives by entering the Brazilian retail market which are the ability to establish a
consistent brand globally in order to be able to develop a good base in this challenging market
as well as establishing breadth and depth of the corporate brand awareness in order to develop
a niche position with YOY growth of 5 for the next 3 years to secure long term profitability
and sustainable ROI
5 Marketing Strategy
A Marketing Strategy will be to seize market segments and niche that competitors have
overlooked in the Brazilian market (Ganesha 2003) ndash the poor scale of economies given the
relatively small size of the Brazilian market dominated by luxury department stores called
Daslu for the rich and famous (depicted Appendix AP-EF-DL) and domestic retailers with less
quality thereof Nordstrom should lever delivering high perceived value defined by high
quality and affordable prices of its offerings for the target customers to be the market nicher
(FT 2012)
Nordstrom Global Marketing Plan
Page | 9
51 SEGMENTATION
To serve the right customers Nordstrom would design customer-driven marketing
strategies to identify market segment and develop tailored market programs In this context
Brazilian market has carefully been segmented as illustrated in figure 6 to reveal attractive
target markets (Kotler et al 2012) This segment will be of young professional women
between the ages 16-35 who are highly sensitive to the latest fashion trends as exhibited in
figure 6
Figure 6 - Major Segmentation Variables for Consumer Markets
Source Adapted from Kotler et al (2012)
Nordstrom Global Marketing Plan
Page | 10
52 TARGETING
After evaluating different segments the targeted audience is customers who are members of
the emerging socioeconomic group with the robust purchasing power To best advocate the
underlying prerequisites of targeted consumers Nordstrom would follow a mass marketing
strategy undifferentiated market focusing on magazines such as Vogue Brasil and Contigo
billboard and newspapers
Contrary with a look at established markets Nordstrom would apply micromarketing
strategy that best serves to build the right relationships with the right customers (Kotler et
al 2012)With regards to this Nordstromrsquos target customers would be grouped in three
main customer profile categories The primary target would be the principle-orientated
customers the innovators while the secondary customer target is the status-orientated the
self-treating and last customer target is the savvy trendy one who is the experiencer (Figure
6) Drawing from Nordstromrsquos customer centric approach it would tailor its brandsrsquo
portfolio and marketing programs to suit the tastes of specific individuals and locations
(Kotler et al 2012) As Nordstrom would be located in urban cities the target customers
would value the latest of fast fashion trends while individualrsquos preference could benefit
from aggregated usage of digital media across all its omni-channels
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
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Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
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httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
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Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
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Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
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Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
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these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
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G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
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Nordstrom Global Marketing Plan
Page | 28
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[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
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2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
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Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
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httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
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sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
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Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
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Marisa (2013) Investor Relations [Accessed on May 12 2013]
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Page | 29
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entrepreneur-contends-its-real
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sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
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text-messaging-into-mobile-strategy
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[Accessed on May 13 2013]
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Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 4
2 Introduction
Nordstrom Inc - a fashion specialty retailer with 242 stores all in the US (Yahoo Finance 2013)
and the worldrsquos number 10th best retail brand for 2013 according to Interbrand - is stepping up
efforts to expand globally Hence with the flagging economy and consumers are trading down
in home market opening overseas is a way for Nordstrom to keep growing (Forbes 2012)
Figure 3 ndash Marketing Analysis (Source Patricia Mink Rath)
Nordstrom Global Marketing Plan
Page | 5
Nordstrom offers its customers a range of brand names and private label merchandise focused
on apparel shoes cosmetics and accessories And through a series of smart investments and
strategies conceived out of management realisation that the customer is the one in the drivers
seat Nordstrom showed ability to anticipate very well to the markets changes (see Appendix
AP-IF- FH)
Nordstrom integrated marketing framework addresses how its corporate brand communicates
and resonates with its targeted customers to meet their propositions in a way to live up to its
brand promise amid multifaceted efforts of CRM to retain customers and of CLV to acquire
new customers (Kotler et al 2009)
3 Situational Analysis
The marketing environment for Nordstrom represents overwhelming opportunities Figure 4
highlights Nordstromrsquos strength whereas Figure 5 illustrates the SLEPT analysis Related to
this a rational decision to tap the Brazilian market can be in favour of Nordstrom corporate
brand viability in this market
31 INTERNAL FACTORS
Nordstrom has a strong heritage thus it authentically relates to and engages with
stakeholders in an ethical CSR approach Its well-recognized brand is associated with a high
level of quality merchandise with strong brand presence in both high fashion market as well
as lower priced value market with its Rack stores With its recent partnership with online
retailer FiftyOne Global Commerce Nordstrom is aimed to penetrate global markets with its
high-end fashion selection Thereof with the immense growth opportunities that abound in
Brazil Nordstrom would benefit from entering into this new frontier Nevertheless
Brazil has one of the biggest upcoming markets in the fashion scene by hosting two major
fashion events which define trends for the continent (see Appendix AP-IF-FE)
Nordstrom Global Marketing Plan
Page | 6
The Integrated omni-channel stores convenience and innovative data driven processes
accompanied by well -trained people committed to internal brand engagement are the
benchmarks of Nordstrom brand strength which has translated into higher sales (see
Appendix AP-IF-FH) that surpassed $10 billion in 2012 despite the deterioration of
economic conditions
Nordstromrsquos competitive edge is based on its updated cutting edge fashions to stay ahead of
its rivals And to maintain perfect merchandise mix it has perpetual inventory system and
its liberal return policy is legendary the brand has been highly responsive to customer
demand While its supply chain expedites merchandise in the areas of handling highly
innovative fashion products partnerships are also enhancing the in-store and online
experiences Nordstrom has partnered with fast-fashion retailer TopShop to entice younger
shoppers and increase its market share
32 EXTERNAL FACTORS
Brazilrsquos dynamic retail sector attracts an influx of major foreign retail chains particularly
luxury players The primary force driving the current surge in the fashion market is a
Figure 4 - Company Overview
Nordstrom Global Marketing Plan
Page | 7
healthy macroeconomic context with a pro-business government that welcomes foreign
investment as exhibited in figure 5 (see Appendix AP-EF-HM)
Brazilrsquos rise as an important fashion market results from a complex set of interconnected
conditions such as a rapidly growing disposable income in middle-class (Snoad 2012) This
is associated with increased consumption and significant migration into urban areas where
most shopping malls are located Moreover about 62 of the countryrsquos population is under
29 years of age This favours the apparel market growth as most apparel sales come from the
younger population (Forbes 2013) All of this represents dynamic growth opportunities for
Nordstromrsquos expansion plan
Source AT Kearney 2008 (Adapted from Vivian Yeung 2013)
Figure 5 ndash SLEPT Analysis
Nordstrom Global Marketing Plan
Page | 8
Aside from these shopping malls the clothing retail industry is composed of small local
retail companies that lack the economies of scale (see Appendix AP-EF-ES) Therefore the
majority of middle class has little choice but to buy from designers brands at a high price
point (Anaya 2010) This leads to a golden opportunity to differentiate and position itself as
the market nicher to meet the needs of the underserved consumers
E-commerce is on the rise as the country is the fifth largest globally in terms of digital users
(see Appendix AP-EF-EC) Such high Internet usage and participation in social media will
feature the way Nordstrom sells to and communicates with the target audience as
consumers compare products share experiences and more importantly participate in the
creation of products (Global Intelligence Alliance 2010) In this context to keep up with the
changes brought up by the post digital world Nordstrom will embed holistic brand strategy
to fit with consumersrsquo needs and desires to create a seamless branded and valued
experience (Interbrand 2012)
4 Market Objectives
One of Nordstromrsquos key corporate objectives is to strengthen its brand foothold by entering
new markets In order to achieve this objective Nordstrom decided to set the following
marketing objectives by entering the Brazilian retail market which are the ability to establish a
consistent brand globally in order to be able to develop a good base in this challenging market
as well as establishing breadth and depth of the corporate brand awareness in order to develop
a niche position with YOY growth of 5 for the next 3 years to secure long term profitability
and sustainable ROI
5 Marketing Strategy
A Marketing Strategy will be to seize market segments and niche that competitors have
overlooked in the Brazilian market (Ganesha 2003) ndash the poor scale of economies given the
relatively small size of the Brazilian market dominated by luxury department stores called
Daslu for the rich and famous (depicted Appendix AP-EF-DL) and domestic retailers with less
quality thereof Nordstrom should lever delivering high perceived value defined by high
quality and affordable prices of its offerings for the target customers to be the market nicher
(FT 2012)
Nordstrom Global Marketing Plan
Page | 9
51 SEGMENTATION
To serve the right customers Nordstrom would design customer-driven marketing
strategies to identify market segment and develop tailored market programs In this context
Brazilian market has carefully been segmented as illustrated in figure 6 to reveal attractive
target markets (Kotler et al 2012) This segment will be of young professional women
between the ages 16-35 who are highly sensitive to the latest fashion trends as exhibited in
figure 6
Figure 6 - Major Segmentation Variables for Consumer Markets
Source Adapted from Kotler et al (2012)
Nordstrom Global Marketing Plan
Page | 10
52 TARGETING
After evaluating different segments the targeted audience is customers who are members of
the emerging socioeconomic group with the robust purchasing power To best advocate the
underlying prerequisites of targeted consumers Nordstrom would follow a mass marketing
strategy undifferentiated market focusing on magazines such as Vogue Brasil and Contigo
billboard and newspapers
Contrary with a look at established markets Nordstrom would apply micromarketing
strategy that best serves to build the right relationships with the right customers (Kotler et
al 2012)With regards to this Nordstromrsquos target customers would be grouped in three
main customer profile categories The primary target would be the principle-orientated
customers the innovators while the secondary customer target is the status-orientated the
self-treating and last customer target is the savvy trendy one who is the experiencer (Figure
6) Drawing from Nordstromrsquos customer centric approach it would tailor its brandsrsquo
portfolio and marketing programs to suit the tastes of specific individuals and locations
(Kotler et al 2012) As Nordstrom would be located in urban cities the target customers
would value the latest of fast fashion trends while individualrsquos preference could benefit
from aggregated usage of digital media across all its omni-channels
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
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Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
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these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
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Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
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HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 5
Nordstrom offers its customers a range of brand names and private label merchandise focused
on apparel shoes cosmetics and accessories And through a series of smart investments and
strategies conceived out of management realisation that the customer is the one in the drivers
seat Nordstrom showed ability to anticipate very well to the markets changes (see Appendix
AP-IF- FH)
Nordstrom integrated marketing framework addresses how its corporate brand communicates
and resonates with its targeted customers to meet their propositions in a way to live up to its
brand promise amid multifaceted efforts of CRM to retain customers and of CLV to acquire
new customers (Kotler et al 2009)
3 Situational Analysis
The marketing environment for Nordstrom represents overwhelming opportunities Figure 4
highlights Nordstromrsquos strength whereas Figure 5 illustrates the SLEPT analysis Related to
this a rational decision to tap the Brazilian market can be in favour of Nordstrom corporate
brand viability in this market
31 INTERNAL FACTORS
Nordstrom has a strong heritage thus it authentically relates to and engages with
stakeholders in an ethical CSR approach Its well-recognized brand is associated with a high
level of quality merchandise with strong brand presence in both high fashion market as well
as lower priced value market with its Rack stores With its recent partnership with online
retailer FiftyOne Global Commerce Nordstrom is aimed to penetrate global markets with its
high-end fashion selection Thereof with the immense growth opportunities that abound in
Brazil Nordstrom would benefit from entering into this new frontier Nevertheless
Brazil has one of the biggest upcoming markets in the fashion scene by hosting two major
fashion events which define trends for the continent (see Appendix AP-IF-FE)
Nordstrom Global Marketing Plan
Page | 6
The Integrated omni-channel stores convenience and innovative data driven processes
accompanied by well -trained people committed to internal brand engagement are the
benchmarks of Nordstrom brand strength which has translated into higher sales (see
Appendix AP-IF-FH) that surpassed $10 billion in 2012 despite the deterioration of
economic conditions
Nordstromrsquos competitive edge is based on its updated cutting edge fashions to stay ahead of
its rivals And to maintain perfect merchandise mix it has perpetual inventory system and
its liberal return policy is legendary the brand has been highly responsive to customer
demand While its supply chain expedites merchandise in the areas of handling highly
innovative fashion products partnerships are also enhancing the in-store and online
experiences Nordstrom has partnered with fast-fashion retailer TopShop to entice younger
shoppers and increase its market share
32 EXTERNAL FACTORS
Brazilrsquos dynamic retail sector attracts an influx of major foreign retail chains particularly
luxury players The primary force driving the current surge in the fashion market is a
Figure 4 - Company Overview
Nordstrom Global Marketing Plan
Page | 7
healthy macroeconomic context with a pro-business government that welcomes foreign
investment as exhibited in figure 5 (see Appendix AP-EF-HM)
Brazilrsquos rise as an important fashion market results from a complex set of interconnected
conditions such as a rapidly growing disposable income in middle-class (Snoad 2012) This
is associated with increased consumption and significant migration into urban areas where
most shopping malls are located Moreover about 62 of the countryrsquos population is under
29 years of age This favours the apparel market growth as most apparel sales come from the
younger population (Forbes 2013) All of this represents dynamic growth opportunities for
Nordstromrsquos expansion plan
Source AT Kearney 2008 (Adapted from Vivian Yeung 2013)
Figure 5 ndash SLEPT Analysis
Nordstrom Global Marketing Plan
Page | 8
Aside from these shopping malls the clothing retail industry is composed of small local
retail companies that lack the economies of scale (see Appendix AP-EF-ES) Therefore the
majority of middle class has little choice but to buy from designers brands at a high price
point (Anaya 2010) This leads to a golden opportunity to differentiate and position itself as
the market nicher to meet the needs of the underserved consumers
E-commerce is on the rise as the country is the fifth largest globally in terms of digital users
(see Appendix AP-EF-EC) Such high Internet usage and participation in social media will
feature the way Nordstrom sells to and communicates with the target audience as
consumers compare products share experiences and more importantly participate in the
creation of products (Global Intelligence Alliance 2010) In this context to keep up with the
changes brought up by the post digital world Nordstrom will embed holistic brand strategy
to fit with consumersrsquo needs and desires to create a seamless branded and valued
experience (Interbrand 2012)
4 Market Objectives
One of Nordstromrsquos key corporate objectives is to strengthen its brand foothold by entering
new markets In order to achieve this objective Nordstrom decided to set the following
marketing objectives by entering the Brazilian retail market which are the ability to establish a
consistent brand globally in order to be able to develop a good base in this challenging market
as well as establishing breadth and depth of the corporate brand awareness in order to develop
a niche position with YOY growth of 5 for the next 3 years to secure long term profitability
and sustainable ROI
5 Marketing Strategy
A Marketing Strategy will be to seize market segments and niche that competitors have
overlooked in the Brazilian market (Ganesha 2003) ndash the poor scale of economies given the
relatively small size of the Brazilian market dominated by luxury department stores called
Daslu for the rich and famous (depicted Appendix AP-EF-DL) and domestic retailers with less
quality thereof Nordstrom should lever delivering high perceived value defined by high
quality and affordable prices of its offerings for the target customers to be the market nicher
(FT 2012)
Nordstrom Global Marketing Plan
Page | 9
51 SEGMENTATION
To serve the right customers Nordstrom would design customer-driven marketing
strategies to identify market segment and develop tailored market programs In this context
Brazilian market has carefully been segmented as illustrated in figure 6 to reveal attractive
target markets (Kotler et al 2012) This segment will be of young professional women
between the ages 16-35 who are highly sensitive to the latest fashion trends as exhibited in
figure 6
Figure 6 - Major Segmentation Variables for Consumer Markets
Source Adapted from Kotler et al (2012)
Nordstrom Global Marketing Plan
Page | 10
52 TARGETING
After evaluating different segments the targeted audience is customers who are members of
the emerging socioeconomic group with the robust purchasing power To best advocate the
underlying prerequisites of targeted consumers Nordstrom would follow a mass marketing
strategy undifferentiated market focusing on magazines such as Vogue Brasil and Contigo
billboard and newspapers
Contrary with a look at established markets Nordstrom would apply micromarketing
strategy that best serves to build the right relationships with the right customers (Kotler et
al 2012)With regards to this Nordstromrsquos target customers would be grouped in three
main customer profile categories The primary target would be the principle-orientated
customers the innovators while the secondary customer target is the status-orientated the
self-treating and last customer target is the savvy trendy one who is the experiencer (Figure
6) Drawing from Nordstromrsquos customer centric approach it would tailor its brandsrsquo
portfolio and marketing programs to suit the tastes of specific individuals and locations
(Kotler et al 2012) As Nordstrom would be located in urban cities the target customers
would value the latest of fast fashion trends while individualrsquos preference could benefit
from aggregated usage of digital media across all its omni-channels
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 6
The Integrated omni-channel stores convenience and innovative data driven processes
accompanied by well -trained people committed to internal brand engagement are the
benchmarks of Nordstrom brand strength which has translated into higher sales (see
Appendix AP-IF-FH) that surpassed $10 billion in 2012 despite the deterioration of
economic conditions
Nordstromrsquos competitive edge is based on its updated cutting edge fashions to stay ahead of
its rivals And to maintain perfect merchandise mix it has perpetual inventory system and
its liberal return policy is legendary the brand has been highly responsive to customer
demand While its supply chain expedites merchandise in the areas of handling highly
innovative fashion products partnerships are also enhancing the in-store and online
experiences Nordstrom has partnered with fast-fashion retailer TopShop to entice younger
shoppers and increase its market share
32 EXTERNAL FACTORS
Brazilrsquos dynamic retail sector attracts an influx of major foreign retail chains particularly
luxury players The primary force driving the current surge in the fashion market is a
Figure 4 - Company Overview
Nordstrom Global Marketing Plan
Page | 7
healthy macroeconomic context with a pro-business government that welcomes foreign
investment as exhibited in figure 5 (see Appendix AP-EF-HM)
Brazilrsquos rise as an important fashion market results from a complex set of interconnected
conditions such as a rapidly growing disposable income in middle-class (Snoad 2012) This
is associated with increased consumption and significant migration into urban areas where
most shopping malls are located Moreover about 62 of the countryrsquos population is under
29 years of age This favours the apparel market growth as most apparel sales come from the
younger population (Forbes 2013) All of this represents dynamic growth opportunities for
Nordstromrsquos expansion plan
Source AT Kearney 2008 (Adapted from Vivian Yeung 2013)
Figure 5 ndash SLEPT Analysis
Nordstrom Global Marketing Plan
Page | 8
Aside from these shopping malls the clothing retail industry is composed of small local
retail companies that lack the economies of scale (see Appendix AP-EF-ES) Therefore the
majority of middle class has little choice but to buy from designers brands at a high price
point (Anaya 2010) This leads to a golden opportunity to differentiate and position itself as
the market nicher to meet the needs of the underserved consumers
E-commerce is on the rise as the country is the fifth largest globally in terms of digital users
(see Appendix AP-EF-EC) Such high Internet usage and participation in social media will
feature the way Nordstrom sells to and communicates with the target audience as
consumers compare products share experiences and more importantly participate in the
creation of products (Global Intelligence Alliance 2010) In this context to keep up with the
changes brought up by the post digital world Nordstrom will embed holistic brand strategy
to fit with consumersrsquo needs and desires to create a seamless branded and valued
experience (Interbrand 2012)
4 Market Objectives
One of Nordstromrsquos key corporate objectives is to strengthen its brand foothold by entering
new markets In order to achieve this objective Nordstrom decided to set the following
marketing objectives by entering the Brazilian retail market which are the ability to establish a
consistent brand globally in order to be able to develop a good base in this challenging market
as well as establishing breadth and depth of the corporate brand awareness in order to develop
a niche position with YOY growth of 5 for the next 3 years to secure long term profitability
and sustainable ROI
5 Marketing Strategy
A Marketing Strategy will be to seize market segments and niche that competitors have
overlooked in the Brazilian market (Ganesha 2003) ndash the poor scale of economies given the
relatively small size of the Brazilian market dominated by luxury department stores called
Daslu for the rich and famous (depicted Appendix AP-EF-DL) and domestic retailers with less
quality thereof Nordstrom should lever delivering high perceived value defined by high
quality and affordable prices of its offerings for the target customers to be the market nicher
(FT 2012)
Nordstrom Global Marketing Plan
Page | 9
51 SEGMENTATION
To serve the right customers Nordstrom would design customer-driven marketing
strategies to identify market segment and develop tailored market programs In this context
Brazilian market has carefully been segmented as illustrated in figure 6 to reveal attractive
target markets (Kotler et al 2012) This segment will be of young professional women
between the ages 16-35 who are highly sensitive to the latest fashion trends as exhibited in
figure 6
Figure 6 - Major Segmentation Variables for Consumer Markets
Source Adapted from Kotler et al (2012)
Nordstrom Global Marketing Plan
Page | 10
52 TARGETING
After evaluating different segments the targeted audience is customers who are members of
the emerging socioeconomic group with the robust purchasing power To best advocate the
underlying prerequisites of targeted consumers Nordstrom would follow a mass marketing
strategy undifferentiated market focusing on magazines such as Vogue Brasil and Contigo
billboard and newspapers
Contrary with a look at established markets Nordstrom would apply micromarketing
strategy that best serves to build the right relationships with the right customers (Kotler et
al 2012)With regards to this Nordstromrsquos target customers would be grouped in three
main customer profile categories The primary target would be the principle-orientated
customers the innovators while the secondary customer target is the status-orientated the
self-treating and last customer target is the savvy trendy one who is the experiencer (Figure
6) Drawing from Nordstromrsquos customer centric approach it would tailor its brandsrsquo
portfolio and marketing programs to suit the tastes of specific individuals and locations
(Kotler et al 2012) As Nordstrom would be located in urban cities the target customers
would value the latest of fast fashion trends while individualrsquos preference could benefit
from aggregated usage of digital media across all its omni-channels
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 7
healthy macroeconomic context with a pro-business government that welcomes foreign
investment as exhibited in figure 5 (see Appendix AP-EF-HM)
Brazilrsquos rise as an important fashion market results from a complex set of interconnected
conditions such as a rapidly growing disposable income in middle-class (Snoad 2012) This
is associated with increased consumption and significant migration into urban areas where
most shopping malls are located Moreover about 62 of the countryrsquos population is under
29 years of age This favours the apparel market growth as most apparel sales come from the
younger population (Forbes 2013) All of this represents dynamic growth opportunities for
Nordstromrsquos expansion plan
Source AT Kearney 2008 (Adapted from Vivian Yeung 2013)
Figure 5 ndash SLEPT Analysis
Nordstrom Global Marketing Plan
Page | 8
Aside from these shopping malls the clothing retail industry is composed of small local
retail companies that lack the economies of scale (see Appendix AP-EF-ES) Therefore the
majority of middle class has little choice but to buy from designers brands at a high price
point (Anaya 2010) This leads to a golden opportunity to differentiate and position itself as
the market nicher to meet the needs of the underserved consumers
E-commerce is on the rise as the country is the fifth largest globally in terms of digital users
(see Appendix AP-EF-EC) Such high Internet usage and participation in social media will
feature the way Nordstrom sells to and communicates with the target audience as
consumers compare products share experiences and more importantly participate in the
creation of products (Global Intelligence Alliance 2010) In this context to keep up with the
changes brought up by the post digital world Nordstrom will embed holistic brand strategy
to fit with consumersrsquo needs and desires to create a seamless branded and valued
experience (Interbrand 2012)
4 Market Objectives
One of Nordstromrsquos key corporate objectives is to strengthen its brand foothold by entering
new markets In order to achieve this objective Nordstrom decided to set the following
marketing objectives by entering the Brazilian retail market which are the ability to establish a
consistent brand globally in order to be able to develop a good base in this challenging market
as well as establishing breadth and depth of the corporate brand awareness in order to develop
a niche position with YOY growth of 5 for the next 3 years to secure long term profitability
and sustainable ROI
5 Marketing Strategy
A Marketing Strategy will be to seize market segments and niche that competitors have
overlooked in the Brazilian market (Ganesha 2003) ndash the poor scale of economies given the
relatively small size of the Brazilian market dominated by luxury department stores called
Daslu for the rich and famous (depicted Appendix AP-EF-DL) and domestic retailers with less
quality thereof Nordstrom should lever delivering high perceived value defined by high
quality and affordable prices of its offerings for the target customers to be the market nicher
(FT 2012)
Nordstrom Global Marketing Plan
Page | 9
51 SEGMENTATION
To serve the right customers Nordstrom would design customer-driven marketing
strategies to identify market segment and develop tailored market programs In this context
Brazilian market has carefully been segmented as illustrated in figure 6 to reveal attractive
target markets (Kotler et al 2012) This segment will be of young professional women
between the ages 16-35 who are highly sensitive to the latest fashion trends as exhibited in
figure 6
Figure 6 - Major Segmentation Variables for Consumer Markets
Source Adapted from Kotler et al (2012)
Nordstrom Global Marketing Plan
Page | 10
52 TARGETING
After evaluating different segments the targeted audience is customers who are members of
the emerging socioeconomic group with the robust purchasing power To best advocate the
underlying prerequisites of targeted consumers Nordstrom would follow a mass marketing
strategy undifferentiated market focusing on magazines such as Vogue Brasil and Contigo
billboard and newspapers
Contrary with a look at established markets Nordstrom would apply micromarketing
strategy that best serves to build the right relationships with the right customers (Kotler et
al 2012)With regards to this Nordstromrsquos target customers would be grouped in three
main customer profile categories The primary target would be the principle-orientated
customers the innovators while the secondary customer target is the status-orientated the
self-treating and last customer target is the savvy trendy one who is the experiencer (Figure
6) Drawing from Nordstromrsquos customer centric approach it would tailor its brandsrsquo
portfolio and marketing programs to suit the tastes of specific individuals and locations
(Kotler et al 2012) As Nordstrom would be located in urban cities the target customers
would value the latest of fast fashion trends while individualrsquos preference could benefit
from aggregated usage of digital media across all its omni-channels
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 8
Aside from these shopping malls the clothing retail industry is composed of small local
retail companies that lack the economies of scale (see Appendix AP-EF-ES) Therefore the
majority of middle class has little choice but to buy from designers brands at a high price
point (Anaya 2010) This leads to a golden opportunity to differentiate and position itself as
the market nicher to meet the needs of the underserved consumers
E-commerce is on the rise as the country is the fifth largest globally in terms of digital users
(see Appendix AP-EF-EC) Such high Internet usage and participation in social media will
feature the way Nordstrom sells to and communicates with the target audience as
consumers compare products share experiences and more importantly participate in the
creation of products (Global Intelligence Alliance 2010) In this context to keep up with the
changes brought up by the post digital world Nordstrom will embed holistic brand strategy
to fit with consumersrsquo needs and desires to create a seamless branded and valued
experience (Interbrand 2012)
4 Market Objectives
One of Nordstromrsquos key corporate objectives is to strengthen its brand foothold by entering
new markets In order to achieve this objective Nordstrom decided to set the following
marketing objectives by entering the Brazilian retail market which are the ability to establish a
consistent brand globally in order to be able to develop a good base in this challenging market
as well as establishing breadth and depth of the corporate brand awareness in order to develop
a niche position with YOY growth of 5 for the next 3 years to secure long term profitability
and sustainable ROI
5 Marketing Strategy
A Marketing Strategy will be to seize market segments and niche that competitors have
overlooked in the Brazilian market (Ganesha 2003) ndash the poor scale of economies given the
relatively small size of the Brazilian market dominated by luxury department stores called
Daslu for the rich and famous (depicted Appendix AP-EF-DL) and domestic retailers with less
quality thereof Nordstrom should lever delivering high perceived value defined by high
quality and affordable prices of its offerings for the target customers to be the market nicher
(FT 2012)
Nordstrom Global Marketing Plan
Page | 9
51 SEGMENTATION
To serve the right customers Nordstrom would design customer-driven marketing
strategies to identify market segment and develop tailored market programs In this context
Brazilian market has carefully been segmented as illustrated in figure 6 to reveal attractive
target markets (Kotler et al 2012) This segment will be of young professional women
between the ages 16-35 who are highly sensitive to the latest fashion trends as exhibited in
figure 6
Figure 6 - Major Segmentation Variables for Consumer Markets
Source Adapted from Kotler et al (2012)
Nordstrom Global Marketing Plan
Page | 10
52 TARGETING
After evaluating different segments the targeted audience is customers who are members of
the emerging socioeconomic group with the robust purchasing power To best advocate the
underlying prerequisites of targeted consumers Nordstrom would follow a mass marketing
strategy undifferentiated market focusing on magazines such as Vogue Brasil and Contigo
billboard and newspapers
Contrary with a look at established markets Nordstrom would apply micromarketing
strategy that best serves to build the right relationships with the right customers (Kotler et
al 2012)With regards to this Nordstromrsquos target customers would be grouped in three
main customer profile categories The primary target would be the principle-orientated
customers the innovators while the secondary customer target is the status-orientated the
self-treating and last customer target is the savvy trendy one who is the experiencer (Figure
6) Drawing from Nordstromrsquos customer centric approach it would tailor its brandsrsquo
portfolio and marketing programs to suit the tastes of specific individuals and locations
(Kotler et al 2012) As Nordstrom would be located in urban cities the target customers
would value the latest of fast fashion trends while individualrsquos preference could benefit
from aggregated usage of digital media across all its omni-channels
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 9
51 SEGMENTATION
To serve the right customers Nordstrom would design customer-driven marketing
strategies to identify market segment and develop tailored market programs In this context
Brazilian market has carefully been segmented as illustrated in figure 6 to reveal attractive
target markets (Kotler et al 2012) This segment will be of young professional women
between the ages 16-35 who are highly sensitive to the latest fashion trends as exhibited in
figure 6
Figure 6 - Major Segmentation Variables for Consumer Markets
Source Adapted from Kotler et al (2012)
Nordstrom Global Marketing Plan
Page | 10
52 TARGETING
After evaluating different segments the targeted audience is customers who are members of
the emerging socioeconomic group with the robust purchasing power To best advocate the
underlying prerequisites of targeted consumers Nordstrom would follow a mass marketing
strategy undifferentiated market focusing on magazines such as Vogue Brasil and Contigo
billboard and newspapers
Contrary with a look at established markets Nordstrom would apply micromarketing
strategy that best serves to build the right relationships with the right customers (Kotler et
al 2012)With regards to this Nordstromrsquos target customers would be grouped in three
main customer profile categories The primary target would be the principle-orientated
customers the innovators while the secondary customer target is the status-orientated the
self-treating and last customer target is the savvy trendy one who is the experiencer (Figure
6) Drawing from Nordstromrsquos customer centric approach it would tailor its brandsrsquo
portfolio and marketing programs to suit the tastes of specific individuals and locations
(Kotler et al 2012) As Nordstrom would be located in urban cities the target customers
would value the latest of fast fashion trends while individualrsquos preference could benefit
from aggregated usage of digital media across all its omni-channels
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 10
52 TARGETING
After evaluating different segments the targeted audience is customers who are members of
the emerging socioeconomic group with the robust purchasing power To best advocate the
underlying prerequisites of targeted consumers Nordstrom would follow a mass marketing
strategy undifferentiated market focusing on magazines such as Vogue Brasil and Contigo
billboard and newspapers
Contrary with a look at established markets Nordstrom would apply micromarketing
strategy that best serves to build the right relationships with the right customers (Kotler et
al 2012)With regards to this Nordstromrsquos target customers would be grouped in three
main customer profile categories The primary target would be the principle-orientated
customers the innovators while the secondary customer target is the status-orientated the
self-treating and last customer target is the savvy trendy one who is the experiencer (Figure
6) Drawing from Nordstromrsquos customer centric approach it would tailor its brandsrsquo
portfolio and marketing programs to suit the tastes of specific individuals and locations
(Kotler et al 2012) As Nordstrom would be located in urban cities the target customers
would value the latest of fast fashion trends while individualrsquos preference could benefit
from aggregated usage of digital media across all its omni-channels
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 11
53 POSITIONING
The Brazilian fashion market is very fragmented thus Nordstrom will differentiate its
corporate brand by offering value proposition that fills the void in the Brazilian market for
luxury fashion forward brands at attainable prices Nordstrom will be well positioned as
luxury affordable retailer to tap into the niche market by coveting and differentiating brand
offer to stand out against competitors Beyond differentiating its physical product and
prices Nordstrom would differentiate itself based on its services as of a legendry one
Fashion degree
Avant-grade- Tendency towards Casual
Oriented design ldquomodern elegant chicrdquo lifestyle
Well-
Renowned
Brands
Core
Brand
Featured
Brands
Super
Premium
Masstige -
Affordable
Accessible
Pri
ce
Figure 7 - Brand Positioning Based On Pricing Architecture
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 12
6 Market Entry
The above descriptive marketing analysis cites lucrative opportunities for Nordstrom to enter
the Brazilian market hence the decision to open Nordstrom branded stores will underpin the
growth potential that Brazil offers Apart from its namesake brand Nordstrom will also offer
the newest looks from established brands as well as unique products from rising young
designers (Figure 18)
The main challenges linked to this new market entry are mainly high import charges and
seasonal differences which is a tough logistical challenge for fashion retailers Though it can
yield into a significant opportunity to build up designated competitive advantages to expand
into countries below the equator and that correlates with Nordstromrsquos corporate objective to
become a global brand Nordstrom would limit its risks up front by going into partnership with
local company hence it will be the strategy to follow to enter the market there (see Appendix
AP-ME-LP) The comparison is stated in Figure 8
While our plan emphasises on what the corporate brand stands for to tune up with its brand
image and heritage the Brazilian cultural resonances would be reflected into the marketing mix
programme (Kotler et al 2012) The local adaptation of globally oriented marketing will portray
Figure 8 -
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 13
the brand values and personality in terms of local language practices and the merchandise
offering to satisfy the target audience and create customer delight (Hackley 2010)
7 Market Programme
To communicate its desired position to target the defined consumers Nordstromrsquos marketing
mix efforts which are composed of the tactical 7Ps marketing tools should support the above
noted positioning strategy (Kotler et al 2012) Furthermore Nordstrom would market
effectively by fine-tuning its marketing mix into a blended integrated marketing program to
create superior customer value Nordstrom value proposition would be addressed by offering
attractive mix of value in terms of quality clothing fashionable styling excellent service and
attractive deacutecor albeit at affordable monetary prices Hereunder is Nordstromrsquos marketing mix
that would support its positing strategy
71 PRODUCT
Nordstrom would offer a unique mix of unrivalled collection of designer brands its core
brands and trendy fashion assortment to make high end fashion accessible Nordstrom
brand logo hangtag and packaging would reinforce its brand identity and name recognition
on the customerrsquos purchasing pattern Nordstrom would successfully address the sensual
aesthetics of Brazilian women through all its diffusion lines to create a need-satisfying
market offering (Kotler et al 2012)
Figure 9 - Product Assortment
Source Pinterest
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 14
72 PRICE
Nordstrom would differentiate itself by being an affordable luxury upscale retailer by
leveraging the marketing mix design and communication of its products in order to be
included in the masstige(1) pricing strategy to appeal to the target audience As suggested
by Kotler et al (2012) psychological pricing is an important element to encounter because
Brazilian consumers expect that the higher the price the better the quality is therefore the
implied premium pricing is applied (Standard 2012)(see Appendix AP-ME-PP)
Furthermore as noted in Figure 7 this pricing structure presents elasticity by applying
masstige to gain competitive advantage where is the gap in the Brazilian market for high
branded products with affordable prices (see Appendix AP-ME-MG) The fact that
Nordstrom would fit to all target audiencersquos needs would engender growth and create
loyalty
Rather than only offering a single price point Nordstrom would be able to be consistently
relevant to customers by the broad range of choices available that would underpin
affordability in the pricing strategy and adaptation to the variations in target audience
demands to deliver on its corporate brand promise
Moreover Nordstrom would be able to apply promotional pricing without the need to use
deep discounts as its prices are already competitive The promotional pricing would be
adopted to stimulate customer traffic where the Brazilian market is heavily biased towards
discounts Nordstromrsquos price point would varyndash from R$250 a bag to R$1250 -plus pair of
Jimmy Choo boots
73 PROMOTION
To optimize CRM and market share after designing a cohesive mix of the other 7Ps
Nordstrom at this stage would communicate the value proposition that is created from this
mix to its target consumers to persuade them to act on the market offering (Kotler et al
2012) With focusing aggressively early at this stage on all channels whereby above and
under the line promotions to expand its reach to existing fans and new customers
1 Masstige products are defined as premium but attainable and there are two key tenets (1) They are considered luxury or premium products and (2) They have price points that fill the gap between mid-market and super premium (Wikipedia 2013)
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 15
In the light of the notable emerge of digital media Nordstrom would capitalise on this
through its implication of eCRM to treat customers as individuals with a fully commitment
to seamless engagement whether in stores or via the web therefore enhancing Nordstrom
brand experience and providing high perceived value to customers (Kotler et al 2012)
74 PLACE
Nordstrom will open four female full-sized stores in urban cities in the most upmarket
shopping malls where stores generate the highest sales per square foot to fully reach out to
its affluence target market To raise awareness of its stores it would seek to modernise its
stores through the use of large format photography as well as innovative product
presentation with more tantalising and eye-catching fixtures and a well-designed free-form
layout Furthermore Nordstrom would define store space by lifestyle sections This
approach makes it easier for shoppers to put together outfits to deliver a compelling
customer proposition The stores would be sustainable in the long term through energy-
saving initiatives and environmentally adapted materials To integrate all selling channels
Nordstrom would introduce complimentary Wi-Fi in its stores to allow customers to browse
and buy products via IOS (iPhoneiPad) platform in its brick and mortar stores as well as
online site
(Source Google)
Figure 10 - Store Locations in Upmarket Shopping Mall
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
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AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 16
75 Physical Evidence
The grand opening of each of the stores with extensive promoting for it in all media related
would send messages that Nordstrom has arrived into the Brazilian market and would open
its doors on the scheduled openings Also the ornate displays will aim to showcase the
newest apparel the stores have on sale whereas mannequins dressed in new apparel brand
posters are devised In the latter after the opening people with experiences of the
merchandise will dedicate their testimonies
76 PEOPLE
As part of the CSR internal communications is the foundation for broadcasting brand
values to help capture a loyal customer base while the promotion mix paves the way for
dialogue with customers to interpret their needs to main suppliers Hence there would be a
dynamic interface between all stakeholders to capture value across the board
Leveraging brand DNA needs to be through aligned internal workings and structures
hence managers will be creating maintaining and supporting the corporate service culture
where outstanding acts of customer service will be rewarded This strand will stem from the
cohesive culture reinforcing brand values
(Source Google)
Figure 11 - Physical Evidence - Mannequins
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 17
77 PROCESS
Service with a smile would a pivotal part of Nordstroms brand essence The salespeople
with their elegant dress code would go above and beyond in their duties Hence sales
associates on the floor will be empowered like entrepreneurs given tools like well-stocked
stores digital customer profiles and thank-you notes to keep track of and service individual
customers in the interest of long term relationships Furthermore there will be a
complimentary pianist playing music in the store which adds to the affluent ambiance of
the Nordstrom shopping experience
Figure 12 ndash Process environment
(Source Nordstrom)
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 18
8 Integrated Marketing Communication
To sustain strong brand position IMC has to achieve and maintain the brand equation in Figure
13 through the internal and external brand activities as depicted below
81 INTERNAL BRANDING
External recognition of Nordstromrsquos brand would start internally with a consistent
and interrelated message through innovative channels about what the brand
identity This is based on shared attributes among the employees in all interfaces
with the target audience They would be the cornerstone in building the right
image and in communicating a compelling value proposition to the customers
with commitment to design the want-satisfying offering This commitment is
endowing the brandrsquos credibility (Figure 16)
This approach would reflect Nordstrom positioning and grow the equity of its
brand not devalue it (Cullather 2012)
82 EXTERNAL BRANDING
The dynamic brand strategy will provide both exclusivity and flexibility to meet or even
exceed the expectations of these potential customers to retain future customers and acquire
(Source UWL The Blue Book)
Tangible and intangible benefits
Total costs of ownership
Brand value = Benefit received by customers
Costs to the customer of brand purchase
Figure 13 ndash Brand Value Equation
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 19
Nordstrom Group
Core BrandsInternational
High-end Brands
Featured Designers
potential ones This is suggested in the following diagram (Figure 14) which is a visual
structure of Nordstromrsquos brand umbrella strategy
Through deploying click and mortar stores communication channels will penetrate the
market place with this strong brand offering
9 Monitor and Control
Nordstrom will set up an effective system for obtaining feedback and controlling the marketing
efforts this will involve both primary and secondary market research by holding well
moderated focus groups and conducting web based surveys (Dhruv et al 2007) to evaluate the
actual activitiesrsquo performance and take corrective actions where needed(Isobel 2008)
10 Budget
Monetary resources will be allocated to the marketing plan as outlined in the projected budget
in table 1 The strand is to optimise the usage of these resources as a result of efficient upfront
planning communications and on-going monitoring To monitor against any adverse actions
there will be 2 of the budget reserved to execute any contingency plan needed
Figure 14 - Brand Umbrella Strategy
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 20
Market Penetration
Product Development
Market Development
Diversification
11 Recommendation
The above annotated marketing plan to open Nordstrom branded stores in Brazil - the giant of
the Southern Hemisphere - will help take advantage of its untapped market potential
In sign of the booming Brazilian fashion scene Nordstrom will benefit from extending its reach
southward new market development approach (Figure 15) by opening four stores between
2013 and 2016ndash in most lucrative urban shopping malls - one apiece in Sao Paulo in summer
season of December 2013 to be followed by Rio de Janeiro Brasilia and Salvador
Getting started by employing a healthy holistic marketing strategy shaped by tying
up between its partners (Figure 16) Nordstromrsquos employees as referred earlier in the
7Ps are perceived as a business partner leading to a lasting partner relationship with
the final partner who is the Brazilian customers
Long-term quality and diversity of brands will lie at the heart of the expansion
strategy this will be Nordstromrsquos brand USP Henceforth the core strength of the
promotion strategy would underlie getting the target audientsrsquo attention at the right
place and the right time through a message that will resonate the brandrsquos USP in
their mind Living up to the brand promise would breed loyalty consistent
engagement and recommendations
Exiting New
New
E
xit
ing
Mar
ket
Products Figure 15 - Ansoff Matrix
(Source Adapted from Kotler et al 2009)
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 21
Customer-Centricity Engagement BampC
Feedback
Internal Marketing
Want-Satisfying offering
Products
Commitment
ROI
BampB
Customers
Sales and Support People
Department Manager
Suppliers Distributors
Regional Managers
Board of
Directors
Cap
ture
Val
ue
in R
etu
rn
(Co
rpo
rate
- M
ark
etin
g
Ob
ject
ives
ndash
Cap
ture V
alue
Pro
po
sition
Figure 16 - Holistic Communication Strategy across brick and mortar synergies
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 22
Prior to the opening of the stores Nordstrom Brasil will go aggressively on popular
Brazilian digital media It will start by getting into affiliate marketing this
concentrated exposure will help building the brand awareness and address target
audience (Figure 17) This approach will be customised in all aspects of engagement
with customers Another implication in other blogs is to use a pictorial questionnaire
to build up the profile of a potential customer who chooses her colour and style
preferences from pictures of fashion items and celebrities Then she will receive a
personalised shopping list (Forbes 2013)
The grand opening will be promoted by one of the local young popular celebrities
The advertising campaign will feature a Carnival-inspired celebration with fashion
tying it to local and cultural events While the theme is in vibrant colourful branded
collection with the influence of Brazilian Havaianas the digital media will correlate
to this campaign by offering interactive events such as a prize to choose the best send
local designs to be part of Nordstromrsquos collection
There will be implementation of reward programmes to retain the customers as well
as other sales promotions Furthermore it will snap up promising Internet ventures
to diversify to be resent in new retail platforms The social media strategy will extend
well beyond Facebook Twitter and YouTube rsquos Brazilian domain to an array of buzz-
generating fashion and photo-sharing sites like Pinterest
Leading up to during and in between the 2014 Football World Cup and the 2016
Summer Olympics Nordstromrsquos advertising campaigns will take place
heavily While the opening of the first store in Sao Rio in summer 2013 (Dec-March)
bullMarketing communication mix
Awareness
bullAppealing product offering
Interest
bullIncentives to act and buy -promotion mix
Desire
bullPurchase
bullCreating sales
Action
(Source Adapted from Kotler et al 2009)
Figure 17 - AIDA Model
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 23
will build customer base before the events Thus PR initiatives will strike a chord
with football fans around the world The decision to bolster its expansion in light of
these events will increase its chances of building a worldwide awareness and
recognition for its brand and gain insight BampB opportunities by tailoring the events
costumes and supply other merchandise
The use of PR advertising social media and sponsorship will build brand awareness
while personal selling sales promotion and merchandising will draw consumer
interest In other words advertising will effectively instil a degree of urgency in the
target market while the latter will establish the desire to purchase the product with
a push for the sales (Figure 17)
Nordstromrsquos savvy customer service will set it apart from contending stores the
emphasise will be on creating innovative ways to be at the customerrsquos fingertips by
launching online website in Portuguese language with new apps that makes it easy to
shop anywhere In store the innovation should not stop though having the best of
all in modernised brick and mortar stores to increase product rate of sale Therefore
with the compelling merchandise and unyielding commitment to customer service
Nordstrom will be the retailer that customers trust On the other hand there must be
a balance to not undermine the image of the brand by having all the digital
experience focuses on discounts The digital platform will be seen as central to the
brand building activities and will have a role to play in reinforcing the whole pricing
strategy not just communicating discounts (Interbrand 2012)
The Nordstrom supply chain must have the ability to respond to a wide range of
quantities meet short lead times while the management has to adapt to the projected
lifecycle of the product with actions required as explained in Figure 18
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 24
Since Nordstromrsquos entry success into Brazil depends on consumers purchasing its
products it would appreciate the importance of establishing trust and loyalty with
its customers and employees Nordstrom would create a CSR program to promote its
affiliation with the Brazilian environment and concentrate on Supporting
Communities Sustaining the Environment Protecting Human Rights and Caring for
its People
However by entering into Brazil market it will have to guard against competitors
though building strong relationships with customers suppliers and other
stakeholders should help thwart competitors As of the uncertainty of future a
contingency plan will be needed hence there will be a view to open off-price store or
Sales
Time
(1)
B C
D
A
(2)
(3) Portfolio (A ndash well-renowned
Brands) is at Maturity stage ndash
cash cow Generates fund for the
development of Portfolio (D-
New Line)
Cash from Portfolio (B ndash Featured
Brands) through Exclusivity will be
used to support Portfolio (C- Core
Brands) Portfolio ndashA now possibly a
dog due to new entrants
Cash from Portfolio (C- Core Brands) will be used
to support growth of
Portfolio (D- New Line)
and possibly finance
extension strategy for B
Figure 18 - Product Life Cycle and The Boston Matrix
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 25
even to launch a new line designer in order not to damage the brand equity while
looking for other solutions like a merge
12 Conclusion
The expansion plan in Brazil is feasible recommended and will strategically facilitate future
expansion to new markets in the Latin American region As Nordstrom Brazil will become the
hub for the Latin American region this entry is just the beginning
To make the best use of Nordstromrsquos resources by focusing on potential consumers that can
best serve through customised marketing programme Nordstrom will build value-laden
customer relationships for her who will capture high perceived value and for Nordstrom which
will reap augmented value in the form of ROI This well planned integration between
marketing mix elements would transform the marketing strategy into real value for both Thus
beyond practicing good CRM Nordstrom must also practice good partner relationship
management with the customers (Kotler et al 2012)
Finally Nordstrom will then integrate its communication efforts to broadcast this value
proposition to target consumers and persuade them to act on the market offering This is the
route to success of Nordstromrsquos expansion plan in the Brazilian market positioning itself as a
niche retailer with the potential to accelerate the 5 market share of the plan objectives
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 26
13 Acronyms
ACRONYM MEANING
CLV CUSTOMER LIFETIME VALUE
CRM CUSTOMER RELATIONSHIP MANAGEMENT
CSR CORPORATE SOCIAL RELATIONSHIP
IMC INTEGRATED MARKETING COMMUNICATION
ROI RETURN ON INVESTMENT
SLEPT SOCIAL LEGAL POLITICAL TECHNOLOGY
SWOT STRENGTH WEAKNESS OPPORTUNITIES THREATS
USP UNIQUE SELLING POINT
YOY YEAR ON YEAR
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 27
14 References
AT Kearney (2008) Brazil is Most Attractive Emerging Market for Apparel Retailers Looking to
Invest Abroad [Accessed on May 11 2013] httpwwwatkearneycomen_GBnews-medianews-
releasesnews-release-asset_publisher00OIL7Jc67KLcontentbrazil-is-most-attractive-emerging-market-for-apparel-retailers-looking-to-invest-abroad10192
AT Kearney (2012) Brazil Tops AT Kearney Global Retail Development Index for the Second Year
Adam (2011) The New Middle Class [Accessed on May 19 2013]
Allison M (2012) Nordstrom expanding to Canada [Accessed on May 10 2013]
httpseattletimescomhtmlbusinesstechnology2019124254_nordstromcanadaxmlhtml
Anaya S (2010) Inside Brazilrsquos Booming Fashion Industry [Accessed on May 03 2013]
httpwwwbusinessoffashioncom201008inside-brazils-booming-fashion-industryhtml
AQA A2 Business Studies -marketing objectives [Accessed on May 05 2013]
httpwwwphilipallancoukpdfstxtbusa209pdf
Ben-Shabat H Moriarty M Neary D (2011) Retail Global Expansion A Portfolio of Opportunities ndash The 2011 AT Kearney Global Development Index [Accessed on 10th of May 2013]
httpwwwatkearneycomdocuments101923903b4b7-265c-484e-932c-50169e5aa2f3
Bloomberg (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain [Accessed on May
15 2013] httpwwwbloombergcomnews2010-05-20billionaire-philip-green-eyes-brazil-china-
for-topshop-chain-expansionhtml
Catherwood A Shannon S (2010) Billionaire Philip Green Eyes Brazil China for Topshop Chain
[Accessed on May 03 2013]
Cullather S (2012) The importance of brand equity and how to maintain it [Accessed on May 19
2013] httpwwwguardiancoukmedia-networkmedia-network-blog2012aug10brand-equity-
start-ups-advantage
Docstoc (2011) Chapter 13 Dimensions of Marketing Strategy [Accessed on May 19
2013] httpwwwdocstoccomdocs69185779Chapter-13-Dimensions-of-Marketing-Strategy
Ferrell O Hartline M (2010) Marketing strategy South-Western 5th edition
Forbes (2013) Gap Is Dressed to Impress in These Three Growth Markets [Accessed on May 18
2013] httpwwwforbescomsitesgreatspeculations20130411gap-is-dressed-to-impress-in-
these-three-growth-markets
FT (2012) The Brazilian retail riddle [Accessed on May 13 2013]
httpwwwftcomcmss02395e3f8-026b-11e2-8cf8-00144feabdc0htmlaxzz2SEQWHBNV
G Dhruv K Lamayya (2007) Marketing Research [Accessed on May 29 2013]
httpbooksgooglecoukbooksid=G9gTZLV50u4Camppg=PA143ampdq=market+research+data+
collection+toolsamphl=enampsa=Xampei=5JGlUefBAfH20gWQ9IF4ampved=0CFsQ6AEwBQv=onepageampq
=market20research20data20collection20toolsampf=false
Ganesha (2003) The Art of Marketing Excerpts from The Way of Strategy [Accessed on May 18
2013] httpwwwganeshaorgwosmarkethtml
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
httpwwwannugalroecoDoc2009MouradTouzani_AzzaTemessekpdf
Nordstrom Global Marketing Plan
Page | 30
Trefis (2012) Brazil Next international frontier for Gap [Accessed on May 18 2013]
Understanding httpmoneymsncomtop-stockspostaspxpost=76770f65-bd0e-4c68-
98fa-31e468bbb824
Wikipedia (2013) VALS [Accessed on May 19 2013] httpenwikipediaorgwikiVALS
Wikipedia (2013a) Nordstrom [Accessed on May 11 2013] httpenwikipediaorgwikiNordstrom
Yahoo Finance (2013) Nordstrom Inc Company Profile [Accessed on May 3 2013]
httpbizyahoocomic1414261html
Yeung Vivian (February 24 2012) Brazil PESTEL analysis [Accessed on May 3 2013]
httpprezicomqjss9hu-khzpbrazil-pestle-analysis
Nordstrom Global Marketing Plan
Page | 28
Global Intelligence Alliance (2010) Six Trends that will Shape Brazils Consumer and Retail Market
[Accessed on May 18 2013] httpwwwglobalintelligencecominsights-analysisbulletinssix-
trends-that-will-shape-brazil-s-consumer-and-rixzz2ThgKfPwv
Google (2013) Images ndash VALS 2 segment profiles [Accessed on May 19
2013] httpwwwgooglecoukimgresimgurl=httpwwwfranteractivenetresourcesVALS-
2jpgampimgrefurl=httpwwwfranteractivenetVALS-
2htmlamph=646ampw=500ampsz=43amptbnid=msX8FycGz3SPoMamptbnh=103amptbnw=80ampzoom=1ampusg=__Ek
Ht1eMgcyhR4MrbF9b5jttUKwg=ampdocid=Lk-
rdKp7v4iRyMampsa=Xampei=vAeZUdylHOGQ0QXP7oDYBwampsqi=2ampved=0CEQQ9QEwBgampdur=10
Gringa (2011) The New Middle Class [Accessed on May 12 2013]
httpwwwriogringacommy_weblog201108the-new-middle-classhtml
HampM (2013) Expansion Strategy [Accessed on May 11 2013]
httpabouthmcomAboutSectionenAboutFacts-About-HMAbout-HMExpansion-Strategyhtml
Hackley C (2010) Advertising and Promotion An Integrated Marketing Communications
Sage Publications Ltd Second Edition
Interbrand (2012) Branding in the Post-digital World [Accessed on May 14 2013]
httpwwwinterbrandcomLibrariesArticlesBranding_in_the_Post-digital_World_080612sflbashx
Interbrand (2013) Best Retail Brands 2013 [Accessed on May 12 2013]
httpwwwinterbrandcomenBestRetailBrands2013Nordstrom
Internet Marketing Academy The (2013) Affiliate Marketing [Accessed on May 3 2013]
httpbooksgooglecoukbooksid=jEtfBeCH7NECampprintsec=frontcoverampdq=affiliate+marketingamphl
=enampsa=Xampei=w4ihUYb7A6ms0QX8oIGICwampved=0CEgQ6AEwAwv=onepageampqampf=false
ITD Management (2013) 3PLs LOGISTICS SERVICE PROVIDERS ndash Business Development
[Accessed on May 5 2013] httpwwwltdmgmtcomlogistics-service-providersasp
Jennings H (2012) How Brazils home grown fashion grew up [Accessed on May 11
2013] httpwwwguardiancoukfashionfashion-blog2012nov22brazil-fashion-rio-
sau-paulo
Keys A (2009) Glamour fashion [Accessed on May 5 2013]
httpwwwglamourcomfashion20110925-of-the-best-fashion-quotes-of-all-timeslide=16
Kotler P Armstrong G (2009) Principles of Marketing Global Edition Pearson Education 13 Ed
Kotler P Keller K Brady M Goodman M (2012) Marketing Management Pearson 2 Ed
Lazzara L (2010) Nordstrom Marketing Report [Accessed on May 13 2013]
httpissuucomlaurenlazzaradocsnordstrom_marketing_report3print
Marisa (2013) Investor Relations [Accessed on May 12 2013]
httpwwwmzwebcombrmarisawebconteudo_enasptipo=12319ampidioma=1ampconta=44
Marketing Week (2011) QampA Clare Dobbie marketing director Asos [Accessed on May 03 2013]
httpwwwmarketingweekcoukanalysisqa-clare-dobbie-marketing-director-asos3027445article
Nordstrom Global Marketing Plan
Page | 29
Martorell G (2012) Hennes amp Mauritz Brazil business plan (2011 - 2015) [Accessed on May 11
2013] httpgiorgiomartorellblogspotcouk201109hennes-mauritz-business-plan-financeshtml
Mcnicholas K (2013) Nordstrom disses lsquoomni-channelrsquo term but Alexandra Mysoor says itrsquos real
[Accessed on May 5 2013] httppandodailycom20130503nordstrom-disses-omni-channel-but-
entrepreneur-contends-its-real
McPherson A (2011) Expanding HampM to Brazil A Strategic Approach [Accessed on May 12 2013]
httpaladinrcwrlcorgbitstreamhandle19619952McPherson20Ainsley20-
20Spring2011pdfsequence=1
Mink P (2012) Marketing Fashion a global PersPective [Accessed on April 10 2013]
httpblogfidmdigitalartscomnordstrom-funny-video-ad-campaign
Prenhall (2013) Customer-Driven Marketing Strategy Creating Value for Target Customers
[Accessed on May 15 2013]
httpwwwprenhallcombehindthebook0132390027pdfKotler_CH07pdf
PTI Brazil e-commerce grosses more than $11 billion in 2012 (Mar 20 2013)
Reisinger (2009) International Tourism Cultures and Behavior [Accessed on May 26 2013]
httpbooksgooglecoukbooksid=_Jz4ZJsoaMgCamppg=PA23ampdq=glocalization+marketingamphl=enamp
sa=Xampei=Dz-iUaChL-
jA7AbwkYHIAgampved=0CGMQ6AEwCQv=onepageampq=glocalization20marketingampf=false
Rumours are true (2011) Strategic Growth Opportunities ndash Distributions [Accessed on May 12
2013] httprumoursrtruetumblrcom
Smith J (2013) Nordstrom incorporates SMS text messaging into mobile strategy [Accessed on
May 20 2013] httpwwwmoosylvaniacomtracker20130411nordstrom-incorporates-sms-
text-messaging-into-mobile-strategy
Snoad L (2012) Breaking into Brazil [Accessed on May 13 2013]
httpwwwmarketingweekcoukbreaking-into-brazil3033886article
Taylor H (2012) Nordstrom VP warns retailers Put customers in drivers seat or be dead by 2020 [Accessed on May 11 2013] httpeconsultancycomukblog10736-nordstrom-vp-warns-retailers-
put-customers-in-driver-s-seat-or-be-dead-by-2020
Terpstra V and Sarathy R (2001) International Marketing [Accessed on May 21 2013]
httpwwwpalgravecombusinesslambinstudentspdfsNote2013pdf
Timberlake C (2011) How Nordstrom Bests Its Retail Rivals [Accessed on May 13 2013]
httpwwwbusinessweekcommagazinehow-nordstrom-bests-its-retail-rivals-08112011html
Tom Van Riper (Sep 14 2012) Nordstrom Tapping Strong Markets In Canada [Accessed on May
3 2013] httpwwwforbescomsitestomvanriper20120914nordstrom-tapping-strong-
markets-in-canada
Touzani M Temessek A (2009) Brand Loyalty Impact of Cognitive and Affective Variables
[Accessed on May 13 2013]
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