Sunday Scoop - The History of the Nordstrom Anniversary Sale

Sunday is for lots of fashion finds, the history & strategy of the Nordstrom Anniversary Sale, trend tracking on Jelly Shoes, brands to have on your radar and more.

Let’s start with the Nordstrom Anniversary Sale, which opens to everyone on July 15th 2024.

History & Strategy of the Nordstrom Anniversary Sale

tl;dr¹ The Nordstrom Anniversary Sale happens once a year as a pre-season shopping event. It is an opportunity for Nordstrom to reward their best customers with earlier shopping days and tiering the start dates. Loyal Nordstrom shoppers love this event and over the years customers have traveled many miles to shop in person (although with online shopping now this happens less frequently.)

History & Strategy:

The Nordstrom Anniversary Sale, a retail phenomenon that transforms summer shopping, has roots deeper than many realize. Born from the innovative spirit of Seattle's fashion scene, this sale has evolved from a local event to a national retail strategy.

The sale's origin story begins not with Nordstrom, but with Best's Apparel, a trendsetting store founded by Dorothy Cabot Best in 1925. Best's became Seattle's window to East Coast fashion, bringing New York style to the Pacific Northwest. In 1955, to celebrate its 30th anniversary, Best's launched a sale offering new, upcoming fashions at discounted prices - a concept that would become the cornerstone of today's Nordstrom Anniversary Sale.

Nordstrom, which started as a humble shoe store in Seattle in 1901, made a pivotal move by acquiring Best's Apparel in 1963. This acquisition not only expanded Nordstrom into a full-fledged department store but also brought with it the legacy of the anniversary sale. Nordstrom wisely continued and expanded upon this tradition, transforming it into the retail juggernaut we know today.

The sale's timing in July is strategic, injecting life into the typically sluggish summer retail season. But what truly sets it apart is its focus on new, upcoming merchandise rather than clearance items. This approach, described as "unheard of" in retail, allows Nordstrom to:

1. Test market new styles, gauging customer interest before the full season begins.

2. Create a sense of exclusivity and urgency among shoppers.

3. Boost sales to near-holiday levels during an otherwise slow period.

I would like to mention, that over the years the products selected have changed some. Today I often see special product brought in but not carried throughout the rest of the season. Similar to the “factory outlet” products that are created just for the outlet stores at a reduced cost (maybe the fabrication is cashmere and wool vs 100% cashmere) vendors/brands are now creating products for Nordstrom at sharp price point specifically for this event. This also allows the brands to not frustrate other retailers that they sell to by having products sold at a discount before the inventory arrives for the season at other stores.

Evolution of Nordstrom’s Anniversary Sale

The sale's evolution mirrors changes in consumer behavior and technology. Once characterized by early-morning lines and journalistic coverage of the crowds, it now sees a significant online presence. Social media influencers have replaced traditional reporters in building hype, though the in-store experience remains a draw for many. Sections roped off and reserved only for Nordstrom card holders to shop the event during preview days.

Nordstrom has skillfully leveraged the sale to build customer loyalty. The tiered access system, offering early shopping opportunities to cardmembers, incentivizes long-term customer relationships and credit card sign-ups. This strategy not only drives sales but also provides valuable data on customer preferences and behaviors at the beginning of the season, which is incredibly helpful. Of course, there are some drawbacks. Items that sell-out quickly are frustrate customers that weren’t able to shop during the preview days and this also impacts the Influencers that work hard to create content upfront. Additionally, any marketing that continues to run during the event that showcases a sold out item will likely not drive conversion when the customer lands on a PDP² with zero in stock availability.

The sale's iconic yellow shopping bags have become part of the marketing used year after year. The yellow color now pop-ups in their Nordstrom App icon for the event as well as on the website.

iPhone Apps - Nordstrom App changes to yellow to signify that the Nordstrom Anniversary Sale is happening.

Looking forward, the Nordstrom Anniversary Sale continues to offer significant opportunities:

1. Customer acquisition and retention: The event attracts new shoppers who may become loyal customers.

2. Brand partnerships: Exclusive deals with popular brands can strengthen Nordstrom's position in the market. This is also an opportunity for brands to move a lot of merchandise that perhaps they haven’t been able to sell otherwise. Brands also rely on this event to drive significant revenue and it helps that Nordstrom increases their buys to cover this event. Ex. ordering value sets from a Beauty brand, ordering more Dyson AirWraps or On Sneakers.

3. Omnichannel optimization: Balancing online convenience with the draw of in-store experiences. Buy online and pick-up in store, the ability to create a wishlist ahead of the event and checking inventory online at your local store before you shop in person are examples of how online and in store experiences can enhance the event.

4. Data-driven personalization: Utilizing customer insights to tailor offerings and marketing. AI and other technology can be leveraged more too through search, discoverable content and creating products that customers will be interested in.

This event, born from Seattle's fashion history and nurtured by Nordstrom's business strategy, continues to defy retail norms and captivate shoppers nationwide. As it evolves, the sale remains a testament to the power of tradition, innovation, and the enduring allure of a good deal. In someways Amazon’s Prime Deals** (launching on July 16th this year) utilizes some similar strategies of selecting certain items to promote and pre-season selling. Other retailers have popularized sales events like Friends & Family events (ohh! that’s another one I can do a deep dive on the history, strategy & insights. stay tuned.) but I do not see too many leveraging Anniversary “pre-season” Sales which is somewhat surprising given the popularity and impressive revenue this event drives.

How I tend to shop the Nordstrom Anniversary Sale

• Beauty is a great spot to check out your favorite products. This event offers value size, or multiple products bundled together. The brands can afford to offer deeper discounts if the customers are purchasing more. I rounded up a few beauty items I use and love here.

• By brand - I will filter and find brands for clothing or shoes I like and see if there are any great styles. Longchamp is one I like (I have this zip around tote and it is perfect for travel.) I also look for denim options and I like Frame denim a lot. This is a great pair. Vince sweaters are always a great buy during this sale too.

• This is an ideal back to school shopping opportunity for kids too. Sneakers, sweats, outerwear, Uggs and dresses.

Want more content?

• Last year’s podcast from the Nordy Pod all about the anniversary sale.

• History on the event from Seattle Met “How the Nordstrom Anniversary Sale Made Retail History”

Brands on my radar

• Diotima - the label designed by Rachel Scott, the former VP of design at Rachel Comey, has been such an exciting brand to watch. Scott was the CFDA American Emerging Designer of the Year and was named a CFDA/Vogue Fashion Fund runner-up and an LVMH Prize finalist. Scott was born in Jamaica and brings the inspiration in to the designs. Grazia UK wrote an excellent piece on the designer here.

• By Pariah - I have been seeing these designs on incredibly stylish people and love their rings. The brand is “modern fine jewelry” and they heavily play in organic shapes (see this cuff that reminds me of Elsa Peretti but different enough to not feel like a copy) and materials. From a merchandising perspective, I love that they have the sets for the rings making it easy for customers to build a stack (what’s more fun than a ring? multiple rings!! Which is also why I love wearing my Spinelli Kincollin.) Beyond the rings (love this one too), the pendants can also be put on a chain together with a variety of sizes dangling. They look great on a long chain.

• Old Stone Trade - ever since reading Marisa Meltzer’s article in the NYTimes last weekend I keep seeing the brand tagged and mentioned by Fashion People (yes, that is a wink to Lauren Sherman who had Meltzer on her podcast earlier this week.) Check out these moccasins that

  Courtney
  tagged this week. The mocs are priced really well for impressive quality.

• Loved reading about some smaller brands from

  Noora Raj Brown
  Substack
  objects of desire
  in this post “how to not look like everyone else” listed some brands I already love (hi Attersee) as well as some I wasn’t familiar with.

Jelly Shoes

From Joy, to frustration and back to joy

• Joy: Waves across the fashion crowd fell in love with The Row Mara jelly shoes as soon as they were spotted on the runway.

• Frustration: Enthusiasts went to great lengths to track down a pair and quickly began wearing. Unfortunately, it seems just as quickly they were falling apart. The challenge with this material is that they are not able to be repaired. It also seems like the brand isn’t able to impact/improve durability but they are continuing to sell this season and they just keep breaking.

• Back to Joy: The important takeaway here is that we should wear things that bring us joy but might need to find something else to bring it. Might be a jelly shoe, it might be a colorful handbag or a pair of printed pants. So if one pair is falling apart, good news is these best sellers are holding up great!

Tracking a Trend

• Earlier this season Emma Childs wrote about the trend for Marie Claire “The ‘90s Jelly Sandal Is Summer’s Hottest Shoe Trend” and I was able to chat with her about the trend.

“Plus, as Shapiro points out, they're a natural evolution of an existing shoe trend dominating the market: “If you think about the popularity of the mesh ballet flats from Summer 2023, you can follow the through-line that leads to [net jelly flat],” the retail expert shares over email. For those on board with sock-like lattice slippers (coincidentally, another style produced by The Row), a caged jelly slip-on isn't too far of a leap.”

• Here is my thinking:

  • In summer 2023 the mesh shoes from Alaia, Khaite, The Row etc. were really taking off. Seeing the initial shock of the shoe to fashion people falling in love with it and the style being embraced a bit more broadly opened the path for The Row Mara.

  • Additionally, jelly shoes are also nostalgic and bring back the joy of wearing when you were younger. The trend has resurfaced every few decades.

  • I also think The Row Fisherman Sandal continuing to be a summer staple silhouette helped usher the jelly shoes back in, as many are in this silhouette too.

Ancient Greek Sandals taking advantage of a trend

• Ancient Greek Sandals has a bunch of great jelly shoes this summer that are doing well. This is their best seller, this jelly flip flop is also doing well, a great fisherman jelly. They have so many options and to take advantage of this limited season of summer sandals (sure, they can sell year round for resort vacations, etc but this is the biggest sales time period for the Northern Hemisphere.)

• The Ancient Greek Sandals website added a “Jellies” category to the navigation and the drop down menu. Making them easily discoverable, improving SEO and helping to showcase that they are a destination for this product category/trend.

  

  

🛍️ Quick note: I write a lot (too much good stuff to share!) so if you’re reading via email only, you may need to click through to the web version or read on the Substack app. I promise it will be worth it. 🛍️

Vintage Original or Updated Iteration?

WSJ tackled the question I’ve been super curious about. When designers reissue previous designs, now that we have a robust secondary market, do customers go for the new iteration or search for the original? If you are lucky enough to have saved the original you can bring it back out of the closet (or maybe you never retired it) or do you search on The RealReal, Fashionphile, Vestiaire Collective etc for a pre-loved item? “Designers Are Reissuing Their Classic Designs. But Why Spend $1,190 When Vintage Costs $75?” (gift link to read behind paywall) by Faran Krentcil.

Fashion Finds

• Angela Tafoya wrote for Elle.com about Secondhand Shopping via Substack chats (I’ve found one of my most worn treasures in a Substack Chat!) and interviewed some of our favorite Substack authors for the piece. “The Hottest New Place to Shop Secondhand? Substack” The chats can also be super overwhelming and I agree there needs to be more control options. The commenting in multiple chat threads is annoying and distracting as a reader. Substack chats becomes a place that feels like Slack without separate channels. It would be great if we could have sub-chats in Substack.

• My newest summer cardigan from La Ligne* that will be the first thing I pack for cool evenings on an upcoming trip. Did you see their silk and cashmere sweaters? So good! Thin, lightweight, silky and drape-y. A sweater you can wear 365 days a year is such a smart investment. Use code SarahS10 for 10% off your first order at La Ligne.

• Leset July Collection looks exactly like how I want to dress for easy pieces - elevated casual separates. Not sloppy, but polished. I’ve also noticed that this t-shirt from the brand makes me do laundry. If it is dirty I’ll do a load so I can wear it again asap.

• I don’t know what to say about this shoe. But is Jeffrey Campbell the new Steve Madden? Has the brand always been this blatant? It seems like for the past few years, yes. No judgements either way. Just reporting and sharing what I find.

• My favorite leather flip flop from A.Emery now is available in suedes and they look great! I think the dark green (Seaweed Suede) acts as a neutral.

• This summer collab would make a great gift for a fashion & paper goods fan. The two go together so well. Hunza G x Smythson The Hot List notebook.

• Something to brighten up your summer accessories - a fun DIY collab from Ariel Gordon Jewelry x Honestly WTF Rope Kits for bag charms, straps and phone straps.

• Great TikTok from .@erikahazholland on the Opening Ceremony uniforms for Hati designed by Stella Jean.

• These new beaded Alaia ballet flats have me drooling! And this new color would look great with denim.

• I’ve been wearing these cotton tanks* to workout in and I love!!!

• Very cool how this Coperni Bucket Swipe Bag has a mini swipe bag embedded in it from the shape of the pattern.

• Trend Spotting for Fall: loving low heels with an almond or more pointed toe. I added this mesh version to the Mesh Shoe Edit here.

• Dorsey newness coming soon - simple, elegant and easy to layer necklace, huggies to stack-up multiple pairs at a time and a pear diamond bangle that is bound to be an heirloom.

PSA

• In NYC? If you shop Ring Concierge in person through 7/21 you’ll get a great mini travel jewelry case. Perfect for safely & securely traveling with your jewelry (highly recommend you only keep in your carry-on bag when traveling!) If you are looking for what to shop for, I have these huggies and this ring* and launching today are their hand drawn script letter pendants. Available with tiny diamond details or all diamond script.

• Go listen to Fashion People with

  Casey Lewis
  for your next walk. I really enjoy her insights on how teens engage with brands and how TikTok is helping to create viral cycles for products.

Substacks to Scroll

Really appreciate this Note from

Lindy Segal

(who writes

Gatekeeping

and is a wonderful read) looking for more fashion and beauty Substacks especially from diverse voices. I asked for recommendations to include here, but I'd like to clarify that I've only included Substacks of people who have explicitly expressed comfort with being identified in this group. I didn't want to categorize anyone without their consent. If you have a Substack you'd like to share or know of one you love, please add it in the comments so we can all check it out:

• Launched in late June,

  Late Bloomers
  , and a recent post “Weekly roundup of secondhand shopping links”

• Ash T.
  writes
  BlackBeautyPop
  exploring Black Beauty and Pop Culture.

Enjoy your Sunday Scoop. xx

Sarah Shapiro

What’s Next

I have some family time planned next week so I’ll likely only write the Deep Dive next week filled with the important fashion & beauty retail news stories. But the week after I’ll be leaning into a more active look in the fashion industry to celebrate the Olympics in Paris.

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Items marked with * have been kindly gifted by brands. Thoughts, selections, and reviews are my own.

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1. tl;dr = Too Long Didn’t Read. aka your Cliff Notes

2. PDP = Product Detail Page. The website page with all the information where you “add to cart.”