PERKING UP: Recognizing that consumers are hungrier than ever for bigger bargains, Nordstrom Rack, the off-price division of Nordstrom Inc., is beefing up its loyalty program on June 3.
“We’re excited to give our customers more reasons to shop with us through instant discounts, special promotions and early access to new arrivals and sales,” said Deniz Anders, executive vice president and chief marketing officer. “These new benefits offer our customers more value and perks, and we can’t wait for them to have additional ways to earn rewards when shopping their favorite brands at Nordstrom Rack.”
The enhanced program offers Rack customers immediate discounts, including an instant 5 percent off every purchase (except with a gift card) when using their Nordstrom credit card at Nordstrom Rack stores, on NordstromRack.com or on the Nordstrom Rack app. There is no spending threshold to receive the discount and customers can see their total savings on their receipt. Previously, cardholders at Rack would receive two to three points per dollar which would be a 2 to 3 percent value back in a Nordstrom note that could be used on future purchases. Under the new benefit, the 5 percent discount is a richer offer and provides immediate savings on each purchase, Nordstrom said.
While points will no longer be earned on Rack purchases, points can still be earned at Nordstrom department stores and on Nordstrom Visa purchases made outside of Nordstrom, and customers can continue to redeem their Nordstrom Notes at both Nordstrom and Nordstrom Rack. When customers use their Nordstrom Visa credit card, they’ll earn two points per dollar when shopping select categories like groceries, gas, dining and streaming services. Customers will continue to earn one point per dollar on general retail, travel and everyday expenses when they use their Nordstrom Visa card. “We’ve heard from customers they want the opportunity to earn notes faster by earning more points on their everyday categories outside Nordstrom,” the Seattle-based Nordstrom said.
Among the other benefits, Nordy Club members will receive seasonal offers from Rack, including surprise discount codes and exclusive deals on brands, and a surprise birthday perk in the Rack app. Members will also have the option to receive app notifications to shop new in-store arrivals before anyone else, and will continue to receive early access to sales, including “Clear the Rack” and other events.
For the past couple of years, the Rack has been undergoing changes and improving its performance, including a rebranding, focusing on offering discounts on brands that are most popular at the Nordstrom department stores, and steadily opening new Rack stores.
Nordstrom Rack banner net sales in the fourth quarter increased 1.2 percent, and comparable sales rose 3.5 percent compared with a year earlier. Full-year Nordstrom Rack comparable sales increased 4.7 percent.