Trendy Nordstrom will close locations in two major cities by the end of summer

Daily Mail​

5 days ago

America's department store struggles are continuing.
Nordstrom confirmed it is closing two stores — one in Santa Monica, California, and another in St. Louis, Missouri — by the end of August.
The upscale retailer, which operates nearly 380 stores nationwide, sells brand-name shoes, makeup, and clothing.
The chain is betting shoppers will scan for labels online or head to a nearby Nordstrom instead.
'We believe we'll be best able to serve customers in each region by leveraging our surrounding stores and through our digital channels,' a company spokesperson told DailyMail.com.
'Decisions like this are never easy, and we understand the impact they have on our team members.'
Roughly 130 employees will be affected by the Missouri closure, according to local WARN notices. The company said it hopes to relocate staff to nearby stores.
Despite the closures, retail analysts told DailyMail.com this is not part of a broader pullback.
'Nordstrom seems to have gotten back on track after a weak period of trading,' Neil Saunders, managing director of retail at GlobalData, said.
'However, given the ongoing shifts in where people shop and their pullback on department store spending, Nordstrom is clearly optimizing its store estate.'
In December 2024, the department chain agreed to a $6.25 billion take-private deal with the Nordstrom family and a retail group, El Puerto de Liverpool.
The decision to go private came after years of Americans skipping department stores when it came to their wardrobe refreshes.
That trend has hurt Nordstrom and its competitors — like JCPenney, Kohl's, and Macy's. For years, each brand has announced nationwide closures.
Over the past year, Nordstrom has quietly closed underperforming locations in New York City, upstate New York, and Massachusetts.
But it has also announced new stores in Florida, Texas, Idaho — and even another in Massachusetts.
Saunders said the department stores are large and 'costly to run.' But Nordstrom appears to be in a better position than its competition.
Nordstrom recently agreed to a take-private deal that put a majority of the company back into the Nordstrom family's ownership, including its CEO, Erik Nordstrom
The company has provided high-end labels to its customers
'This is not Nordstrom giving up on stores,' Saunders said.
'There are still plenty of strong locations in the chain where Nordstrom is investing and doing good business.'
Kohl's is among the worst-hit in the department store industry.
The company has shuttered a series of stores across the US this year and is picking up the pieces after a CEO scandal.
In early May, the company abruptly sacked its top boss, Ashley Buchanon, after just six months on the job.
Buchanan made Kohl's enter a 'highly unusual' business deal with a romantic partner, Chandra Holt, the founder of Incredibrew, the Wall Street Journal reported.