Nordstrom Opens Up Its Loyalty Program For All

Nordstrom's is giving its loyalty program an omnichannel upgrade — and opening it up to more of its consumers.

Nordstrom Rewards 2.0 is designed to make it easier for shopper to rack up benefits no matter where they pay or how. Going forward, customers without a Nordstrom card can earn one loyalty point for every dollar spent (cardholders will now earn 2) — and consumers can enroll themselves in-store or online.  Loyalty is tracked via mobile phone number, instead of a card or account number (which most customers complain is a rather high friction way to do it).

"As customers' definition of service continues to evolve, we are focused on being responsive and delivering services and experiences that are important to them," said Erik Nordstrom, co-president of Nordstrom. "Our customers have asked us to make Nordstrom Rewards more flexible. They've told us they want to be able to earn points whether they use their Nordstrom card when they shop with us or pay in another way, and today we hope we've delivered on their request."

Nordstrom's opening of the gate applies to their mainline department store brand, outlet shops and eCommerce venues.  It is a departure from the more exclusive model of the past that only used loyalty points as an inducement into its store brand card.

However, as open rewards programs are proliferating - and increasingly in Nordstrom's equally high-end rivals - the competition is heating up and making such moves more necessary.



The How We Shop Report, a PYMNTS collaboration with PayPal, aims to understand how consumers of all ages and incomes are shifting to shopping and paying online in the midst of the COVID-19 pandemic. Our research builds on a series of studies conducted since March, surveying more than 16,000 consumers on how their shopping habits and payments preferences are changing as the crisis continues. This report focuses on our latest survey of 2,163 respondents and examines how their increased appetite for online commerce and digital touchless methods, such as QR codes, contactless cards and digital wallets, is poised to shape the post-pandemic economy.

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