Nordstrom will add Tonal stores in 40 stores to increase fitness offerings

Nordstrom is looking for ways to expand its active businesses, while adding more merchandise to its stores, in addition to dresses, shoes, bags and makeup.

She found a new partner at Tonal, a company that sells a wall-mounted training station for $ 2,995.

The department store chain announced Monday that it will add 40 Tonal mini stores to its stores, with launch starting later this month. The 50-square-foot stores will be located in Nordstrom’s active department, close to fitness clothing and other fitness accessories. Customers will be able to demonstrate the Tonal device and speak to a Tonal employee.

For Tonal, the partnership will expand the fitness equipment manufacturer’s reach to new customers at a time when many Americans have been investing in high-tech devices to enhance their workouts at home during the pandemic. The company currently has only 16 physical stores – six own stores and 10 “stores in stores” with other business partners.

Nordstrom, in turn, hopes to become a favorite destination for active equipment and give shoppers more reason to visit their stores. Many of them are in shopping malls that were less frequented during the health crisis.

The Seattle-based retailer said earlier that it plans to increase the amount of space devoted to active clothing and wellness products. She added an active page dedicated to her website in December, when she saw more people surfing on mattresses and sweatpants from home. And it is in the process of adding more than 75 new active brands – specializing in categories such as hiking, tennis and golf – online and in stores this year.

“We continue to prioritize being that place of discovery,” said Lori Marten, merchandise manager for Nordstrom’s asset category, in a telephone interview.

“We are often considered the partner of choice when it comes to working with brands, both physically and digitally,” she said. “So it was a very transparent opportunity – one that really helps us to build our authority and authenticity in a space that we are growing aggressively.”

Marten added that negotiations between Nordstrom and Tonal started in November, at the height of the holiday season, and quickly developed from there. The partnership is a long-term agreement, not a pop-up, she said. In the past, Nordstrom has temporarily devoted space in its stores to brands such as the luggage maker Away and the beauty company Glossier, in an attempt to attract younger customers inside.

Christopher Stadler, director of marketing for Tonal, said the fitness maker had talked to several other potential retail partners, but Nordstrom topped the list. The typical Nordstrom buyer and Tonal’s target customer are closely aligned, he said, pointing to factors such as age, income and type of job.

“There is a segment of our customer base that wants to touch, feel and try digital weights,” explained Tonal’s expansion strategy Stadler. “We want to create more distribution points and physical touch points.”

Tonal, whose sponsors include Amazon’s Alexa Fund and NBA star Stephen Curry, fits into a hotly contested home fitness market that includes other device makers like Peloton, Hydrow and Mirror. The latter was acquired by Lululemon for $ 500 million last year and is currently on display at several Lululemon retail stores. Hydrow also struck a deal with sportswear brand Fabletics last year to display its rowing machines in several Fabletic stores and on its website.

By placing a bet on Tonal’s success, Nordstrom says he will continue to increase his active department by buying more fitness products and outdoor activities, such as snow helmets, ski goggles, massage devices and jump ropes. Not just clothes and sneakers.

Nordstrom is expected to disclose its fourth-quarter tax profits after the market closed on Tuesday. Previously, it estimated that its revenue will increase by more than 25% in fiscal year 2021, as a period passes in which its physical stores were closed for two quarters due to Covid’s restrictions in the spring. Nordstrom also expects that about half of its sales this year will come from its digital business. Last year, the department store chain reached about a third of its online sales.

In the long run, Nordstrom expects sales to grow at a low single-digit rate annually from 2019 levels. That year, Nordstrom posted net sales of $ 15.1 billion, representing a 2.2% decline. compared to the previous year.

Analysts and investors will be looking for clues as to how the demand for clothing is recovering and how comfortable shoppers are in their stores.

Nordstrom’s shares are practically stable for the past 12 months. The retailer has a market capitalization of US $ 5.7 billion, less than that of Kohl, of US $ 8.6 billion. But it is bigger than Macy’s, with $ 4.7 billion.

So far, this is where Nordstrom plans to open Tonal mini stores: