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The department store company announced during its first-quarter earnings Tuesday that it would be closing its personalised clothing service and will instead focus its efforts on e-commerce styling.
”I want to be clear. This move reflects our belief and commitment to styling and we are dedicated to growing and investing in these services,” said chief executive Erik Nordstrom. “We have a range of styling services from low-touch outfit inspiration through our digital channels to a high-touch and personalized relationship with a stylist, all of which achieved high customer satisfaction scores. We are directing our investment towards these programs to ensure that we are well-positioned to serve customer needs and drive growth.”
Nordstrom acquired Trunk Club back in 2014, for a reported $350 million. The startup was created during the initial wave of subscription box services, where stylists would ship clothing to customers once they had fashion consultations.
Nordstrom bought the business in an effort to update its personal styling, but failed to make Trunk Club profitable. In 2016, Nordstrom took a $197 million write-down on the business, noting that “current expectations for future growth and profitability are lower than initial estimates.”
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Over the years, Nordstrom expanded Trunk Club into womenswear and also opened retail locations, but shuttered Trunk Club stores back in 2020.
Nordstrom declined BoF’s request for comment.
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