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J Crew Makes Unlikely Move to Save Itself

J Crew is taking some big steps to save its financial year after the disastrous first quarter it has had. The company saw an 8% drop in sales in just the first quarter of last year. This doesn’t seem so bad except for the fact that it is on top of some poor sales quarters leading into it. Because of this, they have decided to sell some of their inventory through the major retailer, Nordstrom. Nordstrom has seen some declining sales in recent years as well. This could be a bonus for both companies when it comes to increasing sales.


The CEO of J Crew has said that this will be a fruitful partnership for both companies because they are such a great fit. They are a great fit for the same reasons that they were so competitive with each other. Both stores strive to offer their customers great customer service both online and in their storefronts. Both companies are known to be retail companies with an eye for fine design.

Lately, J Crew has been experiencing declining sales and some of their retail stores have been found in a very unorganized state when visited by media outlets. This is something that J Crew has been trying to remedy. Their first step is to get rid of all of their inventory by liquidating it. The partnership with Nordstrom is intended to help with this effort. They dropped 8% in the first quarter of 2016. They experienced a 10% drop in revenue during the same period last year.

The clothing that is sold through Nordstrom will all be women’s clothing. The styles will be mostly found through the online outlets. There will be about 16 Nordstrom storefronts that will sell the J Crew merchandise, though. This is not the first time that J Crew has partnered with another website to sell the clothes that its brand offers. It is the first time that they have sold their clothes in another company’s physical location.

It unclear what the future will be for these two companies. J Crew has to find a way to right the ship when it comes to their financial future. The first step is to get rid of their inventory that isn’t moving so that they can introduce the new styles that will hopefully boost sales in the future.