Nordstrom expands partnership with J. Crew's Madewell

Nordstrom (NYSE:JWN) announced an expansion of its partnership with J. Crew's Madewell brand. The department store chain will add the distribution of Madewell apparel to another 15 locations, bringing the total to 30 stores.

J. Crew launched Madewell in 2006 and announced its partnership with Nordstrom in February of 2015.

"Our customers are responding very well online and in the first 15 stores where we launched Madewell," Tricia Smith, Nordstrom's exec-VP and general merchandise manager of women's apparel, told Women's Wear Daily.

Madewell is also sold via Net-a-Porter, an online retailer also in an agreement with the brand, as well as on Madewell.com and Nordstrom's e-commerce platform.

The partnership is a welcomed success as J. Crew has struggled in the last few years. Last month the brand fired its head designer and cut 175 jobs. While revenue increased 6 percent to $2.6 billion last year, comparable sales dropped 1 percent and the retailer had a net loss of $657.8 million. 

In the most recent quarter, J. Crew sales decreased 5 percent and comparable sales dropped 10 percent, while Madewell sales increased 33 percent and comparable sales increased 12 percent.

In an effort to court millennials, Nordstrom has made similar agreements with other brands, including partnerships with TopShop and BaubleBar.

For more:
-See this Women's Wear Daily article (subscription required)

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