Tesla Is Selling Its Electric Cars at Nordstrom

The Nordstrom store in Los Angeles has received a Tesla boutique that sits neatly along other merchandise in the department store. The electric car boutique was deployed in the men’s section of the Nordstrom store earlier this week. The Tesla space features a white Model X crossover with representatives ready to inform people about the model’s features while test drives can be scheduled to take place in the parking lot. Industry insiders speculate that a second space could be added to the Nordstrom store at The Grove later this year.

The reasons for Tesla’s rather unusual product placement approach can be listed as saving important real estate costs as well as a wider and diverse demographic, which could result in higher sales. For the fashion retailer, this collaboration makes sense because it could bolster store traffic, which recently plunged 7.7%, increased foot traffic from the mall, and also burnish its image since Nordstrom has received negative press coverage this year due to its sales growth challenges.