Revenue

9 Months Ended

Oct. 28, 2023

Revenue from Contract with Customer [Abstract]

Revenue

NOTE 3: REVENUE

Contract Liabilities

Contract liabilities represent our obligation to transfer goods or services to customers and include deferred revenue for The Nordy Club (including points and Nordstrom Notes), gift cards and our amended 2022 TD program agreement. Our contract liabilities are classified on the Condensed Consolidated Balance Sheets as follows:

	Other current liabilities	Other liabilities
Balance as of January 29, 2022	$478	$—
Balance as of April 30, 2022	442	—
Balance as of July 30, 2022	438	—
Balance as of October 29, 2022	430	—
Balance as of January 28, 2023	536	136
Balance as of April 29, 2023	489	123
Balance as of July 29, 2023	464	111
Balance as of October 28, 2023	472	98

Revenues recognized from our beginning contract liability balance were $114 and $268 for the quarter and nine months ended October 28, 2023 and $100 and $232 for the quarter and nine months ended October 29, 2022.

Disaggregation of Revenue

The following table summarizes our disaggregated net sales:

	Quarter Ended				Nine Months Ended
	October 28, 2023		October 29, 2022		October 28, 2023		October 29, 2022
Nordstrom	$2,051		$2,264		$6,570		$7,324
Nordstrom Rack	1,149		1,169		3,356		3,567
Total net sales	$3,200		$3,433		$9,926		$10,891
Digital sales as a % of total net sales	34	%	34	%	35	%	37	%

The following table summarizes the percent of net sales by merchandise category:

	Quarter Ended				Nine Months Ended
	October 28, 2023		October 29, 2022		October 28, 2023		October 29, 2022
Women’s Apparel	28	%	29	%	28	%	29	%
Shoes	27	%	27	%	26	%	26	%
Men’s Apparel	15	%	15	%	15	%	15	%
Accessories	11	%	11	%	12	%	12	%
Beauty	12	%	11	%	12	%	11	%
Kids’ Apparel	4	%	4	%	4	%	4	%
Other	3	%	3	%	3	%	3	%
Total net sales	100	%	100	%	100	%	100	%