Customer-centricity is more than just a business strategy; it's a mindset that prioritizes the customer in every decision and interaction. But how do organizations build this mindset within their culture? One of the most powerful tools is storytelling. Stories capture attention, illustrate values, and inspire behaviors that align with an organization's mission. And when it comes to customer-centricity, few stories are as legendary as the Nordstrom tire refund incident.

The Story: A Tire Refund at Nordstrom

Around 40 years ago, a customer walked into a Nordstrom department store in Alaska, carrying two snow tires. He approached the tire counter and asked for a refund. The remarkable part? Nordstrom doesn’t sell tires. It’s a high-end department store known for clothing and shoes, not automotive goods.

Yet, the customer service agent behind the counter granted the refund. The incident was so surprising that it became part of Nordstrom's culture, shared as an example of extreme customer-centricity. In fact, some Nordstrom stores have even hung a tire from the ceiling as a symbol of their dedication to going above and beyond for customers.

Years later, Nordstrom felt compelled to confirm the story, tracking down Clark, the customer service agent who had facilitated the refund. In an interview, Clark explained that he knew Nordstrom didn’t sell tires, but he also knew that, back in 1975, Nordstrom had acquired several stores from “Northern Commercial of Alaska,” a company that did sell tires. Recognizing that the customer may have had a valid claim, Clark decided to act.

Clark assessed the tires' value at $25 with the help of a Firestone dealer and issued the refund. His manager, who had been observing from the back, subtly encouraged Clark by nodding in approval, signaling trust in his judgment and a shared commitment to customer satisfaction.

A mere $25 investment made by an empowered and customer-centric employee has yielded a more favorable perception of the organization than millions of dollars allocated to marketing campaigns ever could.

The Role of Storytelling in Building Culture

As Tyrion Lannister famously said in Game of Thrones, “There's nothing in the world more powerful than a good story. Nothing can stop it. No enemy can defeat it.” Stories have a unique way of conveying values and connecting people to a shared mission. The Nordstrom tire story is a perfect example of how a simple, powerful narrative can shape a company’s culture and instill lasting values.

Nordstrom doesn’t expect its employees to offer refunds on non-existent products. What they do expect, however, is for employees to truly listen to the customer, putting themselves in the customer’s shoes to find the best possible solution.

Embedding Customer-Centricity Through Storytelling

Storytelling is an essential tool for instilling customer-centricity in an organization. The Nordstrom tire refund story has become legendary not only for its uniqueness but because it captures the essence of customer-first thinking. By sharing stories that embody their values, companies like Nordstrom build cultures where customer-centricity isn’t just a strategy—it’s a way of life.

For any organization aiming to build a customer-centric culture, the lesson is clear: use stories to show, rather than tell, what customer-centricity means. Empower your employees to act in the customer’s best interest, and they’ll contribute to a legacy of trust, loyalty, and exceptional service.