Why Outlet Malls Are Struggling In The U.S.
455,221
Published 2024-07-16
Chapters:
00:00 - 00:59 Title card - Why U.S. outlets are struggling
01:00 Chapter 1 - Rise of outlets
03:16 Chapter 2 - Industry health
05:50 Chapter 3 - Risks and opportunities
Producer: Daren Geeter
Animation: Christina Locopo, Jason Reginato, Emily Rabbideau
Senior Managing Producer: Tala Hadavi
Additional footage: Getty Images, Tanger Outlets, Simon Property Group
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Why Outlet Malls Are Struggling In The U.S.
All Comments (21)
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The original idea behind outlets was to sell off excess/faulty stock. Now more than 80% of outlet stock is made for outlet, so using cheaper materials to sell for profit at the outlet price. The other 20% of stock is pretty much at the usual boutique prices. There are no bargains worth the trip.
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-Outlets DO NOT offer actual bargains anymore. -Outlets are also in the middle of nowhere and I live somewhere. Not worth the gas.
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Companies messed it up by making clothes specifically for outlets The quality is outlet quality Ppl are smarter and more aware of the scams
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Outlet malls no longer offer value. They charge the same for the same items sold elsewhere. Its no longer overstock or last seasons unsold items. Brands are selling items specifically in their outlet stores. Better deals can be found online.
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I mean, once I realized that the quality of the outlet clothes were not close to the ones in the regular retail stores, I stopped going.
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Outlets used to be spaces where stores sold 'irregular jeans' or other non-selling product at a 70% discount and everybody was happy. Now they have Gucci stores and crazy expensive prices on EVERYTHING. Bring back the old model and customers will return.
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It’s not rocket science, outlet malls used to be places to get deals, now they’re not
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There was a time in the 1990s when outlet malls were fantastic places to shop for great deals. Now they’re just another scam.
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Online retailers, streaming services, car payments, and payment plans for $ 1200+ phones is one reason people don’t shop at outlets. Rising rents, cost of living, and stagnant salaries is the other side of it. This is just a result of being pushed the furthest we can possibly tolerate and now they are crying that we are prioritizing self preservation over their superficial goods.
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The lockdown was a blessing in this sense. People realized that they have enough crap at home. You don't need 15 pairs of jeans.
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Outlet malls pretend to offer deals but don't.
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It's the big retailers' fault, you dont find deals anymore, they stuff it with things just as expensive and think customers won't notice
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When I was in high school in the late 90s, outlet malls were where you went to buy name brand things but a season behind. I bought gap jeans that were in the non-popular washes/colors for $10, but they lasted forever. now they are crappy and don't last.
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Outlets are a scam today. Outlets mall made sense in the 1990s early 2000s. Items were merchandise out of season or returns from main stores. When companies started making lower quality products to sell at Outlets only and at prices just slightly lower than the real product.
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Outlets just sell at standard prices these days. There are no advantages to going to the outlet mall.
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I don’t feel like going to the regular mall to shop, let alone drive 30+ min out to an outlet mall when I can shop for exactly what I want online vs rummaging thru junk to find a “deal”
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The jig is up. Outlet malls used to be cheap because it was an overstock or slight defect of items. Now corporations are intentionally producing lower quality cheaper stuff on purpose for the outletmall line up.
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Outlets used to be a social time you go with friends and family to shop around and find deals(50-70 percent off) on clothes that either had minor defects, were out of season, or surplus no one bought. Now they are making items specifically for outlets with worse quality while keeping the prices slightly discounted. Online is very competitive to the point where if you need something specific you just go online. So the only point is if you want a social place.
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Pretty clear why this is- consumers are savvy and have caught on to the fact that 95% of products in U.S. Outlet stores are made just for the outlet stores using lower quality materials vs. the main brand. Since there's no great value, it's not worth the inconvenience of traveling to an Outlet mall. Unfortunately for brands like Nike, Coach, Ralph Lauren, Gap- the majority of their bricks & mortar retail revenue and profit comes from the Outlet business.
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I was just in the Philippines, and they have two of the eight largest malls in the world! And the way they designed their malls is not catered on solely for shopping items! It is well thought out, you can go the park? You can have a margarita in the park, surrounded by green grass and trees! You can host an event! You buy a Ferrari you can go the church and have a wedding there! You can watch movies and play dota at the same time! All in a single mall. 😂
