Outlet mall bargains may come with a price

Tanger Outlet in Locust Grove is a huge shopping attraction. Photo credit: Johnny Crawford, AJC

Tanger Outlet Center in Commerce has more than 120 brand name outlets. At North Georgia Premium Outlets in Dawsonville, there are 140 stores.

With so many choices, it must be worth the drive to get there, right? Outlets have relied upon the perception for years to lure bargain hunting shoppers. While there are unquestionable savings at many outlets, the discounts are not always the slam dunk buyers assume, experts say.

“As a consumer and as a teacher who studies and teaches retail, more often than not you can do better at the mall with a sale or a coupon than schlepping to Calhoun or Dawsonville,” said Randy Stuart, a Kennesaw State assistant marketing professor.

Online coupons house thousands of promotional codes and retailers frequently run sales. Still, as parents prepare for back to school shopping, they’ll head to outlet centers with high hopes.

“Make no mistake, the savings are in fact genuine,” said Tod Marks, an editor with Consumer Reports. “But the claimed savings of 65 percent or higher are a bit of an exaggeration.”

Those discounts are often based on the Manufacturer’s Suggested Retail Price and not on a price that any store actually ever charged. Prices at the designers’ stores, department stores and the outlets often differ, so comparison shopping is essential.

It’s also good to know that the outlet merchandise is a mix of products — some stores, like Gap and Old Navy, sell items made specifically for their outlet centers. Others sell late-season items or products primary stores were unable to move. Some have both. These factors could affect quality.

“You might find some T-shirts from the outlet store that doesn’t have the double-stitching on the sleeve, or the leather buttons on a jacket have been replaced with plastic buttons,” Marks said. “The manufacturer may take shortcuts here and there, but that doesn’t necessarily mean it’s a bad item.”

Shoppers driven to brands but not regular store prices are attracted to outlets.

“We have seen that many shoppers will buy their first designer label at an outlet center, so the brands want this first experience to be a positive one so that they will purchase their label again, either at an outlet store or at full price, or both,” said Heather Halpern, general manager of North Georgia Premium Outlets.

How to tell an item is ‘outlet only’

– The tag inside the garment says “Factory store.”

– The price tag has extra symbols printed on it.

– The garments are from an unfamiliar line extension.

Source: Consumer Reports ShopSmart

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