Recently, I visited the newly re-opened Opry Mills outlet mall in the Nashville, TN area. The mall had been closed for almost two years after being severely damaged by flooding in May 2010, but now it was packed with shoppers looking for bargains.
So what strategy should you employ to snag a bargain?
Know the Merchandise
First, try to get to know the merchandise that you are interested in buying. Either online or at the local retail mall, scope out that pair of shoes or sweater you are interested in. Write down the price. This type of research can serve two purposes.
If you are very specific about what you want, this step allows you to compare the retail price to the outlet price and determine if there is a significant savings. Furthermore, it also educates you about the price points of different types of merchandise which will allow you to make better on the spot decisions.
Factory Stores
Next, know what a “Factory Store” is. Most outlet malls have them and the merchandise they sell may never have seen the inside of the namesake’s full priced retail store. Coach, Brooks Brothers, and Anne Taylor are just a few retailors with factory stores. If you like the stuff made for the factory store, that’s great – just realize that it is not a true bargain.
In its factory store, Brooks sells a line of merchandise called ‘346’ which is created especially for the factory store. Because I followed my first rule of getting to know the merchandise, I can easily differentiate between the merchandise made specifically for the outlet vs the merchandise that came from the full priced store. Hint: At Brooks Brothers, shirts from the retail store have “Est. 1818” on the label while the outlet store made shirts have “346”.
Department Stores and Clearance Racks
Try a large department store outlet. Neiman Marcus Last Call and OFF Saks are two of the best if you are looking for high end designer duds. The wares may be from last season, but you will typically find them at least 50% lower than the full priced store.
But if you really want to snag “the deal” look for the clearance racks. This is where knowing your merchandise and their price points can pay off. Neiman Marcus Last Call will typically have racks of stuff that have a blue, orange or purple stamp on the price tag indicating an additional discount off of the already reduced prices. These discounts are usually 35%, 50% or 65%, and they can add up to significant savings. For instance, I bought a sport coat with a MSRP of $1500 that was originally priced in the outlet for $650 and then was further reduced by 65% to $227.50. That was quite a deal.
By just following these few simple hints, your savings can add up, and you can leave the mall knowing that you are a savvy outlet shopper.
