An independent guide to designer labels and how outlet pricing works. We don't sell anything and aren't affiliated with the brands described.

Guide

How outlet pricing works

"Outlet" sounds like last season's collection at a lower price. Sometimes it is. Often it is something else.

Where outlet stock comes from

An outlet store is a shop where a manufacturer sells its own goods directly, usually at a discount. The goods are typically overstock, closeouts, returns or factory seconds [1].

The idea is older than it looks. Factories in the eastern United States sold damaged or excess goods to their own staff in the 1930s; in 1936 Anderson-Little opened an outlet store for the public, and in 1970 Vanity Fair opened the first multi-store factory outlet centre in Reading, Pennsylvania [1]. The number of US outlet centres grew from 113 in 1988 to 325 in 1997 [1]. In Europe, Bicester Village in England is the best-known example [1].

Made for the outlet

The part most shoppers don't know: a majority of clothing and accessories sold in outlet stores are made specifically for outlets, often with cheaper materials and processes than the main line [1]. That is not a scam, but it means an outlet price is not always a discount on the item you saw in the flagship store.

TypeWhat it isWorth it?
Overstock / past seasonMain-line product that didn't sellUsually the best value
Returns and secondsReturned or slightly flawed itemsCheck the flaw first
Made for outletSeparate, cheaper lineCompare with the main line, not its price

Checklist before you buy

  1. Buy from the brand, an authorised retailer or a well-known department store where possible.
  2. Compare the item code or style name with the brand's own site: is it a main-line style?
  3. Check the labels inside: care label, size label and country of origin should match the brand's usual format.
  4. Look at hardware and stitching; these are where fakes save money.
  5. Be wary of current-season items at 70% off.
  6. For pre-owned bags, use a seller that authenticates.
  7. Keep the receipt and packaging; they matter if you resell.
  8. Know the return policy: final-sale outlet items often can't be returned.

Brand notes: Off-White, Eterna, Moncler, Bottega Veneta, Stone Island, Kenzo, Versace.