More luxury outlets planned to lure US bargain hunters

  Luxury brands long shunned malls like USA'm spending now more aggressively and plans to build factory outlets and enjoy the love of buyers' bargain.

Saks Inc. (SKS.N), Nordstrom Inc. (JWN.N) Tumi Holdings Inc. (TUMI.N) Neiman Marcus Group NMRCUS.UL and Michael Kors Holdings Ltd. (KORS.N) are among the names so they are less superior upside potential cornerstone of its store expansion, although some build virtually no new full-service shops.

Nordstrom is planning to double the number of stores to 230 rack locations by the end of 2016, while from Saks Fifth of 64 stores and has as many as 100 in a few years. There are 28 locations and Neiman Marcus Last Call Last Call 5 Studios, a small shop with a different output format opening in Virginia in a few weeks.

Frameworks Reuters Retail and Consumer Goods in New York, said this week that the whole expansion in recent years, they are a relatively untapped opportunity that is available to companies with a luxurious stay source of growth by consumers to reach them less fortunate .

"It's a hunt that consumers enjoy," said Richard Dickson, General Manager Jones Group (JNY.N) business brand, said the summit. "Outlets, a larger part of the quest for consumer value will become." The Jones New York and Nine West chain facilities have been long in the evacuation centers.

Outlets used to generally unattractive places used for the sale of goods clearance. However, retailers now too much care in what they are attractive and brand.

Approximately 75 to 80 percent of the goods at Saks' Off Fifth and Neiman's Last Call strings designed specifically for retail, with a little emphasis on the green light product provides complete service department.

"They have become more common in the eyes of our dealers," said Steven Tanger, CEO of Tanger Factory Outlet Centers Inc. (SKT.N) and notes that it is now chic, even for affluent customers looking for bargains.

There are about 150 shopping centers in operation in the United States. Tanger said the country could not. Erect another 100 in the next ten years

"I do not think we are far from reaching the saturation line Off" Saks CEO Steve Sadove told Reuters in an interview ahead of the summit.

The outputs are a way to Saks for the increase in "non-price" of retail trade, the leaders of which TJX Cos. Inc. (TJX.N) Marshall and TJ Maxx chains, and Ross Stores (ROST. O), selling designer brands at very cheap prices.

Saks, Nordstrom and Neiman pale all enjoyed sales gains in the last two years to other retailers with envy.

But sales of chain stores have often exceeded in fiscal online stores full. For example, sales in stores Nordstrom Rack 7.3 percent in the first half of the year, more than twice as fast as Nordstrom department stores.

Increased the sales of luxury brands usually have strong this year, but some channels are reluctant sites more comprehensive services and some even add final.

Saks last week, Sun announced the closure of two stores Saks Fifth Avenue and Neiman closing its branch in Minneapolis. Nordstrom opened a new branch here and there.

Part Retailers must strike right balance is difficult customers with the types of transactions they are looking at a factory outlet without the aura of luxury or cheat consumers.

"I do not see an exit the same thing I see in a store full price at a lower price," said Jerome Griffith, CEO of Tumi. The manufacturer of luggage and accessories approximately 20 subsidiaries in the United States and plans to open more store in parallel with the expansion of the full price.

Tumi points are equally lucrative online stores complete: annual sales of around $ 1,000 per square meter.

Neiman Marcus CEO Karen Katz told Reuters that there is relatively little overlap between the brand and customer stores its namesake stores.

Retail executives expect the boom to last issue, even after the economy bounces back with more force.

"In good times, people like a bargain," said Tanger. "In difficult times like these, they need a good deal."