- Outlets offering discounted high-end brands like Gucci, Prada, and Saint Laurent are gaining traction as shoppers seek affordable luxury during a global slowdown in designer sales.
- High-end outlet centers like Belmont Park Village and Woodbury Common Premium Outlets are adding new stores and features, banking on long-term demand.
- Brands traditionally resistant to discounting, such as Aquazzura and Vivienne Westwood, are opening US outlet locations to capture more American shoppers.
At Belmont Park Village, Long Island’s newest luxury outlet mall, shoppers are braving the cold for designer deals, as reported by WSJ.
Zooming In
Stores like Rene Caovilla offer discounts of up to 65% on high-end items, attracting bargain-seekers like Mikey and Pebbles Marino, who drove from Connecticut to snag luxury shoes at a fraction of retail prices.
The appeal of discounted luxury reflects a broader trend in the global high-end sector, which is grappling with softening sales after years of growth. Shoppers are unwilling to pay full price for designer goods—but remain eager to buy if the price is right.
Resilient Recovery
The U.S. boasts over 200 outlet centers, with many focused on “affordable-luxury” brands like Coach and Marc Jacobs. A smaller subset, including locations like Woodbury Common Premium Outlets, specializes in deep discounts on sought-after European brands such as Gucci and Prada.
Woodbury Common, one of the top luxury outlets in the country, generates $1.2B in annual sales and continues to expand, adding stores, restaurants, and even a luxury hotel.
While overall luxury sales have dipped recently, they remain above 2019 levels, supported by a younger and more diverse customer base.
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Shifting Strategies
Historically, many luxury brands shunned outlets, fearing that discounting could dilute exclusivity. Some even destroyed unsold inventory to maintain their image.
However, regulatory changes—such as a European Union ban on destroying excess merchandise—are prompting brands to rethink.
Outlets now provide a discreet way to offload surplus stock while maintaining prestige. Social media and discounters like T.J. Maxx have further introduced budget-conscious consumers to the world of luxury, driving interest in outlet locations.
Belmont Park Village
Belmont Park Village is the latest example of luxury outlets capturing demand. Operated by London-based Value Retail, the 8-acre development near New York City features designer boutiques, high-end dining options, and a strategic location close to NYC airports.
Aquazzura and Vivienne Westwood, among others, have chosen Belmont Park for their first US outlet stores. With plans for 155 boutiques and seven restaurants, the center aims to emulate the success of Value Retail’s European Bicester Collection, which has fully recovered its pre-pandemic foot traffic.
Luxury Outlook
As the luxury market shifts to accommodate new buying patterns, outlets are emerging as a viable solution for brands and shoppers alike.
By offering discounts in curated, high-end settings, malls like Belmont Park Village and Woodbury Common are redefining luxury retail’s future while capitalizing on evolving consumer preferences.
