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Presented By:- Rajput Miraj
Here manufacturers sell their products directly to the public through their own branded stores.
Also called as “Outlet Store” or “Best Saving Outlet”
It can be a Normal Store or an Online Store Traditionally, a factory outlet was a store
attached to a factory or a Warehouse It forms a subset of a larger format called
the off-price retailer.
About 45% of branded products in the country are
sold during discount salesor through these outlets.
These outlets are owned by company.
Branded Outlet
Free Shop
Multi Branded
Outlet
Used to expand their reach To make their products more accessible
to customers They help people who may not have
tried out a brand to do so They help the brand to reach those who
aspire to wear the brand but cannot afford it
The companies also use factory outlets to sell unsold merchandise
Factory outlets basically sell discontinued merchandise, irregulars, factory overruns and cancelled orders.
Products which are defective. These Outlets sell clothing, sporting goods,
electronics, footwear, jewellery, and home goods, as well as many other brand name products at deeply discounted prices.
These items are surplus or slightly irregular and come directly from the manufacture
From Retailer
From Factory
Rejected from
export
Factory outlets can be profitable due to the low operating
costs, few services, low rents, and elimination of thedistributor/retailer links in the distribution chain. Manufacturers have supreme control of their outlet,
andcan run the store in their own way — visibility, prices,promotion and inventory. Low price is not the only driving force behind
expansion of factory outlets, brand promotion is one of the key
functions. Manufacturers could control where their discountedmerchandise was sold.
FACTORY OUTLET
FRANCHISEE
Variety of Product Available Available
Price Discount Available Only Occasionally
Defective Products Available at Discounted Price
Rarely Available
Ownership Manufacturer Franchisee
New Products Rarely Available Available
Out of Fashion Products
Available Rarely Available