When Tammy Faye Bakker, formerly of the PTL ministry, told millions of
”Nightline” television viewers that she shopped mostly at ”T.J. Maxx and all the discount outlet stores,” her words were jokingly repeated around the country the following day.
Such purchases, as Tammy Faye put it, are ”cheaper than a psychiatrist.” However, even without her plug, the multitude of price-oriented stores around the country has grown quite impressive and varied.
There are the much-advertised off-price or discount chains; factory outlets; manufacturer`s outlet stores far from the factory; outlets for department stores and catalogue merchandise; and wholesale clubs.
Appliances, furniture and many other items are big, yet the high mark-up and trendiness of clothing makes it the item most targeted by discounters. In the clothing industry alone, sales of off-price stores have grown during the 1980s to more than $11 billion annually from $3 billion.
Amid the confusion over all these variously labeled stores with distinct sales policies, be cautious if you`re seeking bargains and not merely trying your hand at self-therapy:
— Research all items, so you know if you`re really receiving a bargain and not simply being told that you are. The fact that many bare-bones discounters have less experienced or smaller sales staffs makes it important to know the facts about what you`re shopping for.
— Get warranties and instructions for any items you purchase. When buying ”seconds” or ”as is” merchandise, find out exactly what is wrong with it. There`s a difference between discontinued lines and damaged goods.
— Find out the return policy, because some outlet stores won`t give your money back. Ask how you must pay; some stores require cash or offer an added discount for cash. Find out whether delivery is included for larger merchandise.
— If you really know what item you want, shop often and be prepared to move quickly. Not all discounters have large stocks of merchandise and you may have to buy the specific item you want when it`s available.
”A lot of people get caught up in the frenzy, wanting to believe that every store that bills itself as offering good deals always does,” said Sue Goldstein, author of The Third Underground Shopper (Andrews, McMeel & Parker, Kansas City, Mo., 1987). ”You must do advance shopping to study what the items really cost in the first place.”
Discounting by any name is hardly new and there are distinct varieties within even specific firms.
For example, there are 104 Sears, Roebuck & Co. surplus stores, begun years ago as employee stores, which specialize in overstocked merchandise from clothing to toys. There are also the Sears outlet stores in selected markets, offering mostly furniture, appliances and home electronics that may be dented or scratched.
”Many years ago, Sears used to dispose of this type of merchandise through `jobbers` and the company lost control of how items with the Sears name were being sold,” said Gordon Jones, a Sears spokesman. ”Surplus and outlet stores are now an integral part of our operation.”
Lands` End Inc., a retail and mail-order store for outdoors-oriented clothing and luggage, has outlet stores in the Midwest that carry overstocked and discontinued merchandise.
”The discount is generally 20 percent off the catalogue price, sometimes more,” said Jerome Casey, retail manager for Lands` End. ”It`s easy to check by looking up the item in the catalogue to see what it cost in the first place.”
The most sophisticated off-price chains definitely have it all down to a science.
”Our demographic studies indicate that off-price shoppers are the same people who shop at major department stores,” said Doreen Thompson, an executive with T.J. Maxx, which strikes deals with more than 2,200 name-brand manufacturers to offer their overrun or returned stock at its stores.
”They`re usually women ages 25 to 49 in an upper-income bracket who often have a family,” she said. ”Fifty percent own their own homes and they live within a 10-mile radius of one of our stores.”
Andrew Leckey`s column appears Monday, Thursday and Friday.
