Outlet stores have long been promoted as a way to get name-brand items for less—but how much are you really saving at department store outlets compared to their full-line counterparts? Stores like Macy’s Backstage, Nordstrom Rack, and Saks OFF 5TH promise big discounts on fashion, home goods, and accessories. This guide breaks down what’s actually worth buying, how outlets differ from traditional stores, and whether the savings are real.
Outlet vs. Regular Department Store: What’s the Difference?
Department store outlets typically fall into two categories:
- True Outlet Inventory – Overstocks, past-season merchandise, and returned items from full-line stores
- Made-for-Outlet Goods – Items produced specifically for outlets, often using different materials or manufacturing processes to meet lower price points
For example, Macy’s Backstage carries clearance and excess inventory from Macy’s stores but also includes budget-friendly brands made specifically for the outlet channel. Similarly, Nordstrom Rack mixes true markdowns from Nordstrom with in-house labels like BP. and Z by Zella.
Are the Discounts Genuine?
Yes—but they come with trade-offs. Outlet items are often marked 30–70% off their original price, but the “original price” may not reflect current in-store pricing. In some cases, the MSRP listed at outlets can be higher than what’s shown at regular stores during a promotion.
Key outlet price insights:
- Macy’s Backstage offers deeper discounts on apparel and home items but excludes high-end designer merchandise
- JCPenney Outlet (discontinued but rebranded through select clearance stores) may still appear in liquidation centers
- Saks OFF 5TH and Nordstrom Rack are better for designer finds but require more effort to sort through inventory
When Outlets Offer the Best Value
- Off-season purchases: You’ll find last season’s coats, sandals, or décor marked down drastically
- Accessories and shoes: Especially during end-of-season clearouts
- Home goods and small kitchen appliances: Items with minor packaging damage or old models
When Full-Line Stores May Offer Better Deals
During sitewide sales like Friends & Family, One-Day Sales, or Clearance Blowouts, the pricing at a regular department store may actually beat outlet prices—especially when combined with coupons or rewards programs.
Use Loyalty Programs to Compare Value
Outlet stores rarely honor the same loyalty perks as full-line stores. For instance:
- Macy’s Star Rewards do not apply at Backstage
- Kohl’s Rewards are not typically redeemable at Off/Aisle clearance stores
Stacking Gift Cards Can Still Help
Even if promo codes are limited, you can still use gift cards to pay—sometimes your only option to stack additional savings. For added value, consider buying a gift card that earns cashback. While Fluz may not include every outlet, you can earn cashback with a Macy’s gift card for use in full-line stores and get rewards with a Kohl’s gift card to maximize savings when deals overlap. Download Fluz here to access real-time rewards before checkout.
Conclusion: Are Outlet Stores Worth It?
Outlet stores can offer genuine value—especially on off-season items, accessories, and overstock merchandise—but they’re not always cheaper than a well-timed sale at the regular store. Always compare prices, understand what you’re buying, and don’t assume the outlet always wins.
