Luxury brands outlet retail – a growing business in Eastern Europe
CPP Management Consultants Ltd has recently reviewed the developments in the outlet retail sector in several Eastern European countries. Decreasing rents on highstreets as well as in shopping malls in the main capital cities has stimulated the development of outlet stores, in many cases genuine, original merchandise being mixed with counterfeit, fake products. In Bucharest for instance, 3 new outlet stores have opened downtown in the past 2 months, while in Sofia most outlet merchandise stores are flourishing within shopping Malls. In Belgrade, Serbia, several midsize downtown shops sell outlet merchandise.
The top selling brands in this type of stores are: D&G, Just Cavalli, GF Ferre, John Richmond, Iceberg, Versace Jeans Couture. These new developments pose a threat to the new collections multibrand stores, creating confusion among customers.