Question about Nordstroms Rack and factory stores… - YouLookFab Forum

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Question about Nordstroms Rack and factory stores…

Runcarla

Veteran

My SIL brought me shopping in Florida. We visited two large outdoor malls and some boutique shops in a pretty downtown area. I specifically wanted to visit a JCrew store because I want to replicate a heavy weight cotton t-shirt that sent to me by a YLF friend (Finds #1 below) I did visit two JCrew Factory stores, and rather than dither, I approached the first available SA and described it. The first store said they didn’t have any. The second store explained that Factory stores have their own product designers and makers separate from regular JCrew shops and they never get regular store products - not even out of season or overstocks. My best bet was to go to a regular JCrew store or look online. (I’m shopping in person because JCrew left Canada and ordering online means taxes and duties.)

Next I shop at Nordstroms Rack. Nice price points and I’m definitely finding items from brands I recognize. Some of them I’ve seen as regular merch and Nordstrom Fab Finds listed by Angie. I’m assuming out of season/last year’s stock or overstocks. However, when flipping the tags of the dress I bought (Finds #2 below) the inside fabric label says MAR24. The dress label identifies it as ‘Nordstrom’ so I’m assuming it is a house brand. There are no flaws on the dress or its construction. The construction is excellent and the fabric a nice weight 100% cotton, and there are details like pockets, and pleats and nicely finished seams and hems. It was marked down.

I understand Winners/Marshall’s/TJMax sourcing and marketing, but I’m confused by the Factory stores and Nordstrom Rack. Can anyone help me understand?

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16 replies

Latest reply was from Allora

MsMary

Veteran

The J Crew Factory employee was correct. Back in the day, the factory stores and Nordstrom Rack carried overstock from the "regular" stores. Those days are long gone. These days places like J Crew Factory and Banana Republic Factory carry their own, lesser-quality (although often still quite nice) brands. In my experience Nordstrom Rack still carries some overstock from regular Nordstrom, but these days it also carries a lot of merchandise that is made and purchased specifically for the Rack.

April

Veteran

Nodding along w/MM. I used to go to the Rack in King of Prussia Pennsylvania when they were still using a "didn't sell at the fancier store" business model. Have not been in one in years but I'm sure it's right that now you'd find something of a hybrid model.

Jules

Veteran

What's your understanding of Winners/Marshall’s/TJMax sourcing and marketing if I may ask?

Runcarla

Veteran

@ Jules - https://www.winners.ca/en/how. This is from their website, but I’ve read independent articles that say similar. I understand they give their buyers a certain degree of autonomy such that they are able to make quick decisions when they find an interesting stash.

With the JCrew Factory, I expected JCrew level, and not a sister store. With Nordstrom’s Rack, I wasn’t sure, but more like what April wrote - ‘didn’t sell at the fancier store.’

Jenni NZ

Veteran

I’m interested in this because we don’t have many large outlet shopping areas in New Zealand, and my feeling is that the small number we do have, like a chain called DressSmart I think which has many stores within its shopping centre, I think do have what “didn’t sell at the fancier store”. I have seen previous season styles at some of those stores.
We are soon (maybe a year away) going to get a fancy upmarket outlet area near our international airport in my city- which is New Zealand’s largest city. It is being planned and advertised now. So I am wondering what will happen there and if things will actually be “made for outlet” or not.

unfrumped

Veteran

The Factory stores here also seem to have completely different merchandise.

I try to visit Rack when I am OOT and there I find a lot of stuff that is low-to-mid range but definitely some things that are carried by Nordstrom, and the rounders & rails are somewhat sorted by brand, at least. Then their clearance racks are a jumble and somewhat numbing. There are small groups of “ designer “ and some brands like EF, Theory, Vince and so on , but not what I’d call loads of that—so still only the rare nugget. Which works best if you have one locally to browse as stocks turn over. Plus I’d shop more Rack online or feel better about purchases I could try on again at home & return ( shoes for instance.)

TJMAXX ( which I do frequent), my experience that is , is that it’s mostly lower- end stuff and some brand names that are a different version, done just for that market. With an OCCASIONAL item that is truly from “ regular retail “ -I’ve seen a bit of Theory, Zara, Eddie Bauer and so on but very rare in my area. Outside Chicago & a few other big cities , I’ve been in TJM ‘s that had small “The Runway” sections
that featured items that seemed to be clearly the real brands, marked down.
Good if it’s something you really needed!

Irina

Veteran

Oh, I feel so nostalgic! Nordstrom Rack used to be one of my hunting places. I remember I bought a Marimekko dress at the downtown Nordstrom and returned it. I thought I might not get much wear and it was pricey even on sale. A few months later I bought it again at the Rack at the discounted price. I miss the Nordstrom stores so much

RobinF

Veteran

Yes I agree with what has been said. The outlets aren't "true outlets" the way an outlet used to be. You also can't return items from the regular store at the outlets. Nordstrom Rack is slightly more so with some items that are overstocks, returns etc and you can return Nordstrom purchases at the Rack. But I think they also have items that are purchased specifically for them, not for Nordstrom.

Star

Veteran

I understand that some outlets have different manufacturers to the regular store. The manufacturing is outsourced elsewhere.

Roxanna

Veteran

This is also true of Coach outlets and almost all outlets in outlet malls (Canadian or American.) They usually sell lesser-quality items made specifically for that outlet store, at cheaper prices. This has kept me away from outlet stores, but as someone mentioned, you can still find decent quality - just check the fabric and the seams before buying.

I think the reason the old outlet store model doesn't work anymore is that retailers can just sell their sale merch online, to a wider audience than an outlet store. However they kept the outlet stores because they recognize that that is a subset of more price-conscious consumers - so they create their own 'brand' for those stores.

cat2

Veteran

I shop Nordstrom Rack online; I can find past year pieces from designers I follow, but just ignore most of the diffusion lines they sell. Which is the majority of what they fill the store with. I do shop other Outlet stores like Coach and Kate Spade where I know the quality is still fine. They tend to have different color stories than their primary stores, and more stripped down designs that are easier to make, so can provide a streamlined pop of color.

Firecracker (Sharan)

Veteran

Thanks for asking the question, Carla. I didn't know that the JCrew Factory and Banana Republic Factory didn't carry any items from the regular store. I thought they had past seasons' merchandise.

Angie

(website)

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What MsMary and cat2 said!

kkards

Veteran

its been 28 years (omg i'm old) since i worked for an outlet division of a large mall brand, even then the outlet merchandise was sourced separately from the parent brand. a few times a year we would transfer in merchandise from the parent brand, but it would be, on average less than 20% of our total ownership. sometimes we would reproduce a prior years best seller but in a difference fabrications or in some other way despec'ed (not sure how to spell that), ie made to looks similar but produced in a way that lowers the cost

re Marshalls/TJMaxx/Winners/Nordies Rack....if you do the math, it is clear that the majority of what they are buying is being made for the off price store to sells, even if it is not made for them. which is a fine distinction, but one that they (the off price chains) are keen to make. the difference is that the big department stores would place orders in advance of the season, and the off price brands are placing a month or so before they take delivery. its all about where the risk is, in the dept store model, they are assuming risk, in the off price model the manufacturer is assuming risk. also the off price retailers work on a scarcity model, since you only see 1 or 2 of something your more likely to buy it ASAP as you assume that if you don't it will not be available. department and mall brands work on a key item, big trend model and want to be instock on what they think you want to buy.

Suz

(website)

Veteran

Nodding along with the others. I knew J. Crew Factory was a different beast from J. Crew. I think in some Racks you still get overstock from a regular Nordstrom's. But also other stuff.

I still order from J. Crew occasionally, Carla, because you know, I'm their biggest fan. (Sob!)

Also, I love your tee, which is just like mine but the opposite colourway! This boxy style is great because it can be worn alone or layered under or over.

Anyway -- with J. Crew orders, yes the duties/ taxes/ exchange boosts the already high for me price ridiculously. BUT, I tend to wait for sales, look for those times when delivery is free, and order only what I *know* will work. This is pretty easy for me because I have quite a lot of their clothes from past seasons and can compare descriptions of cuts and fits (when the fits change) and so on. I used to order from them often when I could return in store. But now I order on the range of once a year or every two years and try to get my fix when I'm in the US, like you. But always at the regular store, never the outlets.

Classic mariner boatneck T-shirt in stripe

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Allora

I can’t speak to the Nordstrom Rack question, but what I understand is that a store billed as a “Factory Store” means they carry different products (probably of lower quality) than the full-on store. A store billed as an “Outlet” gets unsold items from the full-on store. However, both types of stores can be part of a shopping complex called an “Outlet Mall, “Outlet Stores” or “Factory Stores”.

I learned that items produced and bought from a factory store have 2 or 3 little solid circles or dots on the inside neck label, typically underneath the store/makers name. So even though the inside neck label might say J.Crew, the presence of the dots indicates it’s from the J.Crew factory store. This has been useful to me when shopping consignment or secondhand stores.