Kate Spade Lawsuit and Outlet Pricing

Hyacinth

Authenticator
O.G.
Aug 19, 2006
34,543
28,999
Some Kate Spade Outlet customers in California have realized that the "discounted" prices shown on the outlet store price tags may not be as good a deal as they seemed:

http://www.racked.com/2015/11/24/9790738/kate-spade-outlet-lawsuit

Kate Spade Sued Over Deceptive Outlet Prices
ERIKA ADAMS Nov 24, 2015

"Kate Spade is the latest retailer in trouble over discount pricing, where advertised sales are allegedly not quite as good as they seem. According to Law360, a class action lawsuit filed in California alleges that Kate Spade's outlet stores advertise discounts on merchandise that was originally made to be sold at that discounted price, not anything higher...

"... According to the report, Michael Kors settled a similar consumer class action suit in New York for $4.9 million and T.J. Maxx was sued over the same misleading price strategy this summer."


Gee, who knew? :graucho:

There's a link to the full story at the Law360 site but you need to be registered there to read it. It's also mentioned on other sites
http://www.businessinsider.com/proposed-class-action-accuses-kate-spade-of-false-pricing-2015-11

http://consumerist.com/2015/11/24/l...rtised-imaginary-outlet-prices/#more-10224550


Any bets on how long it will take for Coach to change their outlet price ticketing system? My money says shortly after the holidays. I wonder how much they'd be forced to pay back to customers if they were sued and lost?
http://consumerist.com/2015/06/12/michael-kors-settles-class-action-over-imaginary-outlet-prices/

http://www.reuters.com/article/2015...AU20150612?feedType=RSS&feedName=businessNews
 

Alexa5

O.G.
Nov 2, 2011
6,555
24,215
Interesting. Yes, it has always annoyed me how they show a full price they would never sell at (Coach and many others). It doesn't make the new price or sale price realistic because it is actually the price it should sell at.
 

Bcabo

Member
Jan 27, 2011
1,171
37
I went to my outlet recently looking for something they had on FOS. They had it, but couldn't sell it to me because it hasn't been given a "sale" price yet in the computer. So I would have had to pay the full MSRP of $175. Since it was on FOS for $89, I said no thank you. The SA offered to call me when the price was set, which she did. It was $59 at her store, plus another 30% off! So yes, I absolutely believe they are going to have to change their pricing strategy. People are realizing that just because the tag says $xx doesn't mean it ever actually sold for that.
 
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