Even before the COVID-19 pandemic shuttered retailers across the country, more and more consumers were opting to shop online instead of heading to brick-and-mortar stores. And while that trend has largely continued, two segments of the retail landscape have seen foot traffic return, according to data from a recent report: Thrift stores (which have been covered in previous Lifehacker posts ) and discount stores like TJ Maxx, Marshalls, Burlington and Ross Dress for Less, which are the focus today.
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Advertisements for these discount stores make it sound like their merchandise comes straight from expensive department stores and flagship stores, and is being sold to you for a fraction of the original price. But as two recent viral TikTok videos have explained, the truth is a little more murky, including the fact that the clothes sold at these stores are often custom-made for them.
As two TikTok creators who have worked in the fashion industry, @itslaurendeleon and @kingkattoo, explain in recent videos, much—if not most—of the merchandise sold at off-price retailers like TJ Maxx and Nordstrom Rack doesn’t actually come from full-price stores with unsold merchandise. Instead, that merchandise is intentionally designed to sell at lower prices.
In fact, @kingkattoo, who explains that she’s a designer who’s worked at companies that sold merchandise to these discount retailers, says that “there’s no such thing as overstock because that’s not how the fashion industry works.” Instead, holding companies that own American heritage brands like Calvin Klein commission designers to create items that sell at certain price points. For example, one designer might be asked to design sweaters that sell for $50 at a department store, while another might be asked to design a $20 sweater that sells at discount retailers. From there, @kingkattoo explains, all decisions throughout the process—like fabric, lining, and trim—are made with those costs in mind.