Clearly, like the rest of us, the Duchess of Cambridge is not immune to a bargain. This is yet another example of the "luxury brand discount trend " which has entrenched itself in the global retail market in recent years.
Out of town luxury retail centres such as Bicester Village, accommodate and service the discerning shopper who appreciates quality and luxury goods. Such shoppers are affluent but shop smart. They are prepared to travel within a selected catchment area for a discounted bargain. Purpose built luxury branded discount retail centres cater exclusively to their taste and budget.
Luxury discount shopping centres are located in relatively affluent areas within satellite distance of major cities throughout Europe and increasingly throughout Asia. The aim is to target this new breed of smart, affluent, primarily professional shopper.
The retail offering is defined by a luxury, discounted brand coupled with an exciting and colourful shopping experience. Competition may be viewed as coming from the on-line platform but equally the established luxury providers traditionally located in major cities.
Retailers benefit from establishing a presence within this retail model by entering into turnover based leases whereby the rental they pay will largely be determined by the take up of their product in high footfall, luxury goods shopping centres, targeted at their market share. This contrasts with the traditional approach of leasing property in a prime central location with high overheads. By establishing within the out of town "boutique" centre, the retailer aims to increase turnover and brand awareness and ultimately profit.
Pini Franco LLP has assisted several retail luxury brands to establish in luxury shopping centres throughout the UK.
Kurt Geiger, the fashion retailer, plans to open a new store in Bicester Village, Oxfordshire, where the Duchess of Cambridge was seen browsing the rails earlier in the year.The British company, known for its high-fashion footwear, released third-quarter figures yesterday showing like-for-like sales up by 13 per cent. Geiger, whose fans include Beyoncé and Julia Roberts, opened 28 stores this year, including one in Milan. Franchise partners opened outlets in Thailand, Hong Kong, China and Singapore. The company, which was the subject of a management buyout this year, said online sales were up 30 per cent and accounted for a fifth of the business. Gross turnover in the seven months to the end of September was £210 million.