Monday, 20 February 2012

How stylish American clothes chain Banana Republic charges huge mark-ups in first UK store

                        This outfit and bag costs £299.50 - £100 more than ii th U.S.


Its blend of stylish casual clothes and chic officewear has made Banana Republic a magnet for British tourists visiting the U.S.
Now shoppers can save on the air fare and pick up the same designs here with the opening of its first British store, in London's Regent Street yesterday.
But they might not be pleased to learn that the chain - the upmarket end of the Gap clothing empire - has imposed huge price mark-ups on some items.
In some cases, it is charging 100 per cent more for items here than in its American stores.
It is another example of the trend among international brands to treat Britain as a "treasure island", delivering higher prices and profit margins on everything from clothes to computer games consoles.
A snapshot survey of Banana Republic's UK prices by the Daily Mail shows a printed silk halterneck dress sells for £95 in this country - 58 per cent more than in the U.S.
It can be teamed with a £125 Flatsunglasses-iron baby satchel, which is 40 per cent more, and a pair of espadrille wedge shoes that are 62 per cent more expensive here.
The entire outfit would cost £299.50 in the UK, £100 more expensive than the same items in the U.S.
An orange, textured coat appears on the firm's U.S. website at a price of just £60, while the figure in the official UK catalogue is £140 - a mark-up of 133 per cent.
A cap sleeve silk dress in pale gold is £55 on the other side of the Atlantic but £95 here.
A pair of black peep-toe wedge shoes is £79.50 in this country, a mark-up of 62 per cent on the U.S. price.

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