Money & WorkFact

Burberry burned £28.6 million of stock rather than discount it.

In 2017/18 Burberry destroyed unsold clothes and perfume worth £28.6 million. The logic: for status goods, the high price is part of the product (Veblen effect). A discount tells previous buyers their item is worth less and attracts customers who make the brand ordinary. The EU banned destroying unsold clothing in 2024; large firms comply from July 2026.

Useful: Where the price itself is the product, there is no clearance sale, only outlets far from the flagship store.

Source: bbc.com

EuMarketingPreise

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