Stuff like this, or the JC Penny experiment years ago where the new executive team tried to get rid of deep discount sales and have consistently low prices only to be met with consumer uproar, make me really glad that I don't work anywhere near consumer retail.
From Nordstrom Rack's web site:
This comparable value and corresponding percentage are based on what the item, or similar item, was originally offered for by Nordstrom or elsewhere in the market, which may have been reported to us by the manufacturer.
You can find actual steals if you know what you're buying, EoL items and end of season items for a fraction of the price.
But then there's the cheap shit with the brand plastered on it, which is usually basic garbage, just rebranded.
I had a purse of hers sent back for reconditioning and the regular store didn't seem to notice that it was originally an outlet product (granted, it was like 8 years old at that point).
Granted, not every retailer is like that. GAP brands definitely sell inferior products at their outlet stores. But I don't notice a difference in quality for Levi's stuff at their outlet stores vs department stores.
I think outlet malls are generally seen by consumers as "malls that focus largely on clothing". The only regular malls that have survived in my area are maybe 30% clothing, with the rest being the huge Apple store, restaurants, cafes, jewelry, car showrooms (?), LEGO, overpriced home goods, etc. While the outlet mall remains like 80% clothing.