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I'm not sure what I'm supposed to want to shop for in department stores. I don't do enough shopping to constantly seek out "deals" so I don't spend time following the coupon or discount sales cycles. So whenever I do end up at a department store I see the sky high price on product I can get cheaper elsewhere or better quality/higher end at other stores.
Years ago I saw a coupon for a storewide discount at Macys and thought that an item I was wanting may be there. I found the long list of exclusions on the coupon excluded the item I wanted so I didn't bother going.
The focus on sales and deals and shit has been an attempt to compete with first Walmart and target, and then Amazon.
Used to be that department stores were where you went when you needed stuff. At one point, it was just where you went shopping for your general life. They tended to lower prices than boutiques through volume and you'd go to more specific, more expensive stores for more specific things.
Today, yeah. Why bother? You actually can find better clothes at Macy's and Penny's than Walmart, but you have to dig, and realize that the real Levi 501s are going to be $30 more than the modern Levi stretch fit trash. (And $30 less than buying them at the Levi store.)
Funny enough, this idea is a point I was thinking of but didn't post it. I realized that brand almost don't matter anymore.
The example I was thinking of was Banana Republic. At one time it was a higher end brand. It had modern styles with moderately high quality construction, but also came with a more premium price. Over time it started sharing lower quality fabrics and construction with lower end Gap and Old Navy diluting the Banana Republic brand. Then Outlet Malls happened and separate even lower quality lines were produced for Outlet Malls still bearing the Banana Republic name.
While I'm sure Banana Republic probably produces some higher quality items, I can't know by looking at the brand if I'm getting one of the good ones or one of the cheap crap ones. So I have to assume I'm getting the worst and would only pay appropriately for clothing with that brand on it.
Your example of Levi jeans is the same thing. Since the same brand is carried and multiple tiers of stores with widely varying quality and price, consumers can't differentiate and assume the worst.