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Four Out of Five Coach Bags Are Purchased at Coach Outlets

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Coach's North American sales are down and analysts are questioning whether the brand's high-fashion makeover is working. On top of that, the New York Post brings up a point that's been a huge problem for Coach: customers continue to buy at the retailer's outlet stores instead of paying full-price for handbags. Of Coach's 478 stores, 201 are in outlet centers.

According to one analyst, it's the outlet stores that are really driving customer traffic and sales. "We estimate that four out of five handbags sold by Coach are coming out of the factory stores," Wells Fargo analyst Paul Lejuez told the New York Post.