German department stores flirt with outlets.

As the U.S. Saks Off 5th launches in Germany and the Netherlands, Karstadt department stores will also test sales space for low prices this year, in partnership with online pure-players. “The department store is the onlyphysical marketplace,” said Stefan Fanderl, Karstadt’s C.E.O. “We can display an array of digital and physical brands within our stores.” To lure Millennials, Macy’s follows a similar strategy in the U.S., rolling out its “Macy’s Backstage” format within its stores (1