Payless Opened a Fake Luxury Store, Palessi, to See How Much People Would Pay for $20 Shoes

If you serve fast food on white tablecloths in a tony-looking restaurant, people sometimes think it’s haute cuisine. (At the very least, it tastes a lot different than it does when you're scarfing it down from a drive-thru bag). It turns out you can do the same for bargain kicks by showcasing the footwear against the kind of chic backdrop usually reserved for luxury labels like Jimmy Choo and getting people to pay outrageous markups. That’s what Payless did recently in Santa Monica, taking over a former Armani store and stocking it with $19.99 pumps and $39.99 boots. The chain, via agency DCX Growth Accelerator, invited groups of influencers to the grand opening of “Palessi” and asked their opinions on the “designer” wares. Party goers, having no idea they were looking at discount staples from the mall scene, said they’d pay hundreds of dollars for the stylish shoes, praising the look, materials and workmanship. Top offer: $640, which translates to an 1,800 percent markup, and Palessi sold about $3,000 worth of product in the first few hours of the stunt. [kickout id="1"] Payless, or Palessi, did ring up those purchases but didn’t keep the money. Influencers got their cash back, along with free shoes. Their reactions caught in the short- and longer-form ads—those shocked “gotcha” moments—are fairly priceless. The retailer “wanted to push the social experiment genre to new extremes, while simultaneously using it to make a cultural statement,” said Doug Cameron, DCX Growth Accelerator’s chief creative officer. “Payless customers share a pragmatist point of view, and we thought it would be provocative to use this ideology to challenge today’s image-conscious fashion influencer culture.” Payless CMO Sarah Couch says the chain aimed to tackle the brand’s perception issues head-on at a time when retailers are feeling more heat than ever from giant ecommerce sites. “The campaign plays off of the enormous discrepancy and aims to remind consumers we are still a relevant place to shop for affordable fashion,” Couch says. UPDATE: Want to know about how this stunt came about? Check out our new Q&A with Payless marketing vp Lisa Contino and Doug Cameron, chief creative officer at DCX. Ads will run on cable TV networks like Bravo, Lifetime, TBS, Telemundo and USA and on social channels like YouTube, Facebook and Instagram through the holidays. [kickout id="2"] [kickout id="3"] CREDITS: Agency: DCX Growth AcceleratorConcept: Doug Cameron and Tommy NoonanCCO/CW: Doug CameronECD/Art Director: Tommy NoonanCD: Mauricio AlarconAccount Director: Patrick McCormick Client: PaylessCMO: Sara CouchBrand Manager: Lisa ContinoCreative Director: Jeff VandevenCreative Services Manager: Cheri BernandInternational Marketing Director: Bernardo MezaVP Marketing: Dominic Bonadio Production Company: DCX Cultural StudiosDirector/Executive Producer: David LoganAssistant Directors: Doug Cameron, Tommy NoonanLine Producer: Kelly ScottProduction Manager: Jerry terHorstProduction Coordinator: Jonathan D. OrtizProduction Designer: Ricardo JattanDirector of Photography: Shane CollinsCamera Operator: Andrew Sanchez1st AD: Cody Boessen Editorial: Beast Editorial NYCSr Editor: Brian SanfordExecutive Producer: Melissa LubinPost Producer: Michael BeltrameAsst Editor: Joseph D’AmatoAfter Effects: Christian MattsColorist: Lez Rudge w/ ChimneyAudio Mix: Peter Holcomb w/ Sound LoungeOnline Conform: Scott Bravo w/ Beast