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Merchandising · Fashion · Home Improvement · Specialty

Markdown Cadence Reset

Style velocity below cluster. Proposes a shallower, earlier ladder.

Target KPI Full-margin sell-through
Executes in ≤ 24 hours
System of record Pricing engine · POS · PIM
Run this on your data → How the loop closes
Trigger condition

Season SKU velocity lags the cluster benchmark by 25% at week 4, and the current ladder ends in deep clearance.

Write-back

New markdown ladder written to the pricing engine; POS price-rule schedule updated.

Every write is gated on an approver role you name. Nothing runs unattended.

Procedure
  1. Forecast end-of-season sell-through under the current ladder.
  2. Model the alternative: 5% at W5, 15% at W8, 30% at W12, against status quo.
  3. Pick the ladder that maximizes margin-weighted sell-through.
  4. Open a case to the category merchant. Price-affecting writes are gated on approval.
  5. Push to the pricing engine, sync POS rules, close when the SKU clears at modeled margin or better.
Outcome metric

Margin-weighted sell-through vs. the status-quo ladder, net of the earlier markdowns.

The case closes on this number, not on the action being taken. A playbook without a close condition is a dashboard.

The rest of Merchandising

Promo Conflict Cancellation Cannibalization mid-promo. Models kill-or-narrow, ends the overlap. Net promo lift Assortment Rationalization Long-tail SKUs tying up capital. Ranks by GMROI, proposes cuts and adds. GMROI Price Elasticity Recalibration Elasticity drifted. Re-estimates and proposes moves that hold volume. Category margin New SKU Velocity Gate A new item is missing its launch curve. Flags it for cut or support. GMROI Cluster Reassortment Cluster mismatched to demand. Re-maps to its real velocity. Sell-through

All 43 playbooks →

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