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Markdown optimisation · capability

Clear the overhang, keep the margin.

Markdowns timed and sized to plan — clear ageing stock without giving away margin you didn't need to.

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Planning·Markdown · SS26Last sync · just now

Clear terminal stock at the shallowest depth

Depth sized per SKU from measured elasticity, floored at margin, proven against a held-out control.

Markdown · SS26 · wk 14 of 26
78%+6 pts vs FW25
$16.0MMD $
17%MD % sales
8.4%Overhang
96%Cleared
Measured, floored, proven
+$640k
vs flat −30%
−35%
deepest step
96%
cleared by EOL
+19%
avg lift vs control
Overhang · action this week
42 SKUs ›
Bramble Pleated · high · −35%wk22clear
Yarrow Wide-Leg · low · holddefendhold
The numbers behind it

Why markdown discipline is the fastest margin lever.

14 pts

Full-price sell-through gap between retail leaders and the industry — driven by how markdowns are timed.

Source: Incisiv × WRC × Anaplan 2026

~53%

Share of unplanned markdown cost attributed to upstream buying and forecasting decisions.

Source: Coresight industry research

+23%

Face the Future's full-price sell-through gain after markdowns timed and sized to plan.

Source: Audited customer outcome

The problem today

What breaks before markdown optimisation runs to plan.

Planning·Markdown · Exposure
Overhang uncleared
8.4%
past exit date
First MD week
wk 9
reactive, calendar
Full-price sell-thru
72%
leaves 28% to clear
Below margin floor
11 SKUs
cut past the floor
MD overspend
$2.4M
depth not needed
Depth taken vs depth needed
one flat depth for all
10%20%30%40%flat −25% applied to all−8%Lowover-discounted−20%Moderateover-discounted−35%Highunder-discounted−15%Inconsistentover-discounted
Most exposed
overhang
Bramble Pleated · Cream
cover 22wk past EOL
$190k
Fern Midi · Black
floor breached −8pts
$84k
Ivy Rib · Ecru
marked −30% · needed −8%
$61k
Sorrel Tee · Sage
Still Learning
$47k
Overhang carried at unit cost
$3.1M
terminal stock still on the books past its exit date
Diagnosis — flat category markdowns over-discount heroes and under-clear bleeders, none measured against controlSource: Coresight markdown attribution 2024 · Incisiv × WRC × Anaplan benchmark
How Tightly does it

Three steps from bleeders to a markdown measured against control.

Tightly · Markdown live· three stages from data to decisionLive
01Flag
WEEKS OF COVER · TO EXIT DATEexit dateoverhang

Overhang, flagged against the exit date

Tightly projects weeks of cover to the exit date for every ageing and end-of-life SKU. The moment cover tips past that date, the SKU turns amber — flagged as overhang while there is still time to clear it shallow.

cover vs exit date
02Size
DEPTH PER SKU · FLOORED AT MARGINmargin floorBramble Pleated−35%Wren Knit−20%Fern Midi−20%Yarrow Wide-Leghold

Depth sized per SKU, floored at margin

Each SKU's depth is sized from its own measured elasticity — the shallowest step that still clears by the exit date, never one ladder across the catalogue — and hard-floored so no cut breaches the margin floor.

depth · margin floor
03Prove
SELL-THROUGH · TREATED VS CONTROL+31% lifttreatedcontrol

Lift proven against a held-out control

A slice of stock is held back as a control. Tightly reads treated sell-through against the control, so the lift you see is the lift the markdown actually caused — not a number assumed.

lift vs control · live
See it run

Markdown that protects the season.

Markdowns timed and sized to plan — clear ageing stock without giving away margin you didn't need to.

Planning·Markdown · Ladder · SS26Live · SS26 · wk 14 of 26
Overhang
8.4%
$3.1M at unit cost
Markdown $
$16.0M
17% of sales
Margin saved
+$640k
vs flat −30%
Avg lift vs control
+19%
held-out, audited
SKUs at floor
6
held · approval routed
Markdown ladder · by SKU
Stage 3 proposals
SKUTierCover past EOLLadderFloorFcst FP%Lift vs ctrl
Bramble Pleated · CreamHigh · HIGH+22 wk−15 → −25 → −35%41%61%+31%
Wren Knit · NavyModerate · MED+9 wk−10 → −20%48%74%+12%
Fern Midi · BlackModerate · MED+6 wk−20%45%69%+9%
Yarrow Wide-Leg · BlackLow · HIGH+1 wkhold55%88%—
Sorrel Tee · SageLearning · LOW+4 wk−15%50%63%learning
Proven before it applies — every proposal shows depth, margin impact, measured liftFloor breaches route to approval, logged+$640k margin saved
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Why teams change

What changes once markdowns protect the season.

Markdown when, not just markdown how much

Timing matters more than depth. Tightly proposes the take-down window per SKU based on cover, sell-through curve and projected residual value.

Models the cannibalisation

A markdown on one variant rarely sits in isolation; the engine accounts for the lift and pull-forward on sibling sizes and colours.

Stops the over-correction

The 25% markdown that kills the rest of the season is caught before it lands. Conservative bias when uncertainty is high — and a human in the loop on the biggest cuts.

Closes the gap to full-price sell-through

Tightly customers see the share of sales taken at full price climb materially against their pre-Tightly baseline.

Your agents

Meet your Markdown agent

Flags lines pacing behind plan and proposes the markdown that clears them while protecting your margin floor.

Meet the agents
Tightly agent
just now · within your limits
Live

Re-forecast ready — 3 categories have drifted from plan this week. Want me to stage the moves for your review?

Drifted vs plan · this weekΔ wmape
Tailored Trousers+9%8%
Woolly Layers−12%11%
Activewear+5%9%
Rebalance 240u DC → SFRe-baseline OTB Q3Hold buy on OCN-072
Stage movesReview firstLogged · audit ready
Customer outcome
“We used to mark everything down 30% on the same Monday in October. Now the bleeders go deeper, the heroes hold price, and we end the season with margin we used to leave on the table.”
Face the Future
Mark Till
MD, Face the Future
+23%

Full-price sell-through (audited)

What this replaces

The markdowns you take today, and the ones Tightly delivers.

Markdown calendar · ERP price file
MARKDOWN BY CLASS · CALENDARfires by date
ClassDepthWhenWide-Leg Pants−25%wk 9Knitwear−25%wk 9Dresses−25%wk 9
same depth across the categorytiming by traditionclear by date, not covermargin floor a guidelineno control — lift assumed
One depth per class on a calendar date, keyed into the ERP price file. Nothing measures cover to the exit date or how each SKU responds — so heroes get over-discounted and bleeders never clear.
Tightly · Markdown · live
DEPTH · PER SKU · SIZED TO CLEARproven vs control
SKUDepthCoverLiftBramble−35%+22w+31%Wren−20%+9w+12%Yarrowhold+1w—
depth per SKU × channelmeasured elasticitytimed to exit-date covermargin floor a hard guardrailheld-out control proves lift
Depth is sized per SKU from measured elasticity to the shallowest step that still clears by the exit date — floored at margin as a hard guardrail, and every point of lift proven against a held-out control.
Pairs with

Markdown is one part of the connected plan.

Dynamic pricing

Pricing

Defend full-price first; markdown is the last lever. Shared elasticity model.

Predicted FP88% sell-thru
See the capability
In-season management

In-season management

Capital quadrant bleeders feed straight to markdown proposals.

Re-forecastlive · daily
See the capability
Demand forecasting

Demand forecasting

Forecast quality per category tells you which lines are at markdown risk.

Forecast accuracy87.1% WMAPE
See the capability
FAQ

Questions buyers ask, answered straight.

Something not covered here? Talk to the team.

Does it handle multi-step markdown ladders?

Yes. Ladders can be 1-step (single depth) or multi-step (e.g. −15% → −25% → −35%). Trigger conditions are configurable per category.

What about cannibalisation between SKUs in markdown?

Modelled. A markdown on one SKU can shift demand from a similar SKU at full price; the recommendation accounts for the cross-elasticity.

How does it decide which SKUs go deeper?

Capital quadrant (sell-through × cover × margin) + EOL distance + elasticity. Bleeders go deep; slow movers get a softer push; hero SKUs hold.

Can we lock specific SKUs out of markdown?

Yes. SKUs or categories can be policy-locked (e.g. continuity styles, ICON product). The recommendation won't propose markdown on locked lines.

Clear the overhang. Without giving away the margin you didn't need to.

There's nothing to rip out. Tightly runs on your existing ERP, EDI, e-commerce and POS. Give us 30 minutes and we'll show it on your own categories.

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