Seasonal Pricing Calculator
When to start marking down — the cost of waiting vs discounting now
The Best Time to Mark Down Was 2 Weeks Ago
"The best time to mark down seasonal inventory was 2 weeks ago. The second best time is now." Every retailer who has sat on end-of-season stock knows the sinking feeling of watching demand evaporate while storage costs pile up.
The math is brutally simple: every week you wait, demand drops AND holding costs increase. It's a double penalty that accelerates as the season ends.
Seasonal Markdown Timing by Product Type
| Product Type | Peak Season | Start Markdowns | Final Clearance |
|---|---|---|---|
| Swimwear | Jun–Jul | Late July | August |
| Winter Coats | Nov–Jan | February | March |
| Holiday Decor | Nov–Dec 25 | December 26 | January |
| Outdoor/Garden | Apr–Jul | August | September |
| Back-to-School | Jul–Aug | September | October |
| Valentine's Gifts | Jan–Feb 14 | February 15 | March |
The Holding Cost Illusion
Many retailers think "I'll just hold it until next season." But the real cost of holding includes:
Storage & warehouse fees — physical space costs money every week. Opportunity cost — that shelf space could display next season's inventory. Depreciation — fashion and trends move on; last year's styles sell for less. Capital tied up — cash locked in unsold inventory can't be reinvested.
The 30% Rule of Thumb
If you'll have more than 30% of inventory left at season end, start discounting NOW. A 20% discount that moves product is almost always better than holding at full price and writing off 40-60% of your stock at the end. The calculator above models exactly this trade-off.
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