Not every brand available is remembered and recalled by the consumer .Not every recalled brand is recalled in favorable light. Hence, even for the brands that are thus evoked, there is a sense and perception of liking and not liking these brands.
Clearance sales by marketer are usually end of the season sales known by EOSS and they are designed to sponge off maximum attention from the consumers and offload maximum stock in the market. Hence, the discounts are delicious and there is often bundling and offers made available on the same. Sometimes, it is observed that brands that are not really top of the mind for consumer get bought by him or her, because of the sales that were on.
Nocke and Peitz (2007) have differentiated between three kinds of profiles in line with selling policies of a firm. In uniform pricing, the seller will set the price such that all items are sold at the same price. In two different demand periods, the price remains the same. In introductory offers, the seller sets the lower price in the initial demand periods, and then the price is raised for the subsequent demand period. Here again the assumption is that some units will be sold in each demand …show more content…
Any mistakes made in the predictions would translate to overstocking resulting into Clearance sales, and there can be stock out and lost sales to. This prediction error and the bid to offsets it is the cause of higher mark-up prices for fashion products, among other contributing factors.
Robinson and bailey (1994) studied discount retailing from a British perspective. Discount retailing has become popular owning to the fallout of recession, and it has taken the shape of American style warehouse clubs. The authors have suggested that in UK, the retailing of this kind is marked by core discounting, as well as clearance outlets. The other markers are high degree of planned purchasing, effective use of information technology and relationship building with manufacturers, ensuring service and image building for attracting and retaining