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Our Thought Provoking Insights

Arcadia Group optimises Markdowns with Thought Provoking Consulting

British Retail Group, Arcadia, invests in data science based Markdown Insight tool to improve operational effectiveness.

The sight of unsold goods at the end of a season can leave any retailer facing key challenges of clogged up space, unhappy customers, slowing sales and lost margin.

Marking down a product’s price can help alleviate these problems, but it can bring about its own set of challenges, especially if Merchants are working with rigid software that is not user friendly, has a black box of science that is difficult to understand and is expensive to update.

The Arcadia business with its portfolio of 8 brands experienced such challenges and has enlisted the help of TPC to find a more effective solution to optimise markdown events by using TPC’s proprietary tools and science engine.

As an integral part of TPC’s Smart Retailing offering, the TPC Markdown solution uses data science and product history to make the best markdown price recommendation at any point in time.  This is presented through a user interface that is familiar and easy to use for merchandisers.

Having successfully trialled TPC’s Markdown solution during 2017 in the Topshop and Dorothy Perkins brands, Arcadia have decided to deploy the solution to all brands.  Improved markdown decisions have led to sales and profit improvements which exceeded benefit targets by over 200% whilst clearing through stock to reduce end of season holdings.  The entire project has been benefits led from the start.

Subir Gupta, TPC Co-Founder and Managing Principal said, “Fashion retail is an increasingly challenging sector with ever increasing competitive pressures.  Now, more than ever, it is vitally important to maximise the profit made on every item sold. We are delighted to be partnering with Arcadia to bring our unique, simple to use, data science based tools to mainstream Merchandising with great results.”

About Arcadia

The Arcadia business employs over 24,000 staff, has an annual turnover in excess of £2bn and has some of the most iconic names on the British high street – Burton Menswear, Dorothy Perkins, Evans, Miss Selfridge, Outfit, Topman, Topshop and Wallis.  For more information please visit

About TPC

Based in the UK and US, Thought Provoking Consulting (TPC) is a specialist retail consultancy, providing retailers with the necessary tools, processes and expertise to improve their performance and realise their strategic vision. TPC provides a range of services and solutions in Pricing, Merchandise Planning, PLM (including 3D), Programs of Change, Supply Chain and Change Management. We aim to make complex challenges simpler through experience and pragmatism, while always being thought provoking. Read more here.



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