Clearance Section

Clearance at H&M will likely be in a separate area of the store, but even if it's in the full-priced section,  the racks will be clearly marked. The store's goal is to move this merchandise out, so they want it to be very visible. 

Remember, the merchandise on Clearance will factor into your estimation of the amount of inventory on promotion for each category.

Clearance is a very prominent type of promotion at H&M, so it's highly likely there will be Clearance at every store and every visit. Sometimes it'll be a couple of racks and other times there will be a lot of it, especially during the end-of-season sales, so it is important to prepare to strategically collect the appropriate metrics.

H&M usually refers to their Clearance inventory as "Sale", sometimes they'll switch up the verbiage on their promotional signs, but the rule of thumb is, any items marked with a red tag, red sticker, or red sign are items on Clearance.

Examples of Clearance sections

Examples of Clearance tags 

The next steps will prepare you for how to collect Clearance details and manage what can be a messy part of the store.

For Clearance, you'll collect the following metrics, which we will discuss more in the upcoming steps: 

1. Min / Max / Mode Starting Prices by Category 
2. % of Category in Clearance Section by Category 
3. Linear Feet by Category

One great thing about H&M Clearance, is they often do a good job of organizing racks by category - which will aid in the data collection process!

Below is an example of what the Clearance racks may look like. The rack is quite organized with the majority of the rack holding Women's Dresses. We'd record the linear feet, starting prices, and the % of category on clearance. 

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