Discontinued Products Optimization

A retailer replaced store-by-store liquidation decisions with a recommendation-led process for discontinued products. NTT DATA analysed product and campaign data, designed campaign rules, and implemented automated suggestions, alerts and dashboards to support more consistent clearance decisions across stores.
Retail employee updates shelf labels in a busy home-goods store as shoppers move through the aisle.
Campaign sales
Increased during liquidation campaigns
Stock-out losses
Reduced for discontinued items
Decision agility
Faster, more consistent store decisions
Campaign visibility
Improved across-store coordination
Customers browse an organized home-goods display while an employee tidies the remaining stock.
From markdown guesswork to a liquidation recommendation engine
Liquidation decisions varied from store to store, while discontinuation patterns and campaign performance were not consistently visible.
Objectives
Reduce losses on discontinued products and improve liquidation campaign performance through faster, more consistent and better-informed decisions across stores.
Opportunity
Use discontinuation and campaign data to guide automated, store-level liquidation actions and create a stronger basis for future campaign decisions.
When every store decides differently

The retailer needed to turn fragmented markdown decisions into a repeatable, data-informed process without losing the ability to act at store level.

Key Challenges
Retail planner scans grouped household products beside an inventory sheet in a store stockroom.
1: Unanalysed discontinuation patterns
Product discontinuation data and liquidation outcomes were not being systematically analysed.
Store operations lead checks campaign rules against a clearance endcap with red shelf tags.
2: Inconsistent markdown decisions
Liquidation decisions varied from one store to another.
Retail associate uses a handheld inventory device while repositioning a product on the shelf.
3: Limited campaign visibility
Teams had limited visibility of campaign performance and store-level activity.
Two store managers coordinate campaign layouts on a planning board beside active replenishment.
4: Coordinated action at scale
The initiative required recommendations, alerts and workflows that stores could apply consistently.
Solution
A recommendation engine for store-level liquidation decisions

NTT DATA combined discontinued-product analysis, campaign rules, automated guidance and shared visibility to make liquidation a managed process rather than a store-by-store judgement call.

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Data and outcome analysis

Analysed discontinued-product data and prior liquidation outcomes to establish the evidence base for campaign recommendations.

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Recommendation rules

Designed the rules and decision logic used to recommend appropriate liquidation actions for campaigns.

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Automated guidance and alerts

Implemented automated suggestions, alerts and decision-support features so stores could respond more quickly and consistently.

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Campaign dashboards and workflows

Enhanced dashboards and campaign workflows to improve visibility and coordination across stores.

Impact
From judgement calls to managed liquidation

The retailer reports increased sales during liquidation campaigns, reduced stock-out losses for discontinued items, more agile and consistent decisions across stores, and improved campaign visibility and coordination. The source does not quantify these outcomes, so the claims should remain qualitative until approved measurements are supplied.

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