Sarah Mitchell
08/20/2026
5 min read
Most shoppers head straight for the front of the store, drawn in by whatever's on the featured display or the week's circular. The clearance section — tucked near the back, piled on rolling racks, or hidden in a corner that doesn't photograph well for Instagram — gets ignored by the majority of people pushing carts past it. That's exactly why it rewards the ones who do stop.
Retailers use clearance sections to move inventory that's been sitting too long, discontinued, or simply overordered. The markdowns can be significant, and because these items aren't advertised, there's far less competition for them. Knowing how to work these sections — in stores like Target, Walmart, HomeGoods, and Nordstrom Rack — turns what most people treat as an afterthought into a reliable source of real savings.
This is the move most shoppers skip. Walking through clearance first, before you've seen anything at full price, resets your reference point in a useful way. You'll know what's available at a discount before you commit mentally to anything at regular price. If you find what you need — or something close enough — in clearance, you can skip the main floor entirely. Starting at the back of the store and working forward is a simple habit that consistently pays off.
Many retailers use colored price tags to signal how long an item has been in clearance. At Target, for example, clearance tags cycle through a markdown schedule tied to specific colors. Once you know the pattern for a store you visit regularly, you can tell whether an item just hit clearance or has already been marked down multiple times. Items that have gone through several rounds of markdowns are often priced at a fraction of their original value. A quick search for the store's markdown color system usually turns up the schedule.
It happens more often than retailers would like. A full-price item gets placed on a clearance rack in error, and because the store is busy, it stays there. If you find something with a regular price tag hanging on a clearance fixture, bring it to a register or a price check scanner. In many cases, the clearance location is enough to trigger a clearance price, especially if staff placed it there. It's worth a few seconds to verify rather than assume.
Retailer apps from stores like Walmart, Target, and HomeGoods let you scan barcodes in-store to see the current system price, any digital coupons that apply, and whether the item is lower at another nearby location. A clearance tag on the shelf reflects what's printed, but the app sometimes shows an even lower price that hasn't been relabeled yet. Scanning before you toss something in your cart takes five seconds and occasionally turns a good deal into a great one.
Clearance sections get restocked and repriced on specific days, and the best selection shows up before other shoppers have a chance to pick through it. Most retailers run markdowns on a weekly cycle, often mid-week. Shopping on a Tuesday or Wednesday morning, rather than Saturday afternoon, gives you first access to freshly marked-down items. The clearance section on a weekend looks picked over for a reason — the good stuff moved earlier in the week.
Clearance merchandise sometimes carries a small imperfection: a missing button, a slight scuff, a bent corner on packaging. These flaws are often why the item got pulled from the main floor, and they can drop the price dramatically. A missing button on a jacket from Banana Republic Republic costs you nothing if you have a basic sewing kit at home. A dented box on a small appliance usually means the product inside is perfectly functional. Evaluate the actual item, not just the packaging condition.
Clearance discounts don't cancel out cashback opportunities — they stack. Apps like Rakuten or Ibotta sometimes offer cashback on specific product categories that include clearance items. If you're shopping in-store, checking your cashback app before checkout adds another layer of savings on top of an already reduced price. It only takes a moment to open the app and verify whether your purchase qualifies. Combining a clearance price with even a small cashback return makes the final cost lower than most people bother to calculate.
Walking through clearance without any direction tends to produce impulse buys — things that were cheap but not needed. Before your next shopping trip, spend two minutes writing down items you genuinely need or plan to buy in the next few months. Clearance shopping with that list in hand turns browsing into productive deal-hunting. You're not looking for anything interesting; you're looking for specific things at better prices. That distinction keeps your cart — and your spending — under control.
The unadvertised clearance section isn't a secret, but it operates like one for most shoppers who don't take the time to understand how it works. A few consistent habits — going early in the week, learning the markup system, scanning with an app, checking your cashback options — turn an overlooked corner of the store into one of the most reliable places to find genuine value. Start with one store you visit regularly and work the clearance section intentionally on your next trip. You'll be surprised what's been sitting there waiting.