Sale rate measures what percentage of a retailer's product catalog is currently marked down or showing a compare-at price. A brand with 1,000 products and 200 on sale has a 20% sale rate. This metric reveals pricing discipline and promotional intensity.
Sale rate varies dramatically by category and brand strategy. Fast fashion brands might have 50-70% of products on sale continuously, while premium brands maintain 0-5% sale rates to protect brand positioning. Tracking sale rate over time reveals promotional calendars and strategic shifts.
High permanent sale rates often indicate that "original" prices are inflated anchors rather than actual selling prices. When 60% of products are always on sale, discounts are a marketing tactic rather than genuine promotions. This insight helps consumers and competitors understand true market positioning.