A second markdown refers to a further reduction in the price of an item that has already been marked down once. This typically occurs when a product has not sold at its initial discounted price and the retailer decides to lower the price even further in order to entice customers to make a purchase. It is often seen as a last-ditch effort to clear out inventory and make room for new products. The second markdown can offer significant savings for savvy shoppers, but it also signals that the item may soon be discontinued or out of stock.