Inventory Turnover › Sell-Through Rate
Sell-Through Rate: Formula and Weekly Benchmarks 2026
Sell-through is the percentage of an inventory receipt that has sold within a measurement window. It is the operating-floor KPI buyers and merchandisers track weekly to decide when to reorder, when to markdown, and when to drop a SKU from next-season planning.
Formula
Sell-through % = (Units Sold ÷ Units Received) × 100
Units sold and units received are measured over the same window. Window length depends on category:
- Apparel: weekly sell-through against initial receipt, plus cumulative since receipt date.
- Grocery fresh: daily, against the perishable window (expiry minus shelf life).
- Electronics: window aligned to product life-cycle (3-6 months for promotional SKUs).
Sector benchmark table
| Sector | Weekly target | End-of-cycle target | Note |
|---|---|---|---|
| Apparel (specialty) | 8-12% | 60-80% | 12-16 week season; below 8% triggers markdown review by week 4. |
| Fast fashion | 15-25% | 85-95% | 4-6 week SKU life; rapid pull-forward. |
| Footwear | 6-10% | 55-75% | Size matrix means some sizes outsell others; track at SKU not style level. |
| Beauty / cosmetics | 10-15% | 70-90% | Seasonal launches; gift sets at holiday. |
| Toys (holiday) | 5-25% | 90-95% | Skewed: 60%+ of season sells November to mid-December. |
| Grocery (fresh produce) | 70-90% | 70-85% | Daily and weekly cycle; pre-expiry sell-through is the KPI. |
| Electronics promotional | 20-30% | 95%+ | Promo windows are short; clear stock before next price drop. |
Industry reference: NRF research library and operator presentations.
Worked example: apparel buyer, week 4
A spring dress style was bought in 1,200 units (300 per store, 4 stores). After 4 weeks:
- Units sold = 192
- Sell-through = 192 / 1200 = 16%
- Weekly rate = 16% / 4 = 4% / week
Against the 8-12% weekly target, this style is tracking below plan. Buyer decisions at week 4:
- Cancel any open inbound replenishment orders.
- Trigger a soft markdown of 15-20% at week 6 if sell-through remains under 35%.
- Reduce store-level facings; redeploy floor space to a higher-velocity style.
- Flag the style as a no-buy for next season planning.