Term

Turnover

shows how many days a product 'sits' in the warehouse at current demand.

Formula

Days of Stock = Inventory / Daily Sales

the speed of converting inventory into sales; most often calculated in “days of stock”.

Details

Poor turnover ties up capital, increases the risks of markdowns, and storage costs. Too fast — raises the risk of OOS (if deliveries are not perfect).

Find out how Gatok can help you

Get access to AI analytics and start managing sales based on accurate data, not intuition.