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How can I calculate sell through rate?

Asked a year ago

Hello. I am looking for new ways of managing the inventory of my e-commerce store, and I have heard that a good way to do this is by measuring the sell through rate because this helps to foresee demand. Anybody know how this metric is calculated? Thank you in advance for any responses!

Abeeha Qasmi

Wednesday, December 07, 2022

If you're selling a product and want to know how much profit you're making, you can calculate your sell-through rate. This rate is the percentage of units sold that result in revenue.

To calculate the sell-through rate, you'll need to know how many orders you received for a given product and how many units of that product were sold. Next, you'll divide the number of orders by the number of units sold and multiply it by 100 to get your sell-through rate.

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