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Find out what percentage of your received inventory actually sold in any given period.
Sell through rate
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What is
Sell through rate (STR) is a retail metric that measures what proportion of received inventory was sold during a specific time period, expressed as a percentage. It compares units sold against units received and is used to gauge how effectively a business is moving stock.
What you need to know about sell through rate:
Sell through rate is expressed as a percentage, where 100% means every unit received was sold during the measurement period.
A sell through rate between 80% and 100% is generally considered strong across most retail product categories.
Tracking sell through rate per SKU helps identify slow-moving products before they accumulate as dead stock.
How to calculate sell through rate
Sell-through rate (%) is calculated by dividing the number of units sold by the number of units received, then multiplying the result by 100.
Why is calculating sell through rate important?
Prevent overstock
When you track sell through rate regularly, you catch slow-moving inventory before carrying costs compound. This helps you order more precisely and avoid tying up capital in stock that isn't selling.
Improve purchasing decisions
A consistent record of sell through rates across SKUs gives buyers clear data on which products deserve larger orders and which should be scaled back or discontinued before the next buying cycle.
Spot demand shifts early
Sell through rate changes are often the first signal of a shift in customer demand. Monitoring the metric week over week or month over month lets you respond while there is still time to adjust inventory levels, run targeted promotions, or revise pricing.
Frequently asked questions
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