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What is Inventory Turnover in Retail? (Formulas, Benchmarks, Examples)

Retalon

One of the key inventory metrics retailers track is inventory turnover. Inventory turnover measures how many times a company sells and replaces its inventory during a period. It indicates how efficiently inventory is managed and whether excess inventory is tying up too much capital.

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7 KPIs to Track & Harness Your Retail Store Performance

RETAIL MANAGEMENT SOFTWARE

For retailers in apparel, footwear, jewelry, sporting goods, specialty, home goods, and department stores, understanding performance at a granular level isnt just helpfulits essential. Home Goods Monitor sell-through and avoid dead stock. Sporting Goods Adjust inventory by season and event cycles.