RetailEdge’s Turn Rate Report, will tell you how many times an item, department, class or vendor turned for a given time period.  This is a very common retail key performance indicator (KPI).

Inventory Turnover is different for different business types.  For instance Fast Fashion might turn their inventory 4-6 times per year.  But footwear might be 1-2 times per year.   RetailEdge’s Inventory Turn Rate report allows you to Filter and Group by different criteria to get this dialed in for your business.  It can be a very long detailed report with lots of information for your entire inventory, or it can be filtered and certain information excluded to give you a concise summary.

Turn Rate Report Contents #

RetailEdge’s Turn Rate report will show you:

• Beginning on hand Quantity and Cost,
• Received Quantity,
• Sales Cost,
• Other Inventory Adjustment Costs (physical inventory adjustments or direct quantity adjustments)
• Ending On Hand,
• Average Inventory and
• Turnover

Helpful Report Options #

Here are some of the important options to help you prepare your Turn Rate report to give you exactly what you need.

This report uses the inventory items as the basis for the report.  So, if you have a large number of items in your inventory, this report will be very long.  Here are some good ways to filter out what you might not want.

Excluding Zero Sales Grouping #

This will remove any items that have not sold for the period.  Essentially removing items that might be older that are still in your inventory.

Excluding Zero Receiving #

If an item has not been received for the period you are looking for.  If you are running a report for a longer period of time (i.e., one year), then removing items that have not been received might remove items weren’t received for the period, allowing you to further filter out older items.

Date Range #

Setting a Date Range is required.  This will be applied to both receiving and sales.

Sales Date Range and Receiving Date Ranges #

You can also specify a different sales date range from the receiving date range to give you a better idea of how inventory is selling.  For instance, you might want to see items that sold in Q2 but received in Q1.

N/A Showing on the Report. #

N/A turnover means you had $0 average inventory for the period.  How can you sell something with no inventory?  This is where adjusting the sales and receiving date ranges might help you determine what is happening in your store.

Memorize the Report Options #

Run the report a few times until you understand what the inventory numbers mean, then memorize the report so you can quickly pull up the report with the correct filters and groups next time.