Reorder point
The stock level at which you should place a replenishment order so you don't run out before it arrives.
The reorder point (ROP) is the trigger level for restocking. The classic formula is: reorder point = (average daily usage x lead time in days) + safety stock. When on-hand stock falls to the ROP, it's time to buy.
Skuwell calculates reorder points per SKU using live sales velocity, supplier lead time, and your chosen safety stock, then surfaces them as replenishment recommendations -- so reordering is a decision you confirm, not a threshold you watch by hand. You can also try the math yourself with our reorder point calculator.
Keep going.
Buffer inventory held to absorb variability in demand and supply so normal swings don't cause a stockout.
Read definition → Lead timeThe elapsed time between placing a purchase order and having the stock available to sell.
Read definition → Demand forecastingPredicting future sales for each SKU so you can buy the right quantity at the right time.
Read definition → StockoutRunning out of a sellable item, causing lost sales and -- on marketplaces -- ranking and account damage.
Read definition →Reorder point, answered.
What is the reorder point formula?
Reorder point = (average daily sales x lead time in days) + safety stock. The first term covers expected demand during the wait for stock; safety stock covers the variability.
How is reorder point different from safety stock?
Safety stock is the buffer you hold against uncertainty. The reorder point is the total trigger level that includes that buffer plus expected demand over the lead time.
See it working on a live system.
A 30-minute walkthrough tailored to your channels and your warehouse — no slide decks.
Get a demoFounder-led · live system · no commitment