Retailers use data rather than "gut instinct" to manage their inventory levels. An OTB plan typically factors in: The projected revenue for the period. Current Inventory: The physical stock already on hand. Projected Markdowns: Discounts expected during the period.
The target stock level for the end of the period. Why Retailers Use It open to buy definition
Plans can be broken down by entire store, specific seasons, departments, or even individual vendors. The Core Formula Retailers use data rather than "gut instinct" to