What do sell-in and sell-out mean?

Sell-in is the stock a retailer buys from a supplier. Sell-out is what the end customer buys. The gap shows how much stock is still sitting in the business: buy 100 garments, sell 60, and sell-through is 60% with 40 units of capital on the shelf. It only becomes useful read variant by variant.

Two numbers, one gap. Sell-in is what you committed to when you signed the order. Sell-out is what the customer agreed with. The distance between them is your money, sitting on a shelf, in specific sizes and colors.

Sell-in: what comes in from the supplier

Sell-in is measured at purchase: units and cost value of what you bought, whether that was a season order placed nine months ahead or an in-season reorder. For a brand selling wholesale it is revenue. For the shop buying, it is capital committed before a single customer has seen the garment.

Sell-out: what leaves the till

Sell-out is units and retail value sold to end customers, across every channel: the shop, your own online store, and each marketplace. Sell-through is the ratio of the two, usually written as a percentage of the units bought.

Bought (sell-in) Sold (sell-out) Sell-through Left
Style A 100 85 85% 15
Style B 100 60 60% 40
Style C 100 25 25% 75

Style A is a reorder candidate. Style C is the one that will be marked down, and the earlier you see it the smaller the markdown needs to be.

Why the gap has to be read per variant

A style at 60% sell-through can be two very different situations. Sold out in M and L with S and XL untouched is a sizing problem, and the fix is next season's curve. Selling evenly across sizes but only in black is a color problem, and the fix is the color range. Style-level reporting averages both away and tells you neither.

Timing matters as much as the split. The same 60% is healthy in week four and a warning in week twelve, because what is left has fewer full-price weeks to sell in.

How Agilo handles it

Agilo records sell-in at variant level when a load is closed, with the quantities and costs its AI pulled out of the supplier's documents. The Sell-In report then breaks purchases down by brand, season, category and variant, so the gap you are reading is the gap on a specific size and color rather than an average across the style. Stock stays in step with connected channels, so sell-out is counted wherever the sale happened.

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