Example data table
| Category | COGS | Beginning | Ending | Avg. Inventory | Turnover | Days on hand |
|---|---|---|---|---|---|---|
| Seeds & Bulbs | 90,000 | 22,000 | 18,000 | 20,000 | 4.50 | 81.1 |
| Fertilizers & Nutrients | 140,000 | 38,000 | 35,000 | 36,500 | 3.84 | 95.1 |
| Tools & Hardware | 55,000 | 30,000 | 33,000 | 31,500 | 1.75 | 208.6 |
Example values are illustrative. Use your own accounting period and valuation method consistently.
Formula used
How to use this calculator
- Pick the period (monthly, quarterly, half-year, or yearly).
- Enter your COGS for garden stock sold in that period.
- Enter beginning and ending inventory values, or your average.
- Optionally add shrink and holding cost percentages.
- Press Calculate to see turnover and days on hand.
- Use the export buttons to save results for reporting.
Seasonal demand mapping for garden stock
Garden inventory swings with weather, planting windows, and local holidays. Track turnover by category and period to separate true demand from one‑time spikes. For example, seed lines often surge before spring weekends, while irrigation parts rise during heat waves. Segmenting helps you avoid overbuying slow movers that tie up cash.
Using turnover to set reorder points
Turnover indicates how often inventory converts into sales during the chosen period. Combine it with supplier lead time to define reorder points. If your turnover is healthy and lead time is long, add safety stock to prevent stockouts. If turnover is moderate, reduce order quantities and review minimum packs.
Interpreting days on hand with perishables
Days on hand translates turnover into time. For fertilizers, pesticides, and certain amendments, longer holding periods may increase clumping, expiration risk, and storage losses. Compare days on hand against shelf guidance and seasonal sell‑through. When days on hand rises, prioritize promotions, bundles, or returns where possible.
Shrink and storage cost awareness
Shrink includes damage, theft, evaporation, and spoilage. Even a small percentage can distort profitability on bulky soil, fragile pots, and chemical treatments. Use the shrink input to keep planning realistic. Holding cost reflects space, handling labor, and working capital. Monitoring it encourages tighter assortment and better bin locations.
Action checklist for weekly reviews
Export results and review top categories weekly. Flag items with turnover below 2.0 for markdown, merchandising changes, or smaller replenishment cycles. Confirm fast movers have backup suppliers. Align purchases with forecasted rainfall and planting calendars. This routine improves cash flow and reduces end‑of‑season clearance pressure.
FAQs
1) What does inventory turnover mean for garden supplies?
It shows how many times your average inventory is sold and replaced in a period. Higher turnover usually means stronger sell‑through and less cash trapped in storage.
2) Should I use retail price or cost for inventory values?
Use cost consistently for COGS and inventory values. Mixing retail and cost inflates or deflates turnover and makes period comparisons unreliable.
3) What if I do not know beginning and ending inventory?
You can enter an average inventory value directly. If you have partial counts, estimate using recent purchase and sales records, then improve accuracy with regular cycle counts.
4) How often should I calculate turnover?
Monthly works for fast seasonal items, while quarterly is useful for stable categories. Calculate more frequently during peak spring and summer periods to react quickly.
5) Why is my turnover low even with steady sales?
Low turnover can happen when inventory is overstocked, assortment is too wide, or lead times trigger large orders. Reduce order quantities and clear aging stock.
6) Is a very high turnover always good?
Not always. Extremely high turnover can mean stockouts, missed sales, and stressed replenishment. Add safety stock for critical items and verify supplier reliability.