Inventory Planning: Buy Small, Reorder by Sell-Through

Short answer: plan apparel inventory by buying small on unproven styles, then reordering based on real sell-through data. Order the minimum viable first run, track sales by size and colour every week, set a reorder trigger (for example, sell 60% of stock in half the expected selling window), and reserve your budget for reorders of winners rather than larger first orders. Overbuying kills more brands than underbuying.

Inventory is where a good product can still lose money. This guide covers how to plan it without tying up cash in stock you cannot sell.

Why Overbuying Is the Most Common Failure

New brands order generously to get a lower unit price and "have enough" — then sit on unsold stock. The problems compound:

A 15–40% higher unit cost on a small run is almost always cheaper than a warehouse full of unsold goods.

Step 1: Order the Minimum Viable First Run

For a new style, order the smallest quantity that gives you a real read:

This lets you learn whether the style sells before committing real money.

Step 2: Track Sell-Through Weekly

Sell-through is the percentage of stock sold in a period. Track it by SKU — size and colour — not just overall:

A style that sells 40% in week one is performing very differently from one that sells 40% in month two.

Step 3: Set a Reorder Trigger

Define, in advance, when you will reorder:

Writing the trigger down prevents panic-buying and hesitation in equal measure.

Step 4: Size and Colour the Reorder to Data

Reorder what actually sold, not what you thought would sell:

Most brands discover their size curve is not what they assumed. Data corrects the assumption.

Step 5: Protectorate Against Lead Time

Your reorder must arrive before you sell out:

A manufacturer with in-house knitting and finishing shortens reorder lead time — a real inventory advantage.

The Inventory Budget Split

A healthy approach allocates budget as:

New brands often spend 100% on first orders and have nothing left to reorder a winner — the single most expensive planning mistake.

Key Metrics to Watch

When to Discount, and When Not To

Conclusion

Inventory planning is about buying small and reordering smart. Order the minimum viable first run, track sell-through weekly by SKU, set reorder triggers in advance, and reserve budget for winners. The margin you protect by not overbuying is often larger than any discount a bigger first order could earn.

Key Takeaways for Buyers

What we would do in your position

Start with one fabric across two or three styles. It halves your development cost, gets you over mill minimums and stops you overcommitting to a single style before you know what actually sells. Widen the range once the first drop has told you something.