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FormulasBuyerInventory

Buy Quantity Formula

How apparel buyers calculate the unit buy — with forecast, target EOP, BOP carry, and expected markdown baked in.

What Buy Quantity measures

Buy quantity is the number of units a buyer commits to a style given the sales forecast, target EOP position, starting BOP, and expected markdown drag.

Buy Quantity (Units)
Buy Units = (Sales Forecast Units + EOP Target − BOP) ÷ (1 − Expected Markdown %)

Unlike OTB (which is in dollars at retail), buy quantity is the unit decision a buyer actually makes against a vendor PO.

Worked apparel example

A style: 3,000-unit sales forecast, 500-unit target EOP, 400 BOP carry, 12% expected markdown.

Buy Units = (3,000 + 500 − 400) ÷ (1 − 0.12) = 3,525 units

The markdown gross-up accounts for units that will be sold below full price but still consume inventory. Without it, the buy is chronically under-set and stock-outs land mid-season.

Live calculator
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Result
3,523

Buy 3,523 units. Cross-check against vendor MOQs and the size curve before issuing the PO.

Failure modes we see

Buy quantity = Sales forecast, period. No markdown gross-up, no BOP reconciliation, no EOP target. The buy consistently falls short in weeks 4–8; reorders arrive late; markdowns happen because the inventory was mis-timed.

How RetailNorthstar handles buy quantity

The buy quantity is derived live from the plan inputs — forecast, EOP target, BOP position, and expected markdown rate per style. Vendor MOQ rounding is applied and flagged. Chase capacity is held back against the remaining season.

Related formulas

See buy quantity derived from plan — with MOQ rounding and size-curve split applied.

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RetailNorthstar Editorial Team
RetailNorthstar ·

Turn the math into action.

Apparel brands use RetailNorthstar to calculate, track, and act on these metrics inside one connected planning workflow — OTB through allocation.