💲True Rate of Sale

The calculation behind Style Arcade's True Rate of Sale (ROSWIS) metric

Joanna Yu avatar
Written by Joanna Yu
Updated over a week ago

Style Arcade has a new metric called True Rate of Sale.

The true rate of sale is the number of units per week a product can sell when in stock of all sizes.

Style Arcade only calculates the rate of sale when the size is in stock so as not to underestimate a product's true potential - after all, if the size isn’t in stock you can’t sell it!

So, how is it calculated?

Let’s look at a live example.

This product has been active for 12 weeks and as you can see over that time frame some sizes were sold out.

Style Arcade only calculates the rate of sale when the size is IN stock which gives you your true rate of sale by size. The total of all sizes is the true rate of sale for the product.

Previously retailers would have underestimated this rate of sale (analysing the first 4 weeks or the total 12 weeks) and therefore underestimated the true sales potential.

How do we use the true rate of sale to calculate the ideal size curve?

We take the true rate of sale by size and calculate it's contribution to the total true rate of sale for the product. See example below:

Size

True rate of sale

Ideal size curve %

XS

4

17%

S

5

21%

M

5

21%

L

6

25%

XL

4

16%

Total

24

100%

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