Packaging, shipping, carriers, stock control, and turnover: the operations that protect your margin.
Stock coverage is stock divided by average daily sales: 120 units selling 4 a day cover 30 days. Learn how to calculate it by SKU, set ideal coverage based on supplier lead time, find your reorder point, and see what idle stock costs in Mercado Livre’s Full program.
Inventory management for an online store means knowing how many units you have, when to restock, and how much each one cost. If a product sells 4 units a day and your supplier takes 15 days, you need to reorder when you have 80 units left. See the calculation, the basic spreadsheet, and the cost of inventory sitting in FULL.
When buying stock, ABC analysis groups SKUs by how much money they tie up: in this example, 4 out of 10 items account for 82.7% of the value. Learn how to build your ABC analysis in 5 steps, how to buy for each class, and how much old FULL stock costs you when a class C item sits unsold.
Inventory location codes assign a code to each shelf location, such as A-03-2-B, and link each SKU to it. For a store handling 60 orders a day, saving 2 minutes of search time per order gives you back 44 hours a month. Follow the step-by-step guide for home and warehouse setups.
Safety stock is a buffer for supplier delays and sales spikes. A product that sells 6 units a day, with a 12-day lead time that sometimes runs late, needs about 33 units of buffer for a 95% service level. See the three formulas and when to use each one.
Minimum stock is the reserve that covers supplier delays and sales spikes. The formula: (maximum daily sales × maximum lead time) − (average daily sales × average lead time). If you sell 6 units a day and your supplier takes 10 days, you need a reserve of 57 units. See the step-by-step guide and the cost of getting it wrong.
To clear dead stock without taking a loss, find your break-even price: the lowest price that still covers fees, shipping, tax, and cost. A product that costs R$ 30 breaks even at R$ 45,67 on Mercado Livre. See the pricing ladder, the cost of keeping stock in FULL, and your options from cheapest to most expensive.
Inventory turnover is COGS divided by average stock at cost: R$ 240 mil in annual COGS with R$ 40 mil in average stock gives you a turnover rate of 6, or 61 days in stock. See the formula by store and by SKU, the days-on-hand table, and the turnover rate that helps you avoid Mercado Livre Full’s aged inventory fee.
Count your stock without closing your store: count a portion each day, A products every month, and C products twice a year. With 600 SKUs, that’s about 8 per business day. See the step-by-step process, what to do about discrepancies, and the annual inventory that microbusinesses must record.
FIFO, LIFO, and average cost give you different COGS for the same stock: in this example, R$ 21, R$ 25, or R$ 23 per unit. The margin on a R$ 49,90 product on Mercado Livre ranges from 22,4% to 14,4%. See the calculations and which method is accepted under the rules.
Reorder point is the stock level that triggers a restock: average daily sales × supplier lead time + safety stock. If you sell 8 units a day and your supplier takes 12 days, reorder when stock reaches 136. See the formula, how to adjust it for FULL, and what it costs to get it wrong in either direction.
A SKU is an internal code you assign to each product and variation, such as CAM-BAS-AZ-M. See the 3-part structure, 6 rules to avoid mistakes, how to handle bundles, and why a duplicate SKU can hide a product with a 1,7% margin.
Milewa pulls your orders from Mercado Livre and Shopee, applies commission, shipping, tax, ADS, and your cost, and shows the margin for each order and each SKU. You can start with the calculator and then connect your store.
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