Velocity Analysis

Velocity Analysis

A method of analyzing sales data to identify products with high sales velocity. Velocity analysis helps retailers and manufacturers prioritize inventory replenishment, allocate shelf space, and develop pricing and promotion strategies based on demand patterns.

Related Terms

Purchase Frequency (PF)

Refers to the rate at which customers make purchases within a specific timeframe. It offers businesses

Yield Management

A pricing strategy used to maximize revenue by varying prices based on demand and inventory levels.