Running out of your bestselling dog food on a Friday afternoon is painful. A customer walks in, sees an empty shelf, and walks out. Worse, they find that product somewhere else and do not come back.
The fix is not ordering more. The fix is ordering at the right time. That is exactly what the reorder point formula helps you do. One number, calculated correctly, keeps your shelves full and your cash flow healthy.
What Is a Reorder Point?
A simple threshold that tells you exactly when to place your next order.
A reorder point (ROP) is the inventory level at which you should place a new order with your supplier, before you run out of stock.
It is not your last unit. It is the threshold that triggers a purchase order early enough so your shelves stay full by the time the new stock arrives. Most pet shop owners reorder by feel. The reorder point replaces that guesswork with a number you can trust.
The Reorder Point Formula
Three variables. One number that changes how you buy.
A Real Example
Say you carry a popular 1.5kg adult dog food in your pet shop. Here is how the math works out.
When your stock hits 18 bags, place your order. By the time delivery arrives, you will have just enough buffer to keep selling without a gap.
Why Most Pet Shops Skip This
Gut feel does not account for the things that actually cause stockouts.
"Most small pet shops in the Philippines manage inventory by feel. And gut feel does not account for supplier delays, weekend spikes, or multiple lead times."
Supplier delays
A trusted supplier can still run late. If your lead time stretches from 3 days to 5 and you have no safety stock, you are already out.
Weekend and holiday spikes
Pet owners stock up before long weekends. Your average daily sales figure will not capture this unless you plan for it.
Multiple suppliers, multiple lead times
Every brand you carry has a different lead time. Managing each one manually is how stockouts happen.
How to Apply This in Your Store
You do not need expensive software. A simple spreadsheet and a monthly review is enough to start.
List your top 20 SKUs
Start with your highest-revenue or most frequently purchased products. These are the ones where a stockout hurts the most.
Pull your last 60 days of sales data
Use your POS records or sales log. Divide total units sold by 60 to get your average daily sales per SKU.
Record the lead time for each supplier
Ask your supplier directly if you are not sure. Factor in realistic delays, not just the best-case scenario.
Calculate the ROP for each SKU
Use the formula: (Avg. Daily Sales × Lead Time) + Safety Stock. Do this once per SKU and update it monthly.
Set a reorder reminder or threshold
Write it in your inventory sheet or set an alert in your POS. When stock hits that number, the order goes out that day.
Review and update your numbers monthly, especially for seasonal products like tick treatments or pet vitamins.
The Bigger Problem: Executing the Order
Knowing when to order is one thing. Executing it smoothly is another.
If you source from multiple suppliers, each order is a separate phone call, separate payment, and separate delivery. That multiplies your admin time and increases the chance something falls through the cracks.
This is one of the core problems Tail Stocks was built to solve. Pet retailers can consolidate orders across multiple brands into a single purchase order, one payment, and one coordinated delivery. No more chasing five different suppliers when stock hits reorder point on the same day.
- ROP Formula: (Avg. Daily Sales × Lead Time) + Safety Stock
- Calculate it per SKU, not per category. Products behave differently.
- Update your numbers monthly as sales volume and lead times change.
- Stockouts cost more than one missed sale. They train customers to look elsewhere.
Order from multiple brands. One cart. One delivery.
Tail Stocks is built for pet shops and veterinary clinics in the Philippines. Consolidate your orders, skip the supplier chaos.
Get Started
Running out of your bestselling dog food on a Friday afternoon is painful. A customer walks in, sees an empty shelf, and walks out. Worse, they find that product somewhere else and do not come back.
The fix is not ordering more. The fix is ordering at the right time. That is exactly what the reorder point formula helps you do. One number, calculated correctly, keeps your shelves full and your cash flow healthy.
What Is a Reorder Point?
A simple threshold that tells you exactly when to place your next order.
A reorder point (ROP) is the inventory level at which you should place a new order with your supplier, before you run out of stock.
It is not your last unit. It is the threshold that triggers a purchase order early enough so your shelves stay full by the time the new stock arrives. Most pet shop owners reorder by feel. The reorder point replaces that guesswork with a number you can trust.
The Reorder Point Formula
Three variables. One number that changes how you buy.
A Real Example
Say you carry a popular 1.5kg adult dog food in your pet shop. Here is how the math works out.
When your stock hits 18 bags, place your order. By the time delivery arrives, you will have just enough buffer to keep selling without a gap.
Why Most Pet Shops Skip This
Gut feel does not account for the things that actually cause stockouts.
"Most small pet shops in the Philippines manage inventory by feel. And gut feel does not account for supplier delays, weekend spikes, or multiple lead times."
Supplier delays
A trusted supplier can still run late. If your lead time stretches from 3 days to 5 and you have no safety stock, you are already out.
Weekend and holiday spikes
Pet owners stock up before long weekends. Your average daily sales figure will not capture this unless you plan for it.
Multiple suppliers, multiple lead times
Every brand you carry has a different lead time. Managing each one manually is how stockouts happen.
How to Apply This in Your Store
You do not need expensive software. A simple spreadsheet and a monthly review is enough to start.
List your top 20 SKUs
Start with your highest-revenue or most frequently purchased products. These are the ones where a stockout hurts the most.
Pull your last 60 days of sales data
Use your POS records or sales log. Divide total units sold by 60 to get your average daily sales per SKU.
Record the lead time for each supplier
Ask your supplier directly if you are not sure. Factor in realistic delays, not just the best-case scenario.
Calculate the ROP for each SKU
Use the formula: (Avg. Daily Sales × Lead Time) + Safety Stock. Do this once per SKU and update it monthly.
Set a reorder reminder or threshold
Write it in your inventory sheet or set an alert in your POS. When stock hits that number, the order goes out that day.
Review and update your numbers monthly, especially for seasonal products like tick treatments or pet vitamins.
The Bigger Problem: Executing the Order
Knowing when to order is one thing. Executing it smoothly is another.
If you source from multiple suppliers, each order is a separate phone call, separate payment, and separate delivery. That multiplies your admin time and increases the chance something falls through the cracks.
This is one of the core problems Tail Stocks was built to solve. Pet retailers can consolidate orders across multiple brands into a single purchase order, one payment, and one coordinated delivery. No more chasing five different suppliers when stock hits reorder point on the same day.
- ROP Formula: (Avg. Daily Sales × Lead Time) + Safety Stock
- Calculate it per SKU, not per category. Products behave differently.
- Update your numbers monthly as sales volume and lead times change.
- Stockouts cost more than one missed sale. They train customers to look elsewhere.
Order from multiple brands. One cart. One delivery.
Tail Stocks is built for pet shops and veterinary clinics in the Philippines. Consolidate your orders, skip the supplier chaos.
Get Started