ABC classification
ABC classification ranks your products by how much revenue they bring in, so you can focus your attention where it matters most. Stockwik calculates it automatically and shows a colored A / B / C badge on each product.
How it works
Products are ranked by sales value (units sold × price) over roughly the past year, then grouped by their cumulative share of revenue:
- Class A — your top revenue earners (by default, the products making up the first 80% of sales).
- Class B — the next band (default 15%).
- Class C — the long tail and anything with no sales (default 5%).
The three shares add up to 100%. You can adjust the cutoffs in Settings → Planning defaults.
Note
This is a share of sales value, not product count. Class A might be a handful of best-sellers — or many similarly-selling items — depending on how concentrated your sales are.
Why it's useful
ABC tells you where a stockout (or overstock) hurts most:
- A items — watch these closely. A stockout here costs you real revenue, so it's worth tighter buffers and quicker reordering.
- B items — steady movers; manage them normally.
- C items — slow movers; keep them lean to avoid tying up cash, and don't lose sleep over the occasional gap.
You'll see the ABC badge on the inventory list and product detail, and there's a dedicated ABC analysis report (Growth and up) that ranks every product with its cumulative share.