Inventory glossary

What is Carryover stock?

Carryover stock is inventory from a past season or collection that is still planned to sell in the next one, instead of being marked down or discontinued.

For a small Shopify store, carryover stock matters because it changes how much new inventory you need to order. If you still have 200 candles left from last winter's scent line and you plan to sell them again this winter, you should not order 200 more units than you actually need.

When you plan purchases for a new season, start by counting carryover stock per SKU, then subtract that from your forecasted demand before deciding what to order from suppliers. This keeps you from double-buying the same products and tying up cash in excess stock.

Formula

New order quantity = Forecasted demand - Carryover stock

Example

A clothing store forecasts it will sell 300 units of a basic t-shirt next season. It still has 80 units left over from this season in the same style and size run. It only needs to order 220 units to hit the 300 target.

Common mistakes

  • Forgetting to subtract carryover stock before placing new purchase orders, leading to excess inventory.
  • Treating all leftover stock as carryover when some of it is actually dead stock that will not sell again.
  • Not tracking carryover stock by variant, so a size or color that is overstocked gets reordered anyway.

Carryover stock and SteadyShelf

SteadyShelf forecasts demand per variant, so you can compare that forecast against leftover carryover stock and order only the quantity you still need.

SteadyShelf is launching on the Shopify App Store. Join early access to get the install link first.

Related terms

Dead stock · Excess inventory · Seasonality · Demand forecasting · Core products

Full inventory glossary

FAQ

How is carryover stock different from dead stock?

Carryover stock is inventory you still expect to sell in an upcoming season. Dead stock is inventory that is not selling and is unlikely to sell at all.

Should carryover stock be sold at full price?

Often yes, since it is still in demand for the new season. Some stores still apply a small discount if the stock is older or the packaging has aged.

Let SteadyShelf do this math for every SKU

Order-by dates per supplier, seasonal forecasts and draft POs for your Shopify store. $29/month after a 30-day free trial.

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