What is Fill rate?
Fill rate measures what share of demand can be fulfilled immediately from available inventory. It connects inventory planning with customer experience and revenue. The economic target varies by margin, replenishment time, and strategic importance.
Formula
Fill rate = units fulfilled immediately ÷ units demanded
Practical example
Of 10,000 requested units, 9,700 ship immediately. The unit fill rate is 97 percent.
What teams should remember
- Fill rate measures what share of demand can be fulfilled immediately from available inventory.
- It connects inventory planning with customer experience and revenue. The economic target varies by margin, replenishment time, and strategic importance.