Demand Planning

What is a minimum order quantity?

A minimum order quantity is the smallest amount a supplier will produce or ship in one order, set to cover their setup and handling cost. It can apply per SKU, per color or size, or across the whole order. It sets a floor on how little you can commit, regardless of what demand says you need.

MOQs shape the assortment as much as the order. A minimum per colourway is what turns a four-color launch into four times the inventory risk, and it is usually negotiable in exchange for a longer commitment.

Work out your own

Economic order quantity calculator

The order size where ordering and holding costs balance.

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