Question

What is sell-through rate and why does it matter for dealer networks?

Locus Intelligence team
Updated 2 min readEnterprise · Engage

Short answer 30 words

Sell-through rate is the share of stock a dealer has sold to customers in a period, compared with what the brand supplied. It shows real demand rather than orders placed.

The fuller answer

Low sell-through can point to weak local demand or weak execution.

It is a measure for the brand's sales data, not something a profile tool computes.

TemplateSell-through formula
Sell-through rate = units sold to customers in the period / units supplied to the dealer in the period

Use your own sales data. Agree the period and the unit with finance.

Read it with digital signals
High sell-throughLow sell-through
Fix execution

Strong enquiry, weak sale. Look at follow-up and stock.

Weak demand

Low sell-through and low interest. Check local demand and visibility.

Visibility gap

Selling despite weak online presence. Room to grow.

Healthy

Demand and execution agree.

Low digital signalsStrong digital signals

Your next steps

Today

  1. Confirm which sales data you can get per dealer.

This week

  1. Calculate sell-through for ten dealers.

This month

  1. Compare with call and lead data.
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How do you enforce brand standards across a dealer network?What digital signals indicate dealer performance problems?What is an escalation loop in dealer network management?What is dealer demand leakage?Why do brands lose sales at the dealer counter?What is a dealer network governance model?

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