Help Center

Updated vs. Trended OTB: What Do They Mean, and How Are They Different?

Jeremy Weiss
Jeremy Weiss
  • Updated

When reviewing your Open-to-Buy (OTB) in Retail Orbit, you may notice two versions: Updated and Trended. While they may look similar at first glance, they serve different planning purposes—and understanding the difference is key to making smart, responsive inventory decisions.


In Simple Terms

  • Updated OTB is based on your current plan.

  • Trended OTB is based on the sales trend we’re seeing in real time.


Key Differences

Updated Inflow

This is the amount of inflow (new receipts) needed to:

  • Finish out the month based on your sales plan, and

  • Meet the beginning inventory plan for next month.

Trended Inflow

This inflow reflects what’s needed to:

  • Achieve the sales trend projection for the rest of the month (not the original plan), and

  • Still hit the beginning inventory plan for the next month.


The Calculations

🔹 Updated Inflow Calculation:

sql
 
Updated Inflow = Next Month’s Planned BOM Inventory – Current Inventory + (Remaining Sales Plan + Remaining Markdowns)

🔹 Trended Inflow Calculation:

sql
 
Trended Inflow = Next Month’s Planned BOM Inventory – Current Inventory + (Remaining Sales Trend + Remaining Markdowns)

Final OTB Calculation (Both Versions)

Once you have the inflow calculated, subtract the remaining On Order for the current month to get your actual OTB:

sql
 
Final OTB = Inflow (Updated or Trended) – On Order (Remaining for the Month)

What About Costed OTB?

The process is the same—but the values are multiplied by the cost complement to reflect cost (not retail).


Which One Should I Use?

  • Use Updated OTB if you're tracking against your original plan and want to stay the course.

  • Use Trended OTB if you’re adjusting to real-time performance and want to pivot based on actual sales patterns.


Need Help Choosing?

If you're unsure which OTB to follow for your current situation, reach out to your planner or contact us at:
📧 support@retailorbit.com

 

Was this article helpful?

0 out of 1 found this helpful

Have more questions? Submit a request

Comments

0 comments

Please sign in to leave a comment.