# How to Calculate Average Items Carried

If Average Items Carried (or Average Items Selling) is not available on your database, it is easy to calculate in Excel.  It is just the sum of % ACV Distribution of all the items divided by the % ACV Distribution of the brand.

Here is an example:

Say a brand is made up of 4 items, with % ACV Distribution as shown in the table above.

Avg Items Carried = (75 + 60 + 40 + 25) / 80 = 200/80 = 2.5

This means that, on average, retailers that carry the brand sell 2.5 of the 4 items that the brand offers.

1. Scott says:

Why divide by 80% ACV and not simply add the percentages? (i.e., .75 + .60 + .40 + .25 = 2.0 items) I know the result is different, but I’m not sure why the 80% ACV is relevant. Thanks!

2. Robin Simon says:

Thanks for the question! If you add up the ACV of each item and then divide by the brand ACV, this tells you the average items in stores that carry the brand at all. In this example, your method gives a lower number (2.0 vs. 2.5) because it is incorporating the 20% of the ACV that has 0 items. I hope that helps.

3. Aaron says:

The other way at looking at this would be Brand TPD/Brand %ACV. Do you have a view which is better to use, MAX %ACV or Avg Weekly %ACV?

• Robin Simon says:

You are right, Aaron – I will be covering Total Points of Distribution in a future post. Brand TPD = the sum of % ACV of all items within the brand.
Regarding Max vs. Avg Weekly %ACV…You should try to use the same one (Max or Avg Wkly) in the denominator of the Average Items calculation that is used in the TPD measure. If distribution is pretty stable, then either one will give you a similar result. For slow-moving items r items with increasing distribution, you probably want to use Max, which will be greater than Average Weekly, in the denominator. This will result in a lower (but more accurate view of) Average Items.