Setting up the ABC classification
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ABC classification = a system for grouping products or SKUs by their sales performance, with A being your top performers and C the lowest. Prediko uses these tiers across the app — in the Replenish Table, dashboards, and reports — so you can prioritise stock decisions for the products that matter most to your business.
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Step 1: Go to Settings > Inventory
Step 2: Access the ABC Classification tab
Step 3: Choose how to group your catalogue and which metric to use:
Products vs SKU — "Products" rolls up all variants of a parent product into a single line; "SKU" classifies each variant separately.
Sales vs Revenue — "Sales" ranks by units sold (quantity); "Revenue" ranks by dollar value sold.
Step 4: Enter the % of total sales (or revenue) that each tier should capture. The three values must sum to 100%.
Step 5: Click 'Save Changes'
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If there are products that you don't want to include in the analysis, include them in the "Remove from analysis" section. e.g., gift bags, cards, etc. Excluded products are dropped from the calculation entirely — they don't count toward any tier and don't receive a classification.
Recommended starting values
By default Prediko sets the tiers to 70 / 20 / 10:
A = 70% → your top sellers — the products you can't afford to stock out on. Treat replenishment for these as highest priority.
B = 20% → mid performers — important to keep available, but a short stock-out has less business impact than for A.
C = 10% → long tail — low-volume items where the cost of overstocking outweighs the cost of an occasional stock-out.
These are the share of total sales (or revenue) each tier captures, not the share of products — so a typical A tier contains a small number of high-volume SKUs, and C contains many low-volume ones. Adjust the %s to match how concentrated your catalogue is: a long-tail catalogue might widen C, while a brand with a few hero products might tighten A.
How the analysis works
Period — Prediko ranks products by their sales over a fixed analysis window. If you'd like to switch the window length (for example to 6 months or 12 months), reach out to Prediko support using the in-app live chat and we'll update it for you.
Refresh — classifications recompute every time you save changes here. They also re-run periodically in the background as new sales data comes in, so newly added SKUs get classified on the next run.
Products with no sales — SKUs that haven't sold during the analysis period are placed in the lowest tier (C by default).
Removed products — anything in "Remove from analysis" is excluded from both the ranking and the output, so it won't show up with an ABC tag anywhere in the app.
Prediko handles the maths automatically — you just choose the grouping, metric, and target %s.