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Apparel Fulfillment Glossary

Forty warehouse and shipping terms you will hear when you outsource apparel, in plain English.

Why the Words Matter

Warehouses, carriers and retailers each have their own shorthand. Knowing it makes quotes easier to compare and problems easier to describe.

    How this glossary is organized:

  • Inventory terms

    SKU, variant, size curve, sell-through.
  • Warehouse terms

    Receiving, slotting, pick and pack, kitting.
  • Shipping terms

    Zones, dimensional weight, cutoff, rate shopping.
  • Retail terms

    EDI, routing guide, chargeback, ASN.

The 40 Terms

Alphabetical, with links to the guides that go deeper.

TermWhat it means
3PLThird-party logistics: an outside company that stores, packs and ships your products. See what is an apparel 3PL.
Advance shipping notice (ASN)A document listing what is in an inbound shipment, sent before it arrives. See what is an ASN.
AllocationDeciding how much stock goes to each channel, such as your website versus wholesale.
BarcodeA scannable code on an item or label that identifies the exact variant.
BinA small storage location, often used for apparel and accessories.
BundleSeveral items sold together as one product, such as an outfit or gift set.
CarrierThe company that delivers the package, such as UPS, FedEx, USPS or DHL.
ChargebackA deduction a retailer makes when a shipment breaks its rules.
ColorwayOne color version of a style.
Cutoff timeThe time by which an order must arrive to ship the same day.
Cycle countCounting part of the inventory regularly instead of all of it at once.
Dimensional weightA price weight based on package size rather than actual weight. See what is dimensional weight.
DispositionWhat happens to a returned item: restock, discard, donate or send back.
DropA limited release that goes on sale at a set time.
EDIElectronic data interchange: the system retailers use to send orders and receive shipping data. See what is EDI.
ExchangeReplacing a returned item with another, usually a different size or color.
FNSKUAmazon’s own product label code for items sent to its warehouses.
Gift with purchaseA free item added to qualifying orders.
GS1The organization that issues company prefixes used to create UPC barcodes.
InboundInventory arriving at the warehouse.
IntegrationThe connection between your store and the warehouse system.
KittingAssembling several items into one ready-to-ship package. See what is kitting.
Lead timeHow long it takes from placing a production order to having stock ready to sell.
Mis-pickPicking the wrong item, size or color for an order.
OutboundOrders leaving the warehouse.
Pick and packCollecting the items for an order and packing them. See what is pick and pack.
Poly bagA clear plastic bag that protects a single garment.
Poly mailerA plastic shipping envelope used for soft goods.
PreorderAn order taken before the stock is available to ship.
Rate shoppingComparing carrier prices for each package to choose the best option.
ReceivingChecking, counting and logging an inbound shipment.
RestockReturning an item to sellable inventory, or replenishing a style that sold out.
RMAReturn merchandise authorization: the approval and record for a return.
Routing guideA retailer’s rules for how shipments must be labeled and delivered. See what is a routing guide.
Sell-throughThe share of inventory you sold over a period. See sell-through and other terms.
Size curveThe proportion of each size you order. See size curve planning.
SKUStock keeping unit: your internal code for one variant.
SlottingAssigning every item its storage location. See what is slotting.
UPCUniversal product code: the standard retail barcode number. See apparel barcodes.
WISMOShort for “where is my order”: customer questions about delivery status. See what is WISMO.

The Five Terms to Learn First

If you are new to outsourcing, five of these words come up in almost every conversation with a warehouse. Learn these and most quotes and reports will make sense.

  1. SKU: every size and color is its own SKU, and the warehouse counts each one.
  2. ASN: the list you send before a shipment arrives, so receiving can check it.
  3. Slotting: where each SKU lives, which decides how accurate and fast picking is.
  4. Pick and pack: the work done on every order, and usually the biggest fulfillment line.
  5. Cutoff time: the time an order must arrive to ship the same day.

Once those are clear, how apparel fulfillment works puts them in order from receiving to returns.

Terms That Show Up on Invoices

When you compare 3PL quotes, look for these words as separate lines: receiving, storage, pick and pack, packaging materials, kitting, returns and shipping. If a line you expect is missing, ask whether it is included or billed elsewhere. If a term you do not recognize appears, ask what work it covers.

The apparel fulfillment pricing guide explains each line for apparel brands, and pick and pack fees explained covers the biggest one in depth.

Terms You Will Hear in Reports

Weekly and monthly reports from a 3PL tend to use the same handful of measures. Order accuracy is how often orders ship exactly as ordered. Receiving turnaround is how long inbound takes to become sellable. Shipping on time is how often orders leave by the cutoff. Inventory accuracy is how closely the system count matches the shelf. Ask your warehouse how each one is measured. The KPIs an apparel brand should get from its 3PL explains what good looks like.

Where These Terms Come Up at OC3PL

The same words, in practice.

  • Slotting

    Every style is slotted by size and color, so a picker reaching for a medium in black is not digging through a bin of mixed sizes. A new collection is slotted and ready to ship within one business day of receipt.

  • Cutoff

    Orders imported by 12 PM PST ship the same day.

  • Disposition

    Returns are processed and logged within 48 hours of receipt, and many are handled the same day. Each item is inspected and restocked, discarded or donated by the rules you set.

Common Questions

A SKU is your internal code for one variant. A UPC is a standardized barcode number that retailers and scanners recognize. Most brands link each SKU to its own UPC.

Advance shipping notice: a document listing what is in a shipment, sent to the receiver before it arrives so the contents can be checked on delivery.

Assigning every item a storage location. For apparel, good slotting gives each size and color its own location.

Where is my order. It describes customer questions about shipping and delivery status.

A retailer’s rulebook for how suppliers must label, pack and deliver shipments. Breaking it can lead to chargebacks.

Assembling several items into one ready-to-ship package, such as a bundle, gift set or PR box.

Related Reading

More detail, in OC3PL’s own guides.

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