Free Lead Time Calculator

What Is Lead Time in Ecommerce?

Lead time is the total number of days from when an order is placed to when the customer receives it. For ecommerce sellers, it includes every step in the fulfilment chain: supplier restocking, order processing, picking and packing, shipping transit, and customs clearance for cross-border orders.

Understanding and reducing your lead time is one of the most effective ways to improve customer satisfaction, reduce stockouts, and stay competitive on platforms like Shopee, Lazada, and TikTok Shop.

How to Calculate Lead Time

The basic lead time formula is:

Total Lead Time = Supplier Lead Time + Order Processing Time + Shipping Transit Time + Customs Clearance + Buffer Days

Each component represents a distinct stage in your supply chain:

• Supplier Lead Time — how long your supplier takes to manufacture or ship goods to your warehouse. This is often the longest component, especially for sellers sourcing from China or other overseas manufacturers.
• Order Processing Time — the time you need to pick, pack, and hand off the parcel to a courier. Most marketplaces give sellers a 2-day window (Shopee's "Days to Ship" setting), though faster processing improves your seller rating.
• Shipping Transit Time — how long the courier takes to deliver the parcel. For domestic orders in Singapore this is typically 1-3 days; cross-border shipments can take 7-21 days.
• Customs Clearance — only applies to cross-border orders. Can add 1-7 days depending on the destination country and product category.
• Buffer Days — extra time to account for unexpected delays like public holidays, warehouse backlogs, or courier service disruptions.

Lead Time vs Delivery Time

Delivery time is what the customer sees — the number of days from checkout to doorstep. Lead time is the broader supply chain measure that includes everything from supplier restocking through to final delivery.

For sellers who hold inventory, delivery time and lead time from the customer's perspective are the same. But if you rely on drop-shipping or just-in-time restocking, your true lead time also includes the supplier lead time, which the customer never sees but which affects your ability to fulfil orders on time.

If you want to understand how lead time fits into your broader fulfilment strategy, read our complete guide to lead time in ecommerce.

Typical Lead Times by Marketplace

These are typical ranges — your actual lead time depends on your warehouse location, courier partner, and product category. Use the calculator above to work out your exact numbers.

5 Ways to Reduce Your Lead Time

1. Automate order processing — Manual picking and packing is the biggest bottleneck for growing sellers. Tools like OneCart consolidate orders from all your channels into a single dashboard, so you can process orders faster and cut your processing time in half.
2. Use local fulfilment — Storing inventory closer to your customers dramatically reduces shipping transit time. If you sell across Southeast Asia, consider fulfilling from in-country warehouses rather than shipping everything cross-border.
3. Negotiate supplier lead times — Build relationships with multiple suppliers and negotiate faster turnaround. Even shaving 2-3 days off supplier lead time compounds over hundreds of orders.
4. Hold the right safety stock — Once you know your lead time, calculate your safety stock levels to ensure you never run out of inventory. A stockout doesn't just lose one sale — it tanks your marketplace ranking.
5. Monitor lead time trends — Track your actual lead time week over week. If shipping times are creeping up before peak season, switch to a faster courier before it becomes a problem.

Frequently Asked Questions

How do I calculate lead time for my ecommerce business?

Add up all the stages: supplier lead time + order processing time + shipping transit time + customs clearance (if cross-border) + buffer days. For domestic ecommerce in Singapore, a typical total lead time is 3-5 days. For cross-border, expect 10-21 days. Use the calculator at the top of this page for an instant calculation.

What is a good lead time for ecommerce?

For domestic marketplace orders (Shopee, Lazada), customers expect delivery within 3-5 days. Anything over 7 days for a domestic order will hurt your seller rating. For cross-border orders, 10-14 days is considered acceptable. The shorter your lead time, the more competitive your listings.

What is the difference between lead time and processing time?

Processing time is one component of lead time. It covers the time from when you receive the order to when you hand the parcel to the courier. Lead time is the total time from order placement to customer delivery, including processing, shipping, customs, and any other delays.

How does lead time affect inventory management?

Longer lead times require you to hold more safety stock to prevent stockouts. If your supplier takes 30 days to deliver and you sell 10 units per day, you need at least 300 units of lead time demand stock — plus safety stock on top. This ties up more capital and warehouse space. Reducing lead time lets you operate leaner. For multi-channel sellers managing inventory across multiple platforms, accurate lead time calculations are critical to prevent overselling.