What are the consequences of stockouts?

Asked a year ago

Hello! I have recently experienced a stock out in my Shopify store, and as far as I know, this means that I have lost revenue. Are there any other consequences that this stock out creates? Thank you in advance.

Abeeha Qasmi

Monday, November 14, 2022

Inventory stock-out may seem trivial, but it can drastically impact your business:

  • In the long run, inventory stock-out can taint your brand image.
  • Inventory stock-out lessens customer satisfaction.
  • You may also need your employees to work extra hours and buy raw materials on short notice. Both can accelerate your operational costs exponentially.
  • Lastly, inventory stock-out can cost your brand valuable revenue.

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