Backorder vs. Out-of-Stock: Managing Store Inventory Effectively
Backorder vs. out-of-stock — what’s the real difference, and why does it matter for your Shopify store? Learn how to manage both clearly to keep conversions high and customers informed.
Updated February 1, 2026
There’s a noticeable difference between backorder vs. out-of-stock, and how you handle each can shape your customers’ experience and your bottom line. If someone lands on a product page and sees “out of stock” with no explanation, it’s a quick way to lose the sale. If a product is available for backorder with clear shipping timelines, many customers are willing to wait, especially for popular or unique items.
Managing these situations is about more than just keeping products moving; it’s about setting the right expectations. In this blog, we’ll discuss how to manage backorders vs. out-of-stock products effectively, explore which products suit each approach, and show you how tools like Egnition’s StockIQ app can help you keep your store running smoothly without losing sales or customer trust.
» Stay ahead of stock shortages. Find out how to manage out-of-stock products effectively
Meet the Expert
Jameela Ghann is a seasoned online store owner with over a decade of eCommerce experience. She's also the marketing manager for Fera Product Reviews.
What Does Backorder Mean?
Backorder (sometimes referred to as a pre-order if the item is made based on demand) means the item is currently not in stock but will be restocked and shipped at a later date. Customers can still place an order and essentially reserve the item.
Impact of Backordered Items on Customers
- Customers understand that a backorder means delayed shipping, not permanent unavailability.
- Allowing backorders can increase trust when paired with clear communication.
- Backorders support steady cash flow in pre-sale and direct-to-consumer models.
» Do you have more than one Shopify store? Find out how to manage pre-orders for multiple Shopify stores
What Does Out-of-Stock Mean?
Out-of-stock means the product is unavailable and cannot be ordered until it’s restocked. Unlike a backorder, customers don’t have the option to reserve the item in advance. The product is temporarily removed from your active sales inventory, which means no purchases can be made during this time.
Impact of Out-of-Stock Items on Customers
- This can lead to frustration, site abandonment, or purchasing from a competitor.
- Without restock alerts or suggested alternatives, you risk losing the sale entirely.
- A lack of communication about availability can reduce trust and hurt your brand image.
- No option to purchase creates a disconnect between interest and action, affecting engagement.
» Learn how to add disclaimers to your Shopify store’s checkout process
Egnition | StockIQ ‑ Out‑of‑Stock Manager
Stay on top of stockouts with automation that protects sales and simplifies inventory.
Backordered vs. Out-of-Stock Items: Messaging That Keeps Customers Engaged
How to Communicate Backordered Items Effectively
Effective backorder messaging is essential for building trust with your customers.
For example, Patagonia does a great job of communicating how backordered items work and what to expect in terms of billing and shipping. Their FAQ page on the topic sets expectations right away without making people hunt for answers.
This works well because it builds trust. It shows transparency and gives customers the confidence that their order is still moving forward, even if it’s delayed.
How to Communicate Out-of-Stock Items Effectively
When a product is out-of-stock, your messaging should let the customer know clearly, but also guide them toward the next step. Just putting “Out-of-Stock” with no restock info, no product recommendations, and no email capture is a missed opportunity. Shoppers are left hanging, and often leave your site without converting.
Tip: Make sure your messaging is easy to spot, place it above the add-to-cart button so customers see it right away.
» Discover how to automatically email your customers about out-of-stock items
Operational and Strategic Inventory Management
Logistical Implications of Managing Backordered Items
When considering out-of-stock vs. backorder scenarios, managing backordered items requires more operational complexity. You need a system that not only handles payment for products that aren’t in stock but also tracks when those products are expected to restock.
For example, a fashion brand might list a sold-out item as available for backorder, allowing customers to pre-order it while they wait for stock to be replenished.
» Understand your inventory better. Learn the difference between "out-of- stock" and "sold out" on your Shopify store
Logistical Implications of Managing Out-of-Stock Items
Out-of-stock situations are operationally simpler, you’re not making any promises to fulfill orders, but you’re leaving money on the table. The real challenge is that stockouts make it harder to predict how much inventory to bring back.
For example, just because 100 people signed up for a restock alert doesn’t mean all 100 are going to buy.
If you base purchasing decisions purely on that interest, you could end up overbuying and tying up your cash in inventory that sits.
Logistical Implications of Managing Mixed-Cart Orders
When handling mixed-cart orders that include both in-stock products and backordered items, the fulfillment decision becomes more complicated.
For example, if a customer purchases in-stock skincare items and a backordered item, they may be unhappy with a delayed shipment if everything is held until the backordered item arrives.
Many companies, such as Apple, automatically split mixed-cart orders and notify customers about the status. Either way, your tech stack has to handle this smoothly. That means supporting partial fulfillment, giving warehouse teams the right instructions, and making sure your customer updates are automated and clear. Otherwise, you’ll spend all day answering “where’s my order?” emails.
» Streamline your stock levels. Discover the benefits of automated inventory management in Shopify
Backorders vs. Out-of-Stock Items: Tips
Tips for Managing Backorders Effectively
- Allow customers to place orders for backordered items, even when inventory is low, and display the backorder status on product pages and in the cart.
- Use Shopify tools and apps to continue selling past zero stock, with customizable messaging like “Ships in 10 days.”
- Keep track of incoming stock and supplier timelines to avoid overselling.
- Stay organized and ensure your inventory system connects well with suppliers to reduce customer frustration.
» Make sure you know how to manage overstock and understock in your Shopify store
Tips for Managing Out-of-Stock Items Effectively
- Sync inventory in real-time to automatically hide or gray out out-of-stock products.
- Offer customers the option to sign up for restock alerts or suggest alternative products.
» Decide whether to hide or display out-of-stock products in your Shopify store
3 Factors for Deciding Between Backorder and Out-of-Stock
Customer segmentation
- If your customer base includes loyal or high-value repeat buyers, they’re more likely to tolerate backorders. Brands with strong communities (like Fenty Beauty) often succeed with this.
- For first-time buyers, a backorder may lead to hesitation or drop-off, so it’s better to limit that experience.
Product type
- Products with predictable demand and consistent supplier timelines are better suited for backorders.
- If your inventory is volatile or you depend on variable lead times (like overseas imports), it's safer to mark items as unavailable to avoid over-promising.
Purchase urgency
- If your customers typically buy with urgency (say, gifts, event outfits, or last-minute essentials) it’s better to mark items as out-of-stock.
- For products with flexible timelines (custom goods, home décor), backorders work well when timelines are clear.
Remember: When something is made after a purchase, like engraved jewelry or personalized stationery, customers already expect a wait. In this case, backorders just feel like part of the normal buying process, and production naturally aligns with demand.
StockIQ ‑ Out‑of‑Stock Manager
Automatically hide or push out-of-stock items in collection
Receive low-stock alerts for efficient restocking
Keep your storefront organized to improve the shopper experience and boost conversions.
Handling Stockouts and Backorders With Confidence
Understanding the difference between out-of-stock vs. back-to-stock is only half the equation. What really matters is how well your systems respond to the ups and downs of inventory flow. Are you prepared to sell during delays, or are you constantly scrambling to explain missing products? That’s where Egnition’s StockIQ app makes a real difference.
This app helps Shopify merchants monitor product demand, spot fast-moving SKUs, and plan smarter reorder points. It offers real-time visibility into stock levels and automatically updates your storefront to reflect product availability. When items are available for backorder, your customers know it, and trust the timeline. And when something’s truly unavailable, StockIQ helps you catch it before it becomes a problem. With stronger inventory forecasting and better communication, you’re not just preventing lost sales, you’re building a store experience customers want to return to.
» Unlock new possibilities for your Shopify store through e-commerce automation
