When creating a product, a merchant provides an inventory quantity. Then, the system updates the inventory automatically based on the number of approved orders.
To avoid overselling, the system also calculates available-to-sell products based on the inventory quantity and the number of pending orders.
How Is an Inventory Updated?
When a customer purchases a product, a merchant cannot see the order for the first two hours.
If the customer does not cancel the order, its status changes to approved. From this moment on, it becomes visible to the merchant, and the system updates the inventory by deducting approved orders from the inventory. The formula is as follows:
|Inventory update = Inventory - Approved orders
If the inventory equals zero, the system automatically withdraws the product from sales. If the product has several variants and one of them is disabled because it is out of stock, the other variants won't be affected.
There are two ways to check an inventory:
- Go to Products and click a product you want to check out. Use the Stock filter to find it quicker. In the Inventory column, you can see how many products are in stock for each product variant.
- On the Product page, you can also download a CSV file with exported products. The file includes the Inventory column with the number of products in stock.
How Is the Number of Available-To-Sell Products Calculated?
To calculate a product's quantity on hand, the system deducts pending orders from an inventory. Pending orders are the number of orders created and paid by a customer that have not changed to approved status yet.
The number of pending orders cannot exceed the quantity of inventory. So, the formula looks like this:
|Available-to-sell products = Inventory - Pending orders
If inventory equals pending orders, a product will be unavailable for purchase. Please note that pending orders numbers are volatile.
The product will be withdrawn from sales if all these orders are fulfilled. If not, the platform re-uploads the product.
There are two ways to check pending orders:
- Go to Products and find a product you want to check out. In the Inventory column, you will see the number of pending orders with a clock icon.
- On the Product page, you can also download a CSV file with exported orders. The file includes the Pending orders (default warehouse) column with the number of pending orders.
Example of a calculation
- You set a product inventory of 10 and received 10 new orders. In this case, the number of available-to-sell products equals zero, so they are not available for sale.
- But if one customer cancels this order during the two-hour order protection period, then pending orders equal 9. So, the number of available-to-sell products changes to 1 (10 – 9 = 1).
- So, you received 9 orders after the two-hour order protection period. You fulfilled 7 orders; however, you canceled 2.
- As the number of fulfilled orders equals 7, the inventory equals 3 (10 – 7 = 3). It means that the number of available products has increased to 3.
- If you update the inventory to 15 afterward, the inventory will also become 15.
How to Add More Products to Current Inventory?
There are 2 ways to add more inventory: the Merchant Panel UI or a CSV file.
Merchant Panel UI
- Go to Products and select a product you want to check out.
- Click Edit product and enter the number of products in Inventory.
- Save changes.
- Go to Products and click Export > Export products.
- Fill in the required information and click Export.
- Enter the number of products in the Inventory column of the downloaded file and upload the file back.