Complete Guide on Shopify Low Stock Alerts and How to Set Them Up

Complete Guide on Shopify Low Stock Alerts and How to Set Them Up

Inventory management dictates the success (or failure) of your sales and customer satisfaction.

Low stock is the final chance to drive sales before a product runs out. It creates an opportunity to sell the remaining inventory with urgency-driven messaging while capturing back-in-stock signups or preorders to keep demand alive - ensuring you never miss a sale.

Low stock messages and alerts help strike the right balance by keeping both customers and merchants informed when inventory is running low. For customers, these messages create urgency and encourage faster purchases. For merchants, timely notifications give enough room to restock in time and prevent lost sales.

In this guide, we’ll walk through the significance of low stock messages and alerts, how they work on Shopify, the setup process, and everything else you need to streamline your inventory management.

What are low stock messages and alerts?

Low stock messages and alerts serve two purposes:

1. Customer-Facing Low Stock Messages: These messages appear on product pages and inform shoppers when inventory is running low. Phrases like "Only 3 left in stock!" or "Hurry, selling fast!" creates urgency, encouraging faster purchases. Some stores even offer customers the ability to sign up for notifications when a product reaches low stock levels.

2. Merchant-Facing Low Stock Alerts: These automated notifications inform merchants when products are nearing their stock threshold. By turning the alerts on, businesses can stay proactive in managing inventory and reorder items before running out.

The process of setting low stock alerts works by tracking inventory levels and triggering a notification when a product reaches a specified limit. Merchants can set custom thresholds based on factors like sales volume, supplier lead times, or seasonal demand. Once an alert is generated, they can take action by restocking in time to prevent disruptions in sales.

But low stock messages aren’t just for merchants - they’re a powerful tool to drive more sales from customers too. When inventory is running low, these messages create a sense of urgency, encouraging shoppers to buy before it’s too late. You can customize these alerts to show exact quantities (e.g., “Only 3 left in stock!”) or keep things more subtle with scarcity-driven messaging (e.g., “Selling fast - grab yours now!”).

It’s important to note that low stock messages and alerts are not the same as back-in-stock alerts. Low stock alerts help businesses manage inventory efficiently while nudging customers to act fast and reduce cart abandonment.

On the other hand, back-in-stock alerts recapture customer interest once a product is replenished. Together, they ensure you’re maximizing sales at every stage of your inventory cycle.

Why are low stock messages and alerts important for Shopify stores?

Here’s how low stock messages and alerts play a key role in maintaining sales and customer satisfaction:

1. Create urgency and boost conversions - Low stock messages on product pages create urgency and drive quicker purchases. When customers see phrases like "Only 5 left in stock!" or "Selling fast," it triggers fomo (fear of missing out) and encourages them to complete the purchase before the product runs out.

2. Prevent stockouts - For merchants, low stock alerts ensure your best-selling products are always available for purchase. These timely notifications remind you when inventory is running low, giving you enough time to reorder and prevent missed sales.

3. Improve cash flow - Overstocking can tie up capital and increase storage costs. Low stock alerts help you order only what you need, improving cash flow and preventing excess inventory.

4. Optimize inventory management - These notifications offer valuable insights into product performance. Merchants can make data-driven decisions about inventory, ensuring they always have the right products in stock while reducing waste.

5. Automate restocking processes - The inventory alerts process is automated, saving merchants time by eliminating the need to manually check stock levels. This allows businesses to focus on growth while ensuring products are always available.

How do low stock messages and alerts work?

Here’s how the process helps businesses stay ahead of stockouts:

1. Merchant sets a stock threshold - Store owners set a minimum inventory level for each product. For example, if the threshold is 10 units, an alert will be triggered when stock falls below this number.

2. Shopify or an inventory app tracks stock levels - Once the threshold is set, shopify or a third-party app like STOQ monitors sales and updates inventory levels in real time.

3. Alert is triggered when stock reaches the threshold - As soon as inventory drops to the defined threshold, a notification is sent to the merchant. Simultaneously, a low stock message can be displayed on the product page to drive urgency among shoppers.

4. Merchant receives a notification - The low stock alert is sent through various channels, including email, sms, or a shopify dashboard notification. Merchants get immediate updates, even when they aren’t actively monitoring inventory.

5. Customers see urgency messaging - Once stock reaches the threshold, customizable messages like "Only 2 left!" or "Almost gone!" appear on product pages, nudging customers to buy before the product runs out.

6. Automated reordering can be set up - To streamline the process, merchants can integrate automated reordering systems, ensuring products are replenished without delays.

Best practices for using low stock alerts effectively

Here are some best practices to ensure smooth operations and optimal stock management:

Customize thresholds

Not all products sell at the same pace, so it’s important to customize stock thresholds accordingly. Fast-moving items should have higher reorder points to prevent stockouts, while slow-moving products can have lower thresholds to avoid overstocking.

Use forecasting tools

Use demand forecasting tools alongside low stock alerts to accurately predict restock needs. These tools analyze historical sales data, seasonal trends, and customer demand to provide critical insights that can shape informed purchasing decisions.

Track in real-time

Real-time inventory tracking ensures merchants always have the latest stock information. By monitoring product movement, businesses can adjust thresholds as needed and avoid inventory discrepancies that might lead to overselling or shortages.

Align with supplier lead times

The fulfillment timelines across suppliers differ. Allow the window needed for every supplier by aligning low stock alerts with expected restocking periods. 

Enable multi-channel tracking

If you sell across multiple platforms, sync the inventory across all sales channels to prevent overselling or stock mismatches. Integrating low stock alerts with multi-channel inventory systems ensures accurate stock levels across Shopify, marketplaces, and physical stores.

How to set up low stock alerts on Shopify

Here’s how you can use Shopify’s basic inventory tracking option and external apps to set up low stock alerts:

A. Shopify’s built-in features

Shopify has a native inventory tracking option that allows merchants to monitor stock levels within the Shopify admin. However, Shopify does not offer automated low stock alerts. So you can manually check stock levels from Products > Inventory or use a third-party app.

B. Using Shopify apps for low stock alerts

To automate low stock notifications, merchants can use apps like STOQ. These apps provide real-time alerts and additional features to streamline inventory management.

Step-by-step guide to setting up a low stock alert with an app

1. Install and activate the app – Choose a Shopify-compatible low stock alert app like STOQ and install it from the Shopify App Store.

2. Choose products to monitor – Select specific products or categories that need stock tracking.

3. Set alert thresholds – Define stock limits for each product, adjusting them based on sales trends and supplier lead times.

4. Select notification method – Choose how alerts will be delivered (email, Slack, SMS, or dashboard notifications).

5. Automate supplier notifications – Enable automatic purchase order generation or supplier alerts to speed up restocking.

Automating reordering with low stock alerts

Level-up your Shopify stock management and integrate low stock alerts with automated restocking tools. Apps like Low Stock Alerts – STOQ can help sync alerts with purchase order systems, ensuring quick supplier responses. It's AI-driven analytics can further optimize reorder points by predicting demand and adjusting stock levels accordingly.

How to Analyze Low Stock Data for Better Inventory Management

Here are key metrics that you can monitor to make informed inventory decisions:

Frequent low stock items

Identify which items regularly trigger low stock alerts. If a product is constantly running low, it may indicate high demand and the need for a higher reorder threshold.

Replenishment time gaps

Measure how long it takes to restock after receiving an alert. A long delay could signal inefficiencies in the reordering process and needs your attention.

Lost sales impact

Compare low stock alerts with sales data to determine if there is a touchpoint that indicates lost sales. If products frequently sell out and are not restocked on time, you need to make reorder time adjustments to ensure no sales are lost.

Supplier delays and lead times 

Track how long suppliers take to fulfill orders and whether delays are affecting inventory availability. If lead times are inconsistent, consider adjusting reorder points or finding backup suppliers.

The Low Stock Alerts – STOQ app comes laden with a detailed analytics dashboard that has all these insights in one place for merchants to make data-driven decisions without the assistance of external tools.

Advanced Inventory Strategies Using Low Stock Alerts

Beyond basic stock tracking, low stock alerts can be coupled with smarter inventory strategies, like the ones mentioned below:

Dynamic thresholds

Phenomenons like seasonal demand fluctuations can impact sales. Adjusting low stock thresholds accordingly helps attain eCommerce inventory control during peak periods. Aim to maintain optimal inventory levels by increasing or decreasing reorder points as needed.

Bundling with promotions

Slow-moving products can lead to dead stock and tied-up capital. Use low stock alerts to identify these items and bundle them with fast-selling products in special promotions, or better yet, send discount offers and boost sales. 

This strategy not only helps clear excess inventory but also increases the average order value and promotes better cash flow.

Multi-location tracking

Businesses with inventory across multiple locations must sync and track all of them. Syncing alerts helps ensure stock availability at the right locations, reducing delays in fulfillment. By optimizing stock distribution, merchants can lower shipping costs and improve delivery times.

Sync with accounting software

Tracking inventory costs is just as important as managing stock levels. Syncing low stock alerts with accounting software provides better visibility into purchase costs and helps manage budgets efficiently.

Common Mistakes to Avoid With Low Stock Alerts

Even with low stock alerts in place, certain mistakes can lead to stockouts or excess inventory. Here are some common pitfalls to avoid:

1. Setting thresholds too low - If reorder points are too low, products may sell out before the restocking process is done.

2. Ignoring supplier lead times - Not factoring in supplier lead times can cause unexpected delays, leaving shelves empty while waiting for replenishment.

3. Overlooking slow-moving products - Ignoring custom low stock alerts for slow-moving items can result in overstocking, tying up capital and storage space unnecessarily.

4. Not integrating with suppliers - Without syncing alerts with fulfillment or supplier systems, reordering remains a manual process, increasing the risk of stock shortages.

5. Failing to analyze data - Without reviewing past inventory trends, merchants may set static thresholds that aren’t aligned with demand changes, leading to inefficiencies.

Future of Low Stock Alerts & Inventory Automation

Here’s how new technologies are set to make stock tracking and restocking more efficient in the future:

AI-driven inventory prediction

Advanced AI models' capability to analyze past sales, seasonal trends, and customer behavior will become more sophisticated with hyper precision in demand forecasting. This will help merchants set smarter low stock thresholds and reduce both stockouts and overstocking.

Shopify’s expanding inventory features

Shopify will continue to improve its inventory management tools and make potential future updates that will cater to automation, deeper analytics, and smarter stock recommendations for merchants.

Smart supplier & warehouse integrations

Automated restocking systems will sync low stock alerts directly with suppliers and warehouses, ensuring timely replenishment without manual intervention. This will minimize delays and optimize order fulfillment.

IoT & real-time tracking

With IoT-enabled inventory tracking, businesses will gain real-time visibility into stock levels across multiple locations. Smart sensors and RFID tags will help prevent discrepancies and streamline stock management.

Conclusion

Low stock alerts are essential for Shopify merchants looking to prevent lost sales, optimize inventory, and improve overall efficiency. 

By setting up alerts, businesses can stay ahead of stock shortages, manage supplier delays, and make data-driven purchasing decisions. You can be ahead of the game by integrating low stock alerts with automation tools to make restocking seamless.  Ready to give low stock alerts a try?

Install the STOQ App now.

Frequently asked questions 

What are low stock alerts in Shopify?

They notify merchants when inventory drops to a set level, helping them restock before items sell out.

How to enable low stock alerts on Shopify?

You can track stock levels manually in Shopify or use apps like Stocky, Notify Me, or STOQ for automated alerts.

Which apps are best for low stock alerts on Shopify?

Some of the popular apps include Low Stock Alert Guru, Stocky (by Shopify), and STOQ for automated notifications and demand forecasting.

Do low stock alerts help prevent stockouts?

Yes, they notify merchants before inventory runs out, allowing them enough time to reorder, avoid lost sales, and keep products available.

How can low stock alerts improve inventory management?

By setting custom thresholds, analyzing stock trends, and automating reorders, merchants can optimize inventory levels efficiently.