5 Best Inventory Management Software Shopify Integration in 2024

Inventory management is the lifeline for online retailers, especially for Shopify stores. You need the best inventory management software for Shopify integration with features that can help you scale. We’ve discussed the topic to considerable lengths.

Do you know there are over 1.75 million sellers on Shopify?

What’s more is that the competition is becoming fierce with each passing day. This is a race where every dollar counts and a slight mistake in inventory management can cost big.

Inventory management is the linchpin - the anchor that strengthens the supply chain of Shopify stores. So, you need an advanced Shopify inventory management app to minimize overstock or stockouts.

This article is about:

• Wonders that Shopify inventory management app can do,
• Best inventory management software for Shopify, and 
• Types of inventory management software integrations.

We’ll also discuss the inventory management software for Shopify integration and their benefits for eCommere retailers. You’ll get the holistic view about the inventory integration with Shopify, but first, let's take a look at some fascinating Shopify facts.

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Interesting Shopify Inventory Statistics 

According to Statista, Shopify has 10% share in the global eCommerce market. Interestingly, more than 16% of Amazon retailers also use Shopify as a marketing platform.

Here are some interesting facts and statistics about Shopify Plus.

• Over 19,000 distinct merchants are running over 28,600 Shopify Plus brands. (BSS Commerce)
• In 2023 Q4, the quarter-over-quarter increase in Shopify Plus stores was 2.4%. (Store Leads)
• Overall, Shopify Plus stores saw 14% year-over-year growth in 2023.

What’s more, Shopify Plus sellers have a larger product catalog of products.

• Around 15.2% of Shopify Plus sellers have listed 100 - 249 products.
• 21.9% of Shopify Plus sellers have listed 250 - 999 products.
• About 12.2% of Shopify Plus sellers have listed 1000 - 4999 products.

The same diversity can be seen in the industry breakdown where the Apparel category has 23.4% of Shopify Plus accounts. Beauty & Fitness is at second with 10.9% whereas Home & Garden category has 10.4% of Shopify Plus stores.

Another key fact about the platform is the Shopify App Store, where marketing applications are in demand.

• 61.3% of Shopify Plus stores are using the Klaviyo: Email Marketing & SMS Shopify application.
• 29.0% of stores are using the Product Reviews Shopify application.
• 24.6% have installed the Geolocation Shopify application.

However, the retail maestros seem to be more interested in the inventory management software for Shopify integration. That’s because Shopify inventory management allows retailers and enterprises to optimize fulfillment, avoid deadstock, and prevent supply chain issues.

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The Truth about Inventory Management in Shopify

The Shopify inventory management app works well in both the basic and enterprise versions i.e. Shopify Plus. Both versions provide Shopify sellers with inventory management features, including the point-of-sale (POS) feature. It helps you enlist products and keep track of their variant SKUs as well. Retailers can also view inventory history (up to 90 days) and update their inventory stock in bulk.

However, the platform lacks in performance when it comes to managing extensive inventories for enterprises. The biggest drawback is that it doesn’t offer a true omnichannel sales solution. When you enlist products on multiple sales channels, Shopify fails to update and sync stock.

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Common Inventory Management Challenges Associated with

Lacks Multichannel Functionality

Shopify is an excellent platform for selling products across the globe and different sales channels. But as highlighted earlier, it fails to track inventory when you are selling on multiple channels. If you are an enterprise preparing to adopt omnichannel commerce, this can be a serious issue.

Surely, you’d want to display inventory across all channels in real-time at the same time. However, Shopify itself cannot synchronize data from sales platforms, such as Amazon and eBay. So, your online store will need software for inventory integration with Shopify.

Issues with POS

Shopify POS does the work but often runs into issues. You may have to face connectivity issues between Shopify software and POS hardware, not to mention its limited offline functionality.

The synchronization delay is also common, which results in stock level disruptions and often leads to overselling. The bigger problem is that Shopify lets retailers sell items during such delays without considering zero or low inventory.

Limited Data Insights

Another main drawback of Shopify inventory management features is the limited duration of data tracking. The platform only takes into account the previous 90 days and doesn’t provide or save historical data. So, you’ll have to keep track of your Shopify store’s historical data separately. However, copying and managing this data can be a tedious and laborious task for large retailers.

Absence of a Unified Dashboard

Shopify provides retailers access to several useful tools, such as barcode technology. However, unlike a good inventory management system, these tools and apps disintegrated and do not provide an accurate picture. What’s troubling is that the retailer often has to toggle between tabs and apps to find the relevant information.

There’s no unified dashboard to display a comprehensive overview of the store or workflow. This is something that not only increases manual work but also increases the margins of error.

Restrictions in the Restock Process

Another major drawback of Shopify inventory management is that it fails to provide valuable information on time. For retailers, it’s crucial to stay informed about the stock and inventory levels. A minute mistake can lead to overselling or stockout, and that’s what a good inventory management system manages.

However, Shopify only warns you if you are selling products on its own platform. It fails to inform you about the restocking if you’ve enlisted inventory on another platform as well.

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5 Best Inventory Management Software for Shopify Integration

According to Shopify itself, retailers suffer around $2 trillion loss only because of poor inventory management. No wonder why enterprises are always in search of the best inventory management software for Shopify integration.

Now, let’s review some good alternatives to Shopify inventory management apps and see what they’ve to offer. We’ve scoured through the market to find the top solution for Inventory integration with Shopify.

XStak

Pricing: (Pay-as-you-go model)

The all-in-one retail operating system, XStak is an ideal inventory management software for Shopify integration. It’s suitable for medium and large enterprises that are looking for true omnichannel commerce experience.

XStak’s Main Features

Its main features include:

Inventory Management: Which provides real-time tracking, stock level monitoring, SKU management, and multi-location support.

Multi-Channel Support: This offers Shopify integration with various sales channels like Shopify, Amazon, eBay, Daraz, etc.

Order Management: Which helps Shopify sellers with order processing, fulfillment, tracking, and automation of order workflows.

Reporting & Analytics: Delivers detailed insights into sales trends, inventory turnover, stockouts, and forecasting through BI reporting.

Customization: Tailoring features to suit specific business needs, workflows, and platforms.

Integrations with Shopify

XStak offers seamless integration with Shopify's API to sync inventory levels, manage orders, and update product information. It allows you to manage and track inventory across multiple platforms and update products in real-time. 

XStak’s inventory management software Shopify integration covers aspects like product data synchronization, order fulfillment, tracking, and reporting between platforms. What's more, XStak is integrable with Shopify, allowing you to get inventory integration and automation directly from the XStak Order & Inventory Management

Oracle NetSuite

Pricing: ($99 per user/month + $999 monthly licensing fee)

NetSuite is a complete ERP solution that provides online retailers with inventory management capabilities. It’s good for large enterprises, but the hefty price does not suit every Shopify seller.

NetSuite’s Main Features 

Oracle NetSuite allows online retailers to monitor stock levels across digital and physical channels. The inventory management software for Shopify offers real-time updates to avoid stockouts and low inventory levels.

NetSuite is known for keeping track of average lead time and the number of inventory days of supply. It uses historical and seasonal data to automate reorders and ensure your inventory is always well stocked.

Inventory Integrations with Shopify

NetSuite facilitates the synchronization of data, such as product information, inventory levels, customer data, orders, and pricing, in real-time. Retailers can manage orders placed on Shopify as well as through NetSuite's robust order management. You can also synchronize customer information and interactions between the two platforms.

ShipHero

Pricing: (Standard Plan starts at $1,995 per month)

ShipHero is arguably one of the best inventory management software for Shopify integration right now. It’s a multichannel tool that is known for its inventory synchronization capabilities across sales channels.

Main Features

The software provides real-time information about stock levels, sellouts, and replenishment throughout the year. So, you won’t be caught off guard in case you forget to check inventory levels during busy seasons. Furthermore, its IMS side works with the warehouse management system to offer multi-warehouse order allocation.

Shopify Integration 

ShipHero provides direct integration with Shopify stores, empowering sellers with end-to-end control. The software is an official Shopify Plus partner so you can expect fully customized integrations. From inventory updates to shipping to customer tracking, ShipHero caters to all the needs.

Lightspeed Retail

Pricing: (Standard plan for omnichannel businesses starts at $ 169)

Lightspeed is an inventory management software that has earned the fame for being a cloud-based, all-in-one POS. It’s good for businesses who are facing issues with digital transactions and Shopify POS.

Main Features

Lightspeed Retail provides customized solutions for vendor management to retailers that import vendor catalog files. This allows Shopify sellers to display up-to-date product information on their stores across sales channels. The best thing is that the software lets Shopify sellers create and send out purchase orders directly from a mobile device.

Shopify Integration 

As highlighted, the best that Lightspeed Retail has to offer is its ePOS software. Its inventory synchronization and cross-platform selling capabilities make it one of the best inventory management software for Shopify integration.

Brightpearl

Pricing: (starts around $10k for enterprises)

Brightpearl is an ERP renowned for its comprehensive retail operating system and scalability. The platform puts your retail business to automation by streamlining operations and eCommerce workflows. 

Main Features

Financial management features of Brightpearl, such as accounting and reporting, make it a good fit for online stores. The software allows you to manage customer information and track interactions so you can provide a more personalized customer experience. Sellers can access order history, customer preferences, and communication logs at any given time.

Shopify Integration 

Brightpearl inventory management integrations make sure you get all the essential information on one dashboard. What makes it tick is Brightpearl’s customizable reporting that provides quick insights on the Shopify Store. So, you can see how your online store is performing and which products are popular among buyers. 

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Benefits of Inventory Integration with Shopify

Inventory integration with Shopify is nothing but a leap forward towards automation. The benefits that modern inventory management systems offer to retailers and enterprises are immense. They can help you:

Increase productivity and reduce errors

One of the biggest benefits of a Shopify inventory management app is the increase in overall productivity. The inventory management system of your choice will replace manual labor, delivering days’ work within hours. What’s more intriguing is that you don’t have to worry about common human errors.

You only have to integrate the inventory management software with Shopify and leave the rest to it. The system can automate the whole process, from filling order slips to keeping printable records. It’ll digitalize the whole process while streamlining most, if not all, of your operations.

Strengthen workflow through third-party integrations

Inventory integration with Shopify means enterprises can share and synchronize data with other software.

You can integrate management software for Shopify with other systems, like accounting software, to improve overall productivity further. Such an integration can boost data-driven decision-making and timely market evaluation, and on-demand financial reporting. Furthermore, you can interlink inventory management software Shopify integration with 3PLs to speed up the process.

Stabilize the Supply Chain to improve efficiency

Provides valuable insights about stock and informs you when the stock is low. Furthermore, you get notifications about low-selling products so you can avoid deadstock. All in all, the best inventory management software for Shopify saves you from both overstock and stockout situations.

Cut the Costs associated with inventory management

When your business has inventory management software Shopify integration, you can cut costs of eCommerce.

For example, with effective inventory tracking, you can save cash in terms of stock purchasing and storage costs. Your inventory management system will guide you on whether a product is a hot-selling item. Thus, you’ll only be buying items that are bound to be sold quickly.

Centralize inventory and order data for multi-channel sales

One main thing that Shopify lacks in terms of inventory management is the centralization of data. The platform does not provide an effective solution to keep track of multi-channel sales. This is something that retailers can accomplish using a modern Shopify inventory management app.

XStack provides inventory integration with Shopify to offer a comprehensive overview of your stock. The software updates inventory in real time while managing and counting sales across multiple platforms. You can update stock on all or selected sales channels and integrate third-party fulfillment services (3PLs).

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Types of Inventory Management Software Integrations 

There is no shortage of inventory management software for Shopify integration; the market is flooded with options. Each has its own merits and can easily be categorized into one of the following types.

Third-Party Inventory Management Apps

These Shopify inventory management apps offer comprehensive features like inventory tracking, order management, and reporting tools. Some shining examples are TradeGecko, DEAR Systems, and Fishbowl which seamlessly integrate with Shopify. Such integrations enhance operational efficiency by centralizing inventory data and enabling Shopify sellers to manage stock levels and fulfill orders promptly.

ERP Integrations

Enterprise Resource Planning systems include options like NetSuite, SAP Business One, or Microsoft Dynamics. These integrations can integrate with Shopify to provide a holistic view of business operations. ERP solutions can unify data across various departments, such as finance, sales, inventory, and more.

These Shopify inventory management solutions can optimize inventory control, order processing, and supply chain management. Thus, they ensure efficient workflows and informed decision-making, but you’ll have to pay a premium price.

POS (Point of Sale) Systems

You can also integrate third-party POS systems to synchronize in-store and online sales, ensuring real-time inventory updates. Seamless POS integration streamlines inventory management, allowing retailers to manage stock levels accurately. Above all, they can provide consistent customer experiences across different sales channels. A POS integration is a great way to avoid Shopify delays and keep track of inventory in real time.

Third-Party Logistics (3PL) Integrations

Shopify inventory management integrations are extended to 3PL services, which enable retailers to automate order fulfillment processes. These integrations sync order information between Shopify and third-party logistics providers, such as ShipStation, ShipBob, or Easyship. This not only enhances operational efficiency but also reduces shipping errors and improves delivery times.

Marketplace Integrations

For businesses selling across multiple platforms, integrating Shopify with marketplaces like Amazon, eBay, or Etsy is crucial. These integrations synchronize inventory levels and product listings across different sales channels. Centralized order management ensures accurate inventory tracking and streamlined fulfillment processes, which ultimately enhances customer satisfaction.

Barcode and RFID Systems

Implementing barcode or RFID systems in conjunction with Shopify ensures precise inventory tracking. Barcode scanners or RFID readers integrated with Shopify streamline inventory management by providing accurate real-time data. Such integrations reduce manual errors, enhance inventory visibility, and improve order accuracy.

Multi-channel Inventory Management

Such integrations involve software that facilitates multi-channel selling by connecting Shopify with various sales platforms. This way, they enable businesses to manage inventory, orders, and listings from a single dashboard across multiple channels. A centralized control or dashboard also helps prevent overselling, simplifies inventory updates, and enhances efficiency.

Custom Inventory Solutions

Custom integrations developed specifically for unique business requirements offer tailored inventory management solutions. These bespoke integrations leverage APIs to synchronize Shopify with internal systems or custom software. Such tools provide flexibility, scalability, and specialized functionalities aligned with specific business needs.

Inventory Forecasting Tools

Integrating predictive tools or BI software with Shopify empowers businesses to forecast demand accurately. These integrations use historical data, market trends, and machine learning algorithms to predict future demand. This aids in optimizing inventory levels, reducing excess stock, and minimizing inventory holding costs.

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Selecting the Right Inventory Management Software

Now, it’s time to learn how to select the best inventory management software for Shopify integration. Of course, you’ll have to consider your specific business needs, such as Shopify store size, growth trajectory, and industry.

Below are the main key factors that you should consider while exploring the Shopify inventory management apps.

Ease to Use and Integrate

There are numerous Shopify inventory management systems; you should choose one that’s intuitive and easy to navigate. A user-friendly interface is crucial for efficient usage as it’ll reduce the learning curve for your team. Cost is another factor, but it's essential to weigh it against the software's features and benefits.

Additionally, consider not only the initial investment but also the ongoing costs of your Shopify inventory management software. Vendors often charge extra from eCommerce retailers in terms of subscription fees, training, and support.

Multi-Channel Functionality

Your store may not need a multichannel sales feature for now, but omnichannel commerce is becoming mandatory. The best inventory management software for Shopify is the one which can update inventory in real time. It should enable you to keep an eye on products across channels while reflecting changes in inventory within minutes.

Locked Stock

Online stores want to prevent the items from showing on listings when they are on special promotions. The same is the case with pre-order sales and discounted items. Since you’ll be processing these promotional orders, you’d want them to show on your total inventory. This is where you’ll need quality inventory software to lock such inventory products.

Order Routing and Automation

This is a key consideration for multichannel, multi-store online retailers. Your selected inventory software for Shopify should automatically route customer orders to the nearest fulfillment center. For this, the integrated inventory system should consider destination zip code, inventory availability across fulfillment centers, and delivery date.

Thus, you’ll be able to automate your inventory process while saving shipping costs.

Automated Inventory Replenishment

One key factor that you should never ignore is your inventory management system’s ability to reorder stock. It should send notifications and regenerate purchase orders automatically as soon as the inventory hits the lowest levels. Also, the Shopify inventory management app should be able to order stock quantities considering previous sales data.

Comprehensive Analytics and In-Depth Reporting

The success of eCommerce now depends on how effectively a retailer uses its customer data. You need an effective inventory management software for Shopify integration that can provide real-time insights when needed. By looking at metrics such as profitability, sales margins, inventory turnover, and stock levels, Shopify sellers can make informed decisions.

These are the metrics that can help you avoid deadstock and ensure that your inventory levels are optimum. Furthermore, you can invest in products that your customers want to satisfy their needs further.

Security Measures, Support, and Customization

Lastly, you should partner with an inventory management system that prioritizes data protection. It’s your duty to ensure that the vendor has robust security measures in place to safeguard your sensitive business data. Also, don’t forget to assess the vendor's customer support offerings and training provisions for ongoing assistance.

A good Shopify inventory management app provides customization to cater to specific business needs. So, you should invest in software that not only meets current needs but also accommodates future growth.

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How XStak Order & Inventory Management Solution Solves All Your Needs

The no-code, hassle-free process of XStak makes Shopify inventory management integration smooth and easy. Once connected, XStak’s order and inventory management solution will provide you with detailed insights on workflows on a single dashboard. So, you won’t have to browse multiple apps or tabs to get sales reporting.

XStak lets you:

• Access real-time inventory information
• Get multiple sales channels reporting
• Update inventory across different channels at once
• View reports on sales, revenue, and stock levels
• Analyze high-performing products and deadstock 

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Conclusion

For mid-level and large enterprises, robust inventory management is the key to success on Shopify and other sales channels. They need Inventory integration with Shopify to optimize stock levels, do accurate demand forecasting, and ensure cost control. By acquiring the best inventory management software for Shopify integration, online retailers can streamline operations and alleviate supply chain burdens.