Product Inventory Management in Shopify Ecommerce Store Explained for Software Developers

Inventory is the quantity of a particular product that is available for sale. Inventory tracking can help you avoid selling products that have run out of stock, or let you know when you need to order or produce more products. Store inventory represents the number of each product variant that you have available to sell. Accurate inventory levels on your Shopify store help customers when they're trying to place an order.

There are various states of inventory. Lets understand that.

1. On hand - On hand inventory refers to the total number of units that you have at a location. On hand inventory is the sum of your Committed, Unavailable, and Available inventory
2. Available - Available inventory refers to inventory that you can sell.
3. Committed - Committed inventory refers to the number of units that are part of a placed order but aren't yet fulfilled.
4. Unavailable - Unavailable inventory refers to the number of units that are reserved for draft orders or set aside by apps.
5. Incoming - Incoming inventory refers to inventory that’s on its way to your location.

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